Critics have raised eyebrows about today’s arrest of Prince Kofi Amoabeng, the founder of the now-defunct UT Bank over its collapse, while others like preacher Mensah Ota…
Critics have raised eyebrows about today’s arrest of Prince Kofi Amoabeng, the founder of the now-defunct UT Bank over its collapse, while others like preacher Mensah Otabil have remained untouched despite being fingered for the same bank-related theft.
Mr. Amoabeng was today picked up and charged with theft and money laundering leading to the collapse of UT Bank in 2017. He, alongside the founder of the defunct BEIGE bank, Michael Nyinaku have been accused of stealing about GHC390 million and $8.6million belonging to customers of the bank.
Amoabeng who was later bailed today, is been accused of stealing more than GHC51.3 million and $8.6million, while Nyinaku has been accused of stealing more than Ghc340million.
The two pleaded not guilty to the charges levelled against them when they appeared before the Accra Circuit Court Tuesday.
Last year, William Ato Essien, the founder of the defunct Capital Bank was charged for allegedly stealing GH¢70 million from the bank. Even though popular preacher Dr. Mensah Otabil was fingered as a culprit in the event that led to the collapse of Capital bank, he has been relatively walking free while his colleagues are being charged.
The Bank of Ghana on August, 7, 2017 declared UT Bank and Capital Bank insolvent after it failed to meet the minimum capital requirement.
Few months ago, a former CEO and founder of Capital Bank, William Ato Essien as well as his former MD, Rev. Fitzgerald Odonkor, and two other persons; Dr Tettey Nettey, the Managing Director of MC Management Services, a company said to be owned by Mr Essien, and Kate Quartey-Papafio, a businesswoman and Managing Director of Reroy Cables Company Limited, are also being prosecuted.
Ato Essien is standing trial on 26 charges, including stealing of various sums in excess of GHS260 million.
The arrests heralds the beginning of prosecutions of all those involved in the collapse of some financial institutions across the country. President Nana Addo Danquah Akufo-Addo revealed this when he addressed the opening of the 71st Annual New Year School and Conference themed “Attaining Ghana Beyond Aid: Prospects and Challenges” at the Great Hall, University of Ghana on Tuesday.
“We have begun bringing those responsible for the banking crisis to justice. We have one case in Court and if prima facie evidence of criminality is found in the other ongoing investigations which according to my information is likely, then the perpetrators of these crises, that is, both the regulators and individuals will face justice soon”
President Akufo-Addo said the state has had to spend over GHc 12 billion Cedis of public funds in order to rescue some 6,500.00 jobs as well as to protect funds of some 4.6 million depositors. Those responsible for this unfortunate happenings the President said ought to be punished.
A former Chairman of the University of Ghana Council, Dr. Ishmael Yamson who also addressed the opening session observed that the Central Banks cleaning Up exercise which was a necessary evil has had a sad impact on the non-savings culture of Ghanaians in that, confidence in the financial sector amongst the people of Ghana has dipped further down. He called on government to ensure that those behind the rot discovered in the financial sector of the country are prosecuted and punished according.
The Annual New Year School and Conference was introduced in 1948 and it brings together people from all walks of life to deliberate on topical issues of national and international interests. The 71st edition was chaired by Professor Akua Kunyehia, Acting Chairperson of the University of Ghana Council.
In August 2018, Bank of Ghana granted a universal banking license to Consolidated Bank Ghana Limited established by the Government after it revoked licenses of uniBank Ghana Limited, The Royal Bank Limited, Beige Bank Limited, Sovereign Bank Limited, and Construction Bank Limited. It subsequently appointed Mr. Nii Amanor Dodoo of KPMG as the
Receiver for the five banks.
All staff of these banks were absorbed by the Consolidated Bank but many were later laid off.