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30.03.2012 Business & Finance

Court orders for the bank-accounts of CBNet to be defrozen

By Emmanuel Agyei - Joy Business
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Stakeholders of Microfinance Company, Capital Builders Network, CBNet can now heave a sigh of relief as an Accra Financial Court has ordered for the company's bank accounts to be defrozen.

The Economic and Organized Crime Office, EOCO froze the accounts for investigations into the company's operations. This was after the Bank of Ghana had indicted the company as operating a Ponzi scheme and mobilizing deposits without a licence.

But the court yesterday ruled for the accounts to be defrozen since EOCO failed to establish any evidence of criminality against the company.

Chief Executive, Yaw Diowuso Agyemang explains to JOY BUSINESS, clients with deposits at the company should begin accessing their cash in about 2 weeks.

“The lawyers would apply to the court for copies of the ruling to defreeze the account which would be sent to all the institutions involved in this including the company's bankers. This sets aside the initial order that empowered EOCO to block the accounts. Customers' registration fees are sitting in the bank accounts which were frozen and so once the paper work is done and the banks are informed, we will begin to transfer their monies to their bank accounts just as we were operating” he said.

The company last year withdrew from court, its suit against the Bank of Ghana for the suspension of its operations. This was because of the introduction of the new regulations for the Microfinance Sector and Mr. Diowuso Agyemang wants the Central Bank to allow them to operate while they finalise their licensing application process.

“We've complied with the Central Bank's directive on guidelines for microfinancing companies in which they were all given a six-month timeline which has even been extended. With this ruling we're therefore hoping the Bank of Ghana would consider our applications and give us a window of opportunity to re-start operating even as we go through the application process. If that happens, we would refund the monies to customers and if they want to continue with the scheme they could come back”.

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