GA civil society group, Concerned Voters Movement (CMV), has appealed to the Bank of Ghana (BoG) to shut down two deposit-taking institutions for using ‘unsafe’ containers to carry out their financial activities.
According to the group, activities of the two Kumasi-based institutions- Multi Credit Savings & Loans Limited and Yaa Asantewaa Rural Bank Limited, which are both located at the Race Course Area at Bantama, were in contravention of Act 930 of the Banks and Specialised Deposit-Taking Institutions Act, 2016.
Under Section 16(1) of the Bank of Ghana Act, the Central Bank shall revoke the licence of a bank or specialised deposit-taking institution when it conducts business contrary or detrimental to the interests of depositors or public.
Section 25 of the same act also mandates the Bank of Ghana to license the premises of banks and financial institutions.
In a petition to the Governor of the Central Bank, CVM said the activities of Multi Credit Savings & Loans Limited and Yaa Asantewaa Rural Bank Limited are a threat to depositors, staff, customers and potential customers.
The group also said savings and loans company is mandated to commence business by ensuring that its premises has sufficient title deeds/lease agreements, approvals by relevant authorities and conducive business premises, staff operating area, ventilation, lighting, among others.
It also added that there should be adequate security at the premises with alarm systems, fire extinguishers and vaults or safes, among others.
The group, therefore, urged the Bank of Ghana to tell the public whether it has authorized operations at the two branches.
“It should tell us whether it’s satisfied with the premises and security of the said branches, and whether it continues to check the premises or branches of banks, savings & loans companies and other deposit-taking institutions,” the petition said.
By Issah Mohammed