Ghanaians Not Angry Enough Over Collapsed Banks

Businessman Joe Jackson has rallied Ghanaians to demonstrate much more anger over the collapse of seven banks.

The Director of Business Operations at Dalex Finance said on the Super Morning Show Friday, government has had to put in "crazy" amounts of money to protect the thousands of depositors who had accounts with the failed banks.

The banks - all indigenous - had their licences withdrawn August 1, 2018 after the Bank of Ghana said they had become insolvent despite efforts to support them.

It was UT and Capital banks who set the tone in August 2017 which was followed a year later by unibank, Royal, The Beige, Construction, Sovereign banks.

Some of the banks obtained their licences through false pretence while others did not meet the capital requirement yet still got a banking licence, the Central bank said.

A financial autopsy report by Boulders Advisors has revealed grim details about wanton abuse of depositors funds and a scant regard for basic banking regulations.

Shareholders and Directors of these banks are under investigation by the Economic and Organised Crimes Office and calls for prosecution have been growing.

Joining in to express anger, investment expert Joe Jackson said government has had to "raid" the public purse to protect depositors.

Finance minister Ken Ofori-Atta has revealed more than 5.6billion cedis has been used to save depositors and also set up a new bank, the Consolidated Bank of Ghana which has taken over the assets and liabilities of five of the failed banks.

Joe Jackson said the figures bandied about as amounts mismanaged by the Directors are "too crazy beyond comprehension". He expressed shock at how public funds meant to bail out some of these banks were used as "smoke and mirrors" to set up other banks.

He wants the government to be thorough in investigating the financial mess and prosecute those found culpable. "Please deal with them," he said.

Story by Ghana|myjoyonline.com