Any thoughts that BoG has been acting independently should be finally out to rest based on new documents that have been obtained from confidential sources.
As early as June 2018, six months before the deadline to raise an additional 280 Million in minimum capital, the Minister of Finance went to Akuffo Addo’s cabinet with his plans to revoke the license of GN Bank. As documented in a confidential memo from the cabinet secretary, the Minister was asked to rather work with the management of the bank and Bank of Ghana to ensure that the company does not collapse.
Not satisfied with this answer, the Minister began to starve the Bank and its affiliates of cash by withholding payments due to contractors owed by not only his ministry but by COCOBOD, GETFUND, and the Ministry of Roads and Highways. In a secret memo presented to Cabinet in September of 2018, the Minister doubled down on his request to close the bank, spelling out the political nature of his request in no uncertain terms.
“Cabinet is respectfully requested to consider and approve the revocation of the license of GN Bank Company Limited owned by a businessman and a politician, Dr Papa Kwesi Nduom,” wrote the Minister of Finance in his Secret Memo.
“In the case of the GN Bank, the owner who is considered a
s a threat to our survival has taken a due advantage of his position in society and his past relationship with the government” the report from the Minister continues.
In section 2.3 of the memo, Ken Ofori Atta writes: “It is important to note that Dr Nduom has established himself beyond the borders of Ghana, and therefore touching his so-called business empire must be done with care and diplomacy so that our arch-rivals (NDC) does not make political capital out of this.”
What business does the Minister of Finance have inserting himself into the affairs of the Bank of Ghana in this matter? In what way is Dr Papa Kwesi Nduom a “threat to the survival”