The Consolidated Bank Ghana (CBG) has began disbursement of funds to depositors of defunct Microfinance, Microcredit, Savings and Loans as well as Finance House companies (S&L/MFIs).
Rev. Father Francis Abban; Administrator at St. Dominic Hospital in Akwetia; a client of defunct GN Savings and Loans disclosed on Happy Morning Show (HMS), that he has received full payment of the hospital’s locked-up funds from CBG.
According to Rev. Abban, the announcement for payment was communicated in corresponding SMS messages sent to some depositors.
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“I’m Rev. Father Francis Abban. Three (3) days ago we received a text message from CBG that our monies that were locked up at GN Savings and Loans are ready so we should come for it. So I came to Accra on Tuesday and went through the validation process that same day. The money is huge so I opted that it should be deposited into the hospital Account. I called the Receiver this morning to find out and everything has been successful. So I can confirm that St. Dominic has successfully received its money from CBG”.
President Akufo-Addo during the State of the Nation Address on February 20, 2020, in parliament stated that persons whose funds have been locked up in some defunct S&L/MFIs will begin receiving their funds from Monday, February 24, 2020.
Nana Addo added that he had been informed by the Receiver of the S&L/MFIs that the payments will total GH¢5 billion.
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However, the receiver could not start on the said date as a result of challenges with finalizing work on validated claims that affected them in meeting that deadline.
Rev. Abban also revealed that yesterday, he met some customers who have also gone through the process successfully and had received their funds. “I also met some customers who have successfully received their funds. I even spoke to one of them who told me how happy he was because it has been speculated in the media that when you come to CBG, you won’t receive your money so he was happy seeing otherwise”.
The Managing Director (MD) of CBG, Daniel Wilson Addo, had earlier indicated the bank’s readiness to commence full payment of funds to depositors of collapsed S&L/MFIs, and also confirmed receiving 5 billion cedis in cash and bonds to facilitate payment.
According to the finance ministry, the government has spent GH¢17.7 billion on the financial sector clean-up. GH¢11.65 billion cedis was spent on the banking sector whilst GH¢6.1 billion was spent on specialized-deposit-taking-institutions, as well as a microfinance institutions.
The finance ministry has noted that this would help improve liquidity in the system.
By: Joseph Nii Ankrah
