BoG to publish names of staff involved in collapse of 7 banks

The Bank of Ghana has said it is soon going to publish a report that will show members of the central bank who played a role in the collapse of the seven banks. The move is aimed at helping the Bank of Ghana promote ethical behavior among its staff.

Speaking to journalists on the second Day of the 20th anniversary celebration of the Securities and Exchange Commission, Second Deputy Governor of the Bank of Ghana, Elsie Awadzi stated that the exercise will enhance accountability.

Read: Bank Crisis: Government saved deposits of 1m Ghanaians Akufo-Addo

She stated that it is time for the Bank of Ghana to look within itself and punish officers whose actions contributed to the collapse of the seven banks.

“This is going to help the Bank of Ghana to promote ethical behavior within the bank itself to ensure that our own staff and management are all adhering to the best practices in ethical behavior”.

She explained that the investigations was conducted by the Ethics and Internal Investigations office of the Bank of Ghana.

Mrs. Awadzi maintained that it is important for the Bank of Ghana to undertake such an exercise to prevent a recurrence in the future.

“This will ensure that we ourselves are standing strong as we regulate the banks. This Office of Ethics and Internal Investigations has particularly also investigated the collapse of the seven banks to show whether staff of the Bank of Ghana were involved”.

Read: Banking crisis: Deal ruthlessly with BoG officials Consultant

She disclosed that the Bank of Ghana has already notified the institute of Chartered Accountants to investigate its members whose actions also contributed to the collapse of the banks.

She maintained that it is very important to name and identify everybody whose action led to the collapse of the seven banks.

Background

In august 2017, the Bank of Ghana revoked the licenses of UT bank and Capital Bank and merged it with the GCB Bank.

In August this year, the central bank continued with the exercise by merging 5 banks namely Sovereign Bank, Beige Bank, Royal Bank, uniBank, and the Construction Bank into the Consolidated Bank Ghana Limited.

The banks were facing severe liquidity challenges and were also highly insolvent.

Source: citibusinessnews.com