Another ‘Susu’ Scam

Operators of a loan and 'susu' company at the 'Neoplan' Station in Accra are reported to have bolted with GH¢65,000 belonging to their customers after allegedly setting their office ablaze.

The company had been operating under the name 'Asomfo Credit Union' and with registration number G.21,962. It was managed by two men whose names were given as Nana Aboagye and one Oduro with about seven female employees at the Neoplan Station office.

But the Institute of Susu Collectors has denied knowledge of any Asomfo Credit Union, saying its operators did not belong to the umbrella body.

The Executive Secretary of the Susu Collectors body, Mr Godwin Ofori-Attah, told the Daily Graphic yesterday that 'Asomfo' was not on the register of the institute, which, he said, was established in 2007 “to collaborate with the Government and Bank of Ghana to organise 'susu' companies under proper regulation for the general benefit of all 'susu' patrons and the national economy”.

This comes barely a month after operators of another loan and 'susu' company in Takoradi reportedly bolted with GH¢80,000 being contributions of over 2,000 customers.

Mr Kwame Tawiah, the Station Master at the Neoplan Yard, told the Daily Graphic that his own balance at Asomfo Credit Union amounted to GH¢700.

He said at about 1:30 a.m. on Sunday May 25, the office of the company suddenly caught fire but when the fire was eventually put out, items they saw had got burnt were the cards used by the operators to register contributors, office chairs, a television set and a computer.

“A lot of contributors besieged the premises of the company when they learnt that there had been a fire outbreak but the operators were nowhere to be found,” he stated, adding that most of the victims were traders whose contributions came from their daily sales.

He said there was high suspicion that the operators of the scheme set the office ablaze to outwit the contributors.

According to him, when they contacted Aboagye, the manager of the company, on phone, he claimed to be in Kumasi and planned to return on an appointed date but never showed up so they reported the incident to the Neoplan Police Station.

When contacted, the officer in charge at the Neoplan Police Station said the case had been reported and investigations were going on.

Another contributor, Akwasi Ampofo, who operates a drinking spot next to the 'susu' office, revealed that the incident was the second time Aboagye had absconded with contributors' money.

He said the first incident was on December 24, 2007 when Aboagye absconded to Kumasi with contributors' money during the Christmas festivities.

“He came back and promised to pay back our money and what he did was that he paid us back with money he collected from new contributors,” Ampofo said.

He said aside the loan and 'susu' operation the suspects operated a drinking bar at night inside their office and “they had a lot of customers from their 'susu' operation and most of them did not know their houses because none of them had a permanent abode.

Clement Buabeng, a contributor popularly known as “Show Boy”, said Aboagye told him to contribute GH¢2,000 to qualify him for a loan of GH¢4,000.

He said since he could not raise the GH¢2,000, he paid GH¢1,800 and aboagye promised to advance him a loan of GH¢3,300 within a week but he did not hear from or see Aboagye till the fire outbreak.

Buabeng said he intended to use part of the loan to pay his daughter's school fees and the rest to start a business for his wife.

Two contributors, Robert Adjei Brenya and Autie Agyeiwa, whose contribution were GH¢900 and GH¢300 respectively, said they wanted to collect their money that was due for collection a day before the incident but Aboagye told them to come later, till they heard that there had been a fire outbreak at the office.

Meanwhile, the Institute of Susu Collectors-Ghana (ISC-G) says it has noted with concern the 'susu' scam in Takoradi reported by the Daily Graphic on Saturday May 17 2008 in which a loan and 'susu' company in Takoradi was reported to have bolted with GH¢80,000 contributed by more than 2,000 customers.

In a statement signed by its secretary, Mr Godwin Ofori-Atta, the institute said “we condemn such untoward and unwarranted attitude of unscrupulous 'susu' collectors or companies who manipulate the flexibility of the informal financial market and dupe innocent contributors.
 
Low income market women and petty traders seeking assistance to improve their businesses are usually the victims. This is quite unfortunate and pathetic”.

It expressed the hope that the law enforcement agencies would expedite investigations into the alleged scam in order to bring the perpetrators to justice.

“We also urge the government and the Bank of Ghana to help strengthen the Institute of Susu Collectors-Ghana to bring 'susu' operation under self regulatory operation.
 
This is necessary to safeguard the stakeholders' interests and guard against the abuse of the flexibility of the informal financial sector,” the statement said.

Story by Edward Turkson