Money laundering allegations smear campaign against Dr Nduom – Groupe Nduom hits back

Dr Nduom and his Groupe Nduom firm have been sued for alleged money laundering

The lawyers for Dr Papa Kwesi Nduom have rejected money laundering claims against him and his family

The lawyers in their response said that the allegations are aimed at tarnishing the image of Dr Papa Kwesi Nduom

Groupe Nduom has filed a motion at US-court to dismiss a case of money laundering filed against them by the Birim Group LLC.

Birim Group LLC is accusing Dr Papa Kwesi Nduom, his wife and children o of laundering $63,000,000.

“The Nduom family defendants, by and through their ownership, control and use of defendants GN Bank, Gold Coast Fund Management and over 60 undercapitalised interrelated companies, collected several million dollars of depositor’s saving, investment contributions and insurance premiums, and in violation of U.S. and Ghana laws illegally laundered approximately $63,000,000 of depositors’ funds through its Virginia-based sham ‘procurement and consulting service’ company, International Business Solutions,” Birim Group LLC state.

But in their response first reported by MyJoyOnline and sighted GhanaWeb, Groupe Nduom vehemently rejected the allegations on the ground that the claims are a smear campaign.

“Birim Group, LLC’s complaint misuses this Court to smear a Ghanaian entrepreneur and political leader, Dr. Papa Kwesi Nduom, founder of the Ghana Progressive People’s Party. Birim Group itself is a murky LLC whose members the complaint does not identify. It does not claim to have had any dealings with Dr. Nduom or the other defendants.

“Rather, Birim Group claims to have paid for the claims of two Ghanaian citizens, Mavis Amanpene Sekyere and Nana Kwame Twum Barimah (the “Assignors”), who have what at most, amounts to breach-of-contract claims under Ghanaian law against Ghanaian bank GN Bank and Ghanaian investment firm Gold Coast Fund Management (“GCFM”) (collectively, the “Ghanaian Defendants”),” their statement said.

The lawyers for Groupe Nduom noted that the allegation levelled against the renowned businessman and politician is outrageous and without merit.

“Birim Group plainly did not buy these claims to recover Ghanaian deposits, but rather for a pretext to malign Dr Nduom, his family and anyone who does business with him,” the Groupe’s counsellors said.

“In lieu of factual allegations as to each defendant, the complainant alleges that all corporate forms should be disregarded and each defendant should be deemed an alter ego, not just of each other defendant, but also of each employee of each corporate defendant, including the Ghanaian Defendants. No facts are alleged to support this extraordinary conclusion. Instead, the complaint.” “Birim Group had no business with the defendant but says it paid assignors’ claims so it could file this case.”

“In lieu of factual allegations as to each defendant, the complainant alleges that all corporate forms should be disregarded and each defendant should be deemed an alter ego, not just of each other defendant, but also of each employee of each corporate defendant, including the Ghanaian Defendants. No facts are alleged to support this extraordinary conclusion. Instead, the complaint.”

“Birim Group had no business with the defendant but says it paid assignors’ claims so it could file this case.”

“The complaint, in this case, is an object lesson in why Rule 9(b) exists and applies to RICO and fraud-based claims. Birim Group bought and paid for the right to bring this complaint, including on behalf of an Assignor who is pursuing the same substantive claim where it belongs — in a Ghanaian court against a Ghanaian defendant.

“The Assignors losses are $52,219 and $30,000, respectively. So why did Birim Group buy the claims and file such an overblown complaint, invoking RICO, multiple frauds and tort theories? The answer was stated at the outset: because this case is a political smear and not a legitimate use of the Court to resolve a legal dispute.”

Groupe Nduom’s motion to dismiss the case was filed on April 5, 2021.