July 20, 2024
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‘Give us back our license, give us back our assets’ – Nduom’s bold appeal to BoG

The owner of the defunct GN Bank has issued a passionate appeal to Dr Ernest Addison, the Governor of the Bank of Ghana (BoG), to consider new evidence and reinstate the bank’s license revoked due to alleged insolvency.

Dr Kwesi Nduom urged the central bank to maintain the assets of GN Bank in good condition, arguing that they are ready to resume operations.

He said the bank’s assets are still viable and could thrive if the license is reinstated.

In 2018, the BoG’s efforts to consolidate the banking sector led to the revocation of licenses from several financial institutions, including GN Bank.

On June 14, the BoG justified its decision, citing significant regulatory breaches and claiming that GN Bank failed to meet crucial financial regulations and banking standards, threatening its operational stability.

In a Facebook post on Sunday, June 23, Dr Nduom vehemently disputed the BoG’s claims about GN Bank’s capital inadequacy.

He implored Dr Addison to reexamine the evidence from the 2019 GN Savings and Loans transition report, which he says shows that the bank had sufficient funds.

“So, when people ask what do you want? All that we’re saying is that recognise that indeed there was more money there than was said to be just proof. Recognise the proof. Someone has said somewhere that give me new facts and I will change my mind. We have given and continue to give new facts to the BoG.

“All that we’re asking the Governor, Dr Addison, is to take a look at the new facts, recognise them for what they are and give us back our license, give us back our assets. Make sure the assets are in good condition, and let’s move on.

“Even in the reclassified state as a savings and loans company, we are prepared to start working. And we know once all the accounting is done, once the funds start coming in, everybody will realise that the 305-branch network of GN Savings will deserve to become a universal bank—GN Bank again. That is it.”

Dr. Nduom envisions employing thousands of people once their license is reinstated.

“What we are looking for is to go back and put thousands of people back to work and 100s of branches, so that financial inclusion can resume.”

He highlighted that the requirement for a savings and loans company is GHC15 million.

“Even the GHC30.3 million that the finance ministry erroneously told the BoG that Group Nduom companies had, Even if we took that money, and paid it, which still they haven’t paid.

“If they paid us and we paid into GN Savings, That would have been able to give us the capital required to continue on our savings and loans. But we said in our books, GHC2 million.

“In addition, we had properties and other related buildings, including the many branch buildings put up by some of our companies. We said we would give it to the organisation to shore its capital.

“It was all rejected, and these are the same buildings that BoG’s appointed receiver went around hurriedly to put locks on the gates and buildings and walked away. Left them to rot, all of those things still there.”

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