Scores of Ghanaians have questioned why other prominent decision makers in the bank have not been prosecuted alongside the founder of the defunct Capital Bank, William Ato Essien,
The individuals in question include shareholders and directors of the defunct company, such as Oheneba Osei Akoto, Stephen Enchill, Kingsley Atta Ghansah, Otabil and Associates, International Central Gospel Church (ICGC), Kwadwo Ayisi Ahwireng, Isaac Osah Thompson-Mensah, John Kofi Mensah, Fitzgerald Odonkor, Amadu Montia, Kofi Kwakwa, and Francis Adu-Mante.
Why Civil action?
The Receiver appointed to manage the assets of the defunct bank is pursuing civil action against these individuals in an attempt to recover over 800 million cedis from them.
This includes recovering 468 million cedis as shareholders’ loans, 108 million cedis as outstanding facilities granted to Ato Essien and his related companies, and 51 million cedis from ICGC.
Allegations of fraud
The Receiver alleges in court documents that the directors of the defunct bank approved loans and funds to themselves and related parties without adequate collaterals and in violation of the company’s internal policies, banking regulations, and Ghanaian company law.
Furthermore, the directors are accused of overseeing the disbursement of liquidity support (620 million cedis) granted by the Bank of Ghana in violation of banking regulations and Central Bank guidelines.
Legal proceedings related to this case are ongoing, and the High Court is set to hear arguments concerning the Receivers’ capacity to sustain the legal action, especially since the bank’s assets now belong to GCB Bank. The hearing is scheduled for November 21.