Over billion cedis dividend paid to Teachers' Fund

Accra, Sept. 7, GNA - A cheque of over one billion cedis (1,019,045,312) was paid as dividend to the Teachers' Fund of the Ghana National Association of Teachers (GNAT) by Credit Mall Limited, a consumer credit company.

The dividend, the first ever to be paid by Credit Mall to its shareholder represents a dividend of 33.3 percent of the company's profit after tax for 2004.

The Fund is a collective investment scheme set up by GNAT in 1998 to serve as a supplement retirement benefit scheme for members of GNAT. The fund offers loans and other lifestyle enhancing facilities to its members.

Credit Mall Limited (CML) was established in March 2001 as a subsidiary of the Teachers' Fund with some members of GNAT, who contribute 25,000 cedis each a month for providing household appliances and other consumer items for sale to teachers.

Mr. Sam Okudzeto, Chairman of the Board of Credit Mall, presenting the cheque said the company decided to allow profits earned by the company in the first three years to be re-invested. He said, "Credit Mall Limited's after tax profit for year 2004 represents a net profit margin of 22 percent and a 4 percent return on shareholder's fund."

Mr Okudzeto said CML paid corporate tax of 648 million cedis and a national reconstruction levy of 52 million cedis to the Internal Revenue Service out of its 2003 profit.

He said consumer shops would be established in all regions of the country for the benefit of teachers all over the country. Mr. Kwame Pianim, Chief Executive Officer of New World Investments Limited, the fund managers, said membership of the fund was open to all teachers who are members of GNAT.

Mrs. Irene Adanusa, General Secretary of GNAT pledged continuous commitment to support Credit Mall Limited to establish more subsidiaries.

Mr. Joseph Ankumah, Chairman of the Board of Trustees of the Teachers' Fund of GNAT, who received the cheque said the dividend and future dividend would be reinvested for the benefit of contributors.