'You simply took an investment risk and lost out' - Menzgold's lawyer tells customer

The lawyer for Menzgold, Kwame Akuffo, has told a customer in the trial case against the embattled CEO, Nana Appiah Mensah, to consider his GH¢5 million in the defunct gold dealership company as an investment risk that he took and lost.

"You simply took an investment risk and lost out," a myjoyonline.com report quoted the reporter to have said.

During the cross-examination of the prosecution witness, a civil engineer named Stephen Attippoe, the lawyer asked whether investing heavily in Menzgold was not a calculated risk.

In response, Attippoe explained that he relied on representations from Nana Appiah Mensah, Menzgold, and Brew Marketing Consult, only to discover later that the accused persons were operating without a licence.

Having invested GH¢5.2 million within three months, Attippoe received a lump sum of GH¢502,000.

He detailed that he had seven distinct trading agreements with Menzgold, conducting transactions at the Brew Marketing Consult office on Spintex.

Attippoe clarified that the Menzgold trading agreements were produced and signed at the Tema Branch Office, following the company's prescribed procedure.

He also mentioned various documents obtained from Menzgold, including gold trading agreements, purchase of gold receipts, gold vault service receipts, and commission payment receipts for each transaction.

According to myjoyonline.com, in June 2018, Stephen Attipoe acquired five kilograms of 22-carat pure gold from Brew Marketing Consult, making a payment of GH¢1 million. Additionally, he paid a non-refundable commission of GH¢64,500, equivalent to 6.4% of the purchase price.

On June 5, 2018, he engaged in another transaction, purchasing an additional 5 kilograms of 22-carat pure gold from Brew Marketing Consult for GH¢1 million. Once again, he paid a commission of GH¢64,500.

A third investment occurred on June 13, 2018, involving the purchase of five kilograms of 22-carat pure gold from Brew Marketing Consult for GH¢1 million. He paid a commission of GH¢64,500 for this transaction.

The fourth gold acquisition happened on June 14, 2018, involving the purchase of three kilograms of 22-carat gold for GH¢600,000. A non-refundable commission of GH¢80,700, representing a commission for the investment, was paid.

The fifth transaction, on June 27, 2018, involved the purchase of another three kilograms of 22-carat plus gold for GH¢600,000. A non-refundable commission of GH¢80,700 was once again paid.

For his sixth investment on July 23, 2018, he purchased four kilograms of 22-carat gold for GH¢800,000, paying a non-refundable commission of GH¢50,600.

On July 27, 2018, in his seventh investment, he bought one kilogram of 22-carat gold for GH¢200,000, paying a non-refundable commission of GH¢12,900.

In total, Mr. Attipoe invested GH¢5,200,000 in the company's gold vault market for a total of twenty-six kilograms of gold. The cumulative non-refundable commission for these investments amounted to GH¢335,400.

In July 2018, Attipoe received a lump sum payment of GH¢504,000 from Menzgold, representing his monthly 12% interest on twenty-six kilograms of gold as per the agreements signed.

In September 2018, Menzgold Company issued him an ECOBANK cheque with a face value of GH¢240,000, reflecting his interest on only ten kilograms of gold.

Regrettably, when he attempted to deposit the cheque at the Tema Main branch of ECOBANK, it was dishonoured.

Charges against Nana Appiah Mensah and two others

The embattled Chief Executive Officer (CEO) of Menzgold Ghana Company Limited, Nana Appiah Mensah, popularly known as NAM 1, is facing 39 fresh criminal charges filed by the Attorney General at the High Court.

This follows more than 36 court appearances without a trial over a period of three years and 11 months at the Circuit Court while awaiting the Attorney-General’s advice.

In the new charge sheet submitted to the High Court, NAM 1, Menzgold Ghana Company Limited (MGCL), and Brew Marketing Consult Ghana Limited are implicated in various charges. These include selling gold without a licence, operating a deposit-taking institution without a licence, inducement to invest, defrauding by false pretences, fraudulent breach of trust, and money laundering.

As per the facts presented to the court, the accused individuals, under false pretences, allegedly obtained over GH¢1.68 billion from their customers and have not yet returned the money.

NW/ADG

Watch the latest edition of BizTech below:



Click here to follow the GhanaWeb Business WhatsApp channel

Ghana’s leading digital news platform, GhanaWeb, in conjunction with the Korle-Bu Teaching Hospital, is embarking on an aggressive campaign which is geared towards ensuring that parliament passes comprehensive legislation to guide organ harvesting, organ donation, and organ transplantation in the country.