Founder and Chief Executive Officer of Groupe Ndoum, Dr. Paa Kwesi Nduom, is urging the government to settle a debt of GH¢7.1 billion owed to his defunct GN Bank.
GN Bank became insolvent in 2017 following the Bank of Ghana’s banking sector clean-up and reforms, which revealed several breaches.
At a recent press briefing, Dr. Ndoum called for a structured repayment plan for loans used to prefinance government projects, aiming to revive his financial institution and repay depositors and creditors whose funds have been locked.
Dr. Ndoum also appealed to the government to reinstate GN Bank’s banking license, asserting that it was once a flourishing financial institution.
“We at Groupe Ndoum recognize the critical need for infrastructure development in this country. We believed the government’s credit was reliable and therefore financed key projects, including cocoa roads and schools, expecting prompt repayment,” he stated.
Dr. Ndoum emphasized, “The government owes us GH¢7.1 billion. If this amount had been paid to contractors six years ago, the issues with Gold Coast/Black Shield and GN Bank wouldn’t exist. We demand that the government fulfill its financial obligations.”
He highlighted that government loans were considered low risk at the time of prefinancing, anticipating timely repayment.
GN Bank was closed by the Central Bank during the sector clean-up due to insolvency and governance issues.
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GN Bank Collapse: Dr. Paa Kwesi Ndoum demands govt release his company's license. #JoyNews pic.twitter.com/lLaJFoqYjS
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