Bank Crisis: Retired BoG staff facing EOCO – BoG

Tue, 25 Sep 2018 Source: Class FM

Some individuals who have ties with the Bank of Ghana (BoG) are currently being probed in relation to the collapse of some seven local banks, Governor of the central bank, Dr Ernest Addison has said.

According to Dr Addison, the Economic and Organised Crimes Office (EOCO) has invited some of these individuals and the findings will soon be released.

“I’m sure EOCO will give us a report on their investigations which includes Bank of Ghana officials, some of whom are retired.

“I’m yet to find out if there are any staff who are working that have been invited by EOCO but I know that some of our retired staff are being interviewed by EOCO,” he stated at a recent press conference on Monday, 24 September 2018.

The BoG recently fused uniBank together with Sovereign Bank, The Royal Bank, The Beige Bank and The Construction Bank to form the Consolidated Bank Ghana Limited (CBG).

Also, UT Bank and Capital Bank were taken over by GCB Bank after they were found to be in dire straits.

In total, seven local banks have gone under, as the Bank of Ghana’s 31 December 2018 deadline for all universal banks to recapitalise from the GHS120 million to GHS400 million draws closer.

Directors and managers of these banks have been under probe by EOCO as it turns out that some of the institutions acted in ways that violated the rules and guidelines of the regulator.

Dr Addison stated at a previous Monetary Policy Committee meeting that some shareholders and directors of the banks failed to observe good corporate governance that led to the collapse of those banks.

Source: Class FM
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