A coalition of prominent banks, including Agricultural Development Bank (ADB), GCB Bank, Bank of Africa, CalBank, UMB, and UBA Ghana, has taken legal action to confiscate assets owned by Produce Buying Company (PBC).
This follows a court order obtained by the consortium, allowing them to sell the company’s assets due to outstanding debts surpassing GH¢300 million.
The assets confiscated include crucial components of PBC’s operational infrastructure including vehicles and various equipment.
The consortium, consisting of leading financial institutions, such as ADB Bank, GCB Bank, Bank of Africa, CalBank, UMB, and UBA Ghana, initiated legal proceedings by filing an application for summary judgment on October 9, 2023, under order 14 of C.I 47.
Specifically, PBC is expected to pay the individual banks as follows: GH¢49.257 million to ADB Bank, GH¢11.219 million to Bank of Africa Ghana, GH¢71.049 million to CalBank, GH¢108.469 million to GCB Bank, GH¢42.295 million to UMB, and GH¢13.728 million to UBA Bank.
The impact of this development on PBC’s operations and the broader implications for the banking sector are yet to unfold.
Refresh for updates.