Investigative journalist, Manasseh Azure Awuni, has eaten the humble pie and issued an apology and retraction to businessman, Ibrahim Mahama, over details he captured in his latest book, ‘The President Ghana Never Got,’ concerning some supposed debts owed to a bank.
In the book, Manasseh Azure alluded that the businessman owed a huge sum to Merchant Bank (now Universal Merchant Bank, UMB), which contributed to its eventual collapse in 2013.
The claim, which was later challenged by Ibrahim Mahama, had the investigative journalist also responding to the businessman, insisting that the details captured in his book were not, as was being claimed, inaccurate.
What Manasseh Azure said in his book about Ibrahim Mahama:
In the book, Awuni alleged that Ibrahim Mahama, the brother of former President John Dramani Mahama, was one of the major debtors of the now-defunct Merchant Bank, a claim that has since been strongly contested.
According to a letter from Ibrahim Mahama’s legal counsel, Bobby Banson Esq., the businessman has never been personally indebted to Merchant Bank or its successor, UMB Bank.
Instead, the letter clarifies that the loan in question was taken out by Engineers & Planners Company Limited, a separate legal entity from Mahama, and that the full loan amount of $28 million was paid off in February 2014.
The letter also highlights that despite this repayment, the new management of Merchant Bank (later UMB Bank) failed to report the settlement to the Credit Bureau Agencies and the Bank of Ghana.
This led Engineers & Planners to file a court action against UMB Bank in 2023, seeking declarations that the debt had been fully paid and that the bank’s claims of indebtedness were false.
“Ibrahim Mahama has never been indebted to Merchant Bank or its successor, UMB Bank. Indeed, our Client has never applied for or received any facility from the said Bank in his personal capacity or for his personal use.
“Engineers & Planners Company Limited, which is a separate legal entity from our Client, applied for and received a loan facility from Merchant Bank. In February 2014, the amount of $28million was paid by Engineers and Planners Company Ltd to Merchant Bank, in full and final settlement of the loan amount. A copy of the correspondence from Merchant Bank to this effect is attached as Annexure,” portions of the letter said.
TWI NEWS
Proof of debt payment to Merchant Bank in 2014 pops up online
Following allegations that the financial struggles of Merchant Bank were partly due to significant debts owed by Engineers and Planners, a company owned by Ibrahim Mahama, a document showing the receipt of full payment from Engineers and Planners has surfaced online.
The document showed that Merchant Bank (Ghana) Limited confirmed receipt of the negotiated settlement amount of US$28 million from AFREXIM Bank in favor of Engineers and Planners Company Limited on January 31, 2014.
"In accordance with Clause 3 of the said Agreement, we, Merchant Bank (Ghana) Limited, hereby confirm receipt of the negotiated settlement amount of USD 28 million from AFREXIM Bank in favor of Engineers and Planners Company Limited on January 31, 2014. We hereby authorize you to date the Deed of Release and forward the same to AFREXIM Bank in accordance with the terms of the Agreement.
"We are pleased to inform you that the Bank has indeed received an amount of US$28.0 million through a SWIFT advice dated January 31, 2014, from African Export and Import Bank (AFREXIM Bank) into our Citibank Account #36056153 in full settlement of your indebtedness to Merchant Bank Ghana Limited," it added.
Apology and retraction:
But in a post shared via his X handle on Monday, August 26, 2024, Manasseh Azure admitted to the error made in his book and apologised to Ibrahim Mahama.
In the post with the title, “RETRACTION AND APOLOGY,” the journalist wrote:
“In providing a background to the Universal Merchant Bank (UMB) and the circumstances under which its new owners acquired it in 2013, I mentioned the controversy that arose when it emerged that one of the big debtors of the erstwhile Merchant Bank was Mr. Mahama.
“The fact is that the $28 million debt I referenced was owed by his company, Engineers and Planners Company Limited, the legal entity, and not Mr. Mahama personally.
“Consequently, I retract the said reference to Ibrahim Mahama as the debtor and apologise for any adverse effect that may have been occasioned by said publication.”
He also indicated that he is making plans to have the error fixed in the online versions of his book, and subsequently, in new publications of his book.
Read his full apology below:
RETRACTION AND APOLOGY
Businessman Mr. Ibrahim Mahama has, through his lawyers, brought to my attention a fact that needs correction, and I hereby do so unreservedly.
i. In my latest book, “The President Ghana Never Got”, I discussed the banking crisis under the Akufo-Addo administration and how some banks were saved from possible collapse.
ii. In providing a background to the Universal Merchant Bank (UMB) and the circumstances under which its new owners acquired it in 2013, I mentioned the controversy that arose when it emerged that one of the big debtors of the erstwhile Merchant Bank was Mr. Mahama.
iii. The fact is that the $28 million debt I referenced was owed by his company, Engineers and Planners Company Limited, the legal entity, and not Mr. Mahama personally.
iv. Consequently, I retract the said reference to Ibrahim Mahama as the debtor and apologise for any adverse effect that may have been occasioned by said publication.
v. It was a genuine oversight, which I am taking immediate steps to correct in the online version of the book and in subsequent reprints.
Manasseh Azure Awuni
August 26, 2024
NB: It is important to note that the $28 million debt was however paid in 2014 by the company and does not owe UMB.
Meanwhile, catch up on GhanaWeb's interview with Dr. Nana Ato Arthur, Head of the Local Government Service, as he explains the procedures involved in undertaking projects that are originally government projects. He spoke with Etsey Atisu on The Lowdown:
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