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General News of Sunday, 19 August 2018

Source: citinewsroom.com

Franklin Cudjoe slams EOCO over probe of collapsed banks

The President of policy think tank, IMANI Africa has taken a swipe at the Economic and Organised Crime Office (EOCO) for taking too long with its investigation into the collapse of some banks in the country, mainly UT and Capital.

The two banks collapsed a little over a year ago after the central bank announced that they have become “deeply insolvent,” after they had liquidity support of over GHc1 billion.

EOCO subsequently took over the investigation of the defunct banks.

Five other banks have also subsequently collapsed with the Bank of Ghana giving varied reasons why they collapsed.

The central bank merged the five banks into one and named it Consolidated Bank Ghana.

Some Ghanaians have however called for the prosecution of person’s whose actions led to the collapse of the banks since bonds were subsequently issued at the expense of taxpayers to defray the debt left behind.

Speaking on Citi FM/Citi TV’s news analysis programme, The Big Issue on Saturday, Franklin Cudjoe questioned why EOCO is taking too long in coming out with its report.

“…We heard that the banks collapsed and they were taken over. In between the banks collapsed and now, it’s been more than a year. So what has EOCO been looking for? Are they investigating the whole of Ghana? I don’t understand because what exactly have they been doing within the one year period?” Mr. Cudjoe queried.

He, however, welcomed the decision by Parliament’s committee to probe the central bank over the banks’ collapse but kicked against the in-camera session.

To him, the hearings should be made public.



Parliament committee to probe collapse of 7 banks

The Finance Committee of Parliament has scheduled a three-day hearing to probe the collapse of seven local banks.

“The committee has decided to hold hearings on the 5th to 7th September on the collapse of the banks here in Parliament,” the Chairman of the Finance Committee, Dr. Mark Assibey Yeboah.