Revocation of GN Bank’s license: We’ll appeal against judgement – Lawyers of Nduom

Lawyers of Dr. Papa Kwesi Nduom the founder of Groupe Nduom are set to appeal against the High Court’s judgement in favour of the Bank of Ghana over the revocation of his bank’s license.

On Wednesday, January 24, the Human Rights Division of the Accra High Court dismissed an application filed by Dr Nduom, GN Saving and Loans Company and others for the violation of fundamental human rights in its entirety.

The Court presided over by Justice Gifty Addo Agyei while delivering her judgment on the case said the Central Bank was right when it revoked the licence of the third Respondent because it had become apparent that it was unable to meet its debt obligations due to poor governance structures.

The Court said the applicant had not been able to satisfy the court that at the time of the revocation of its licence was solvent and able to meet its debt obligations.

Justice Addo Agyei said the claim by the applicants of unreasonableness coupled with malice and violation of existing laws in the process of the revocation was unfounded.

But, Dr Nduom through his lawyers led by Dr Justice Srem-Sai indicated they will appeal against the judgement, saying “we will appeal.”

Dr Ndoum filed an application against the Bank of Ghana (BoG), the Attorney General and the Receiver of the savings and Loans companies praying the Court to revert the decision by BoG to revoke the license of GN Savings and Loans, saying the action was a violation of his fundamental human rights.

Initially, Lawyers for the BoG have raised a legal objection to the application on the basis that the jurisdiction of the High Court has been wrongly invoked.

Dr Justice Srem Sai, Counsel for Dr Nduom said the action taken by the BoG and its agent, which includes the receiver of the savings and loans companies, was a clear violation of his human rights.

The lawyers for the Central Bank and the Attorney General said the jurisdiction of the court has been wrongly invoked because matters of banking revocation are expected to go for arbitration at the Arbitration Centre.

But Justice Srem Sai vehemently opposed this argument.

Violation

On the violation of the rights of the Administrative justice, the court was of the view that the Central Bank’s interference in the applicants’ operations by way of revocation of license according to the provisions of Article 130 of the 1992 Constitution.

“No illegality was occasioned by the conduct of the Central Bank in revoking the license in the face of insolvency,” she added.

Justice Agyei Addo said the central bank had not breached the fundamental principles imbibed in its status and that it took the most reasonable and fair decision in the face of the liquidity challenge per its mandate.

On the issue of discrimination, Justice Agyei Addo, a Justice of the Court of Appeal sitting as an Additional High Court judge held that, the applicants were not discriminated against since other entities suffered a similar fate as that of the applicants.

She said, the applicant was not discriminated against and their complaints are unfounded and without merit.

It said the applicants could take the matter of debt owed them by the government through the Finance Ministry, even though they maintained that several actions to demand their money from the government had failed and so it was unreasonable for the BoG to have revoked their license considering their circumstances.

The cost was awarded a cost of GH₵50,000 in favour of all the respondents.