Your u-turn in paying depositors has exposed your wickedness - MP to govt

Member of Parliament for Tamale Central, Inusah Fuseini has described the "sudden u-turn” of the government to pay all customers of the various defunct financial institutions in cash and not bond as wickedness.

This he suggested shows that the government treated the affected customers unfairly despite the several appeals they made.

The government he noted had told the customers it did not have the money to pay them in full hence it decided t pay them through a zero-interest bond over a 5-year-period.

"The NDC argued that this was not fair and yet, the government maintained its position and so, the NDC promised to pay the depositors their monies in full without delay. But suddenly, the government says it will pay the customers in full. This was captured in our manifesto, the NPP did not capture this in their manifesto. This shows some level of insensitivity and wickedness. It had to take the NDC for the government to pay the depositors.”

He said there is no doubt that the manifesto of the NDC has brought a change of heart in the ruling government.

"The NPP has seen the light and our manifesto is the reason why the NPP has decided to pay the depositors of these collapsed institutions”.

The government has released ¢3.5 billion to settle all outstanding claims of depositors of defunct financial institutions including savings and loans firms.

A statement issued by the Receiver Eric Nipah to that effect said “with effect from September 16, 2020, affected depositors may contact any branch of Consolidated Bank Ghana Ltd (“CBG”) the paying bank to access their newly created Cash accounts which were originally designated as Commercial Paper (Bond) accounts at the bank ie CBG.

GHS6.07 billion had already been released to some depositors of these resolved companies in cash and bonds, leaving an outstanding amount of GHS402 million to be paid to the remaining depositors.

Of the GHS6.49 billion required to fully settle all valid depositor claims, about GHS3.56 billion of these claims were initially settled with Government-backed bonds.

He said “is in line with government’s commitment to protect depositors funds and to shore up public confidence in the financial system, and government made available to the Receiver of the above resolved companies, as well as the Official Liquidator of the Micro Credit Companies in official liquidation, a combination of cash and Commercial Paper totalling approximately ¢6.49 billion to fully settle the valid depositor claims on these institutions.”