Business News Wed, 4 Sep 2019

Adongo to seek court intervention over ¢800m GAT cash

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Member of Parliament’s Finance Committee, Isaac Adongo has said he will inform the courts over government’s decision to give some GH¢800million to the Ghana Amalgamated Trust (GAT).

The legislator believes the development is of interest to his pending case against the GAT and the government.

Adongo sued the two for using what he described as an illegal method to invest in five indigenous banks.

Added to the suit is the National Trust Holding Company (NTHC), the nominee shareholder of GAT, a special purpose vehicle that was incorporated in December 2018 to help the ADB Bank, the National Investment Bank (NIB) and three private banks to recapitalise to GH¢400 million.

The fund was designed to rely on private sector funding.

Addressing a Minority press conference earlier on Tuesday, Mr. Adongo noted that the GH¢800 million from government to GAT constitutes a breach of the law establishing the latter.

Speaking to Evans Mensah on PM Express on JoyNews the Bolgatanga Central MP noted that he will notify the court on the issue and also revise his suit if the need be.

The legislator believes something untoward is happening with the management of GAT and seeks to unravel same. He said GAT could be a maneuver for private persons to seize control of the two state-owned banks.

<>Other concerns over GAT

Former President John Mahama also raised concerns over GAT in a Facebook live interaction last week.

Mr. Mahama described the intervention as a bailout programme, saying the government must reveal those who stand to benefit from the arrangement.

“We call on the Akufo-Addo government to lift the veil on the beneficial shareholders of the Ghana Amalgamated Trust and to curb its supposed predatory bailout assault on the remaining banks which include state-owned banks,” Mahama said.

Source: Myjoyonline.com