The heritage bank "killed" the Heritage Bank but a 99% owned bank by a man still exists – Adongo

Company News of Thursday, April 4, 2019

Source: clbadfmonline.com

2019-04-04

The Bolgatanga Central MP, Mr. Isaac Adongo, alleged that a shareholder in a local bank in Ghana owned 99% of the bank and that his wife owned the remaining one percent, without President did not collapse. Ghana.

Speaking at a conference on the Ghanaian economy in Accra on Thursday, April 4, 2019, Mr Adongo said Heritage Bank Bank had collapsed in part because its major shareholder Mr. Seidu Agongo was overexposed because he owned 70% of the bank's capital. The bank, which according to Mr. Adongo is almost entirely owned by one person, still exists.

Mr. Adongo therefore questioned the grounds for the withdrawal of Heritage Bank's license on 4 January 2019 and the reforms undertaken by the Bank of Ghana, which resulted in the loss of their licenses by eight other local banks.

BoG Governor Dr. Ernest Addison, announcing the revocation of HBL's license, also stated that Mr. Agongo had used the proceeds of alleged fraudulent contracts for the Ghana Cocoa Board ( COCOBOD), for which he himself and the former COCOBOD Dr. Stephen Opuni, CEO, is currently trying to set up his bank.

He told reporters – when he was asked if he did not consider the action to be premature, that the COCOBOD case was still before the courts – that: "The question of Heritage Bank, I wanted to do justice with you, I do not know if I should, but we do not need the court decision to make the decisions we made. We need to secure sources of capital to authorize a bank; if we have doubts, if we think it is suspicious, it is on this basis that we find that it is not acceptable as capital. We do not need the court to decide whether a person is "fit and fit", the mere fact of being involved in a case involving criminal proceedings makes you unfit. "

HBL was added to Consolidated Bank Ghana Limited (CBG), which was created during the bankruptcy of the central bank in August 2005, with the closure of five local banks. They included Royal Bank, Beige Bank, Construction Bank, Sovereign Bank and UniBank. Later, HBL and Premium Bank were added to the top five.