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General News of Thursday, 30 August 2018

Source: Myjoyonline.com

Stop playing political football with banking crisis - Consultant counsels Adongo

Banking consultant Dr. Richmond Atuahene has dismissed any possibility of assets of defunct banks being returned to its shareholders in the event there is a change in government.

According to him, any such promise to return those banks to the original owners can only be a futile political promise.

Speaking to Joy News, the Consultant would rather the current bank crisis be devoid of politics and political comments.

Dr Atuahene was reacting to statements by Member of Parliament for Bolga Central Isaac Adongo, who among other comments, made a promise that a future NDC government will return the assets of the defunct banks to their original owners.

At a forum held Tuesday on the crisis in the banking sector, Mr Adongo minced no words in his criticism of the Bank of Ghana.

According to Adongo, the decision by the regulator to take over the licenses of seven banks is nothing more than political.

Between August 2017 and same period 2018, at least seven indigenous banks have had their licenses withdrawn by the Bank of Ghana over liquidity challenges.



UT and Capital Banks were the first to go under. Their assets were taken over GCB Bank. In July this year, five banks, Sovereign, Construction, Unibank Beige and Royal banks were merged into one Ghana Consolidated Bank.

Albert Adongo is incensed by the decision of the Bank of Ghana to takeover the banks.

“Those who keep going around saying they gave tax payers money to Capital Bank and directors stole that money themselves must be rendering an apology to the people of Ghana,” he said.

He added the Boulders Report, which is described as a financial autopsy report into the collapse of UT and Capital Banks is nothing more than a discredited piece of lazy work.

He wants the BoG to be held responsible for the collapse of the banks.

But Dr Atuahene disagrees vehemently.



“What moral justification has anybody to say BoG has caused the failure of the banks? I don’t believe that. Either the person has done no research, has no figures, if he has figures he does not know how to interpret them,” he said.

He added if government is dolling out an amount of over ¢8 billion to save these banks, it cannot be a matter for political football.

“We are not looking for political commentators because it is not a political issue,” he said.