UNICOF demands removal of MD of ARB APEX BANK

There is currently heightened tension in ARB Apex Bank, “Central Bank” for all Rural and Community Banks” (RCBs) in Ghana, relating to the likely renewal of the appointment of its Managing Director, Mr. Kwadwo Aye Kusi and certain actions taken by the board chairman.

The National Union of Industry, Commerce and Finance Workers (UNICOF) is demanding an independent investigation into some allegations made against the bank’s MD, Kwadwo Aye Kusi, outlined in a petition sent to the Board of Directors (BOD) dated July 25, 2016, and signed by one George Essien (CFE) of the bank.

This 15-page petition which was copied to Governor of the Bank of Ghana, the minister of finance, the chairman PMSU/Local Union of ARB Apex Bank alleged that the MD of the bank had over the years acted in bad faith and alter disregard for procedures, board directives and the L.I. 1825 (ARB APEX BANK LIMITED REGULATION 2006) governing the banks operations.

Thebftonline.com has gathered that the seeming mishandling of the petition and the perceived illegality in the orchestrations of the BOD Chairman towards the possible reappointment of the MD has led to a sizeable segment of the BODs to also demand for an emergency BOD meeting on November 15, 2016

This meeting, the thebftonline.com has gathered, has been postponed many and severally by the boards chair as it is alleged that he is a close pal of the MD and working to get the mandate of the MD renewed.

The thebftonline.com is also informed by a member of BOD that the Local Staff Union at the Bank was denied a chance to fully and formally associate with it content even when they expressly requested to do so.

It may be recalled that in 2015 there were several media reports of the MD being investigated by EOCO over some fraudulent dealings.

According to a letter from EOCO at the time ARB Apex bank was being investigated by EOCO for procurement fraud and other serious offenses.

A letter from EOCO to the managing Director of the ARB Apex Bank said the investigation is in the areas of procurement of a communication link for wide area network, sale of bank vehicles to staff and the purchase of vehicles by the bank.

The letter then requested the MD of Apex Bank to furnish the Executive Director of EOCO information on its agreement with STL Ghana Limited and a copy of the board’s approval for the procurement.

EOCO also requested the bank to provide the type of vehicle, date of original purchase, cost of vehicle, date of disposal, and name of purchase at the time of disposal and amount paid on sale of the banks vehicles to staff.

The Economic Organized Crime unit further requested the MD of ARB Apex Bank to furnish it with the schedule of all vehicles purchased by the bank from 2010 to 2014 including vehicle brand, model, year of purchase, the dealer and conditions associated with the sale.

It appears the staff of the bank have become agitated with current happenings within the bank and its performance as well as the credibility of the MD and therefore opposed to any possibility of renew the MD’s appointment.

Indications are that the staff may be prepared to fiercely ensure the observance of the due process in handling what they consider a water-tight petition which they believe should serve as necessary and sufficient grounds for non-renewal of the MD’s appointment.

As at the time of filing this report, Executives of both the National and Local Union of the Bank are refusing to comment on the matter with the explanation that, the matter is currently at TUC and Labour Commission and are waiting for the next line of action.

But a statement from UNICOF copied to the thebftonline.com has declared two days of red-alert by all staff of the bank across the country.

In view of this, members of the Union across the country have been directed to have a red piece of material hanged around their necks or wrist on Monday and Tuesday of this week.

According to the statement “the red has become necessary to let stakeholders understand that the UNICOF and staff are not happy about the events at the bank.”

The UNICOF in their statement said “the autocratic nature of the board chairman and his personal relationship with the MD are affecting the governance of the bank. A split board that appointed the MD will affect the progress of the bank.”

They further stated that “the UNICOF, Union and staff are therefore through our red is sending a note of caution to all stakeholders that we will not to sit down for the worse thing to happen to our bank and the rural banks.”

“We therefore demand a speedy process that will see to it that the board corrects the constitutional flaw accompanying the second term appointment,” the statement stated.

Attempts to reach the BOD Chairman for comments proved futile as there was no response from his phones.

In a related development, thebftonline.com managed to speak to a management member who pleaded anonymity.

The officers was intrigued at the attempts by a section of the BOD to foist Mr. Kusi on the Bank especially considering the sense of bad reputation he has brought to the Bank and his handling of events.

The officer asked “what is special about Kusi that we have to keep him as MD? This is a man who has been investigated by EOCO, been disrespectful to many of the Donors of the Bank and thus lost project funding.”

“Furthermore, even with much less charges, the former MD, Mr. Osei-Bonsu was replaced for the smooth running of the Rural Banking system and Apex Bank itself. And this is against the background that Osei-Bonsu was one of the best MDs the Bank had ever seen,” he stated.

Kwadwo Aye Kusi was appointed Managing Director of ARB APEX BANK “Central Bank” for all Rural and Community Banks” (RCBs) in Ghana on 2nd January 2013.