The Banking Sector Clean up was Cruel and Criminal – ASEPA

The Alliance for Social Equity and Public Accountability [ASEPA] earlier today held a press conference with the banking sector clean up in perspective.

It could be recalled that, the Bank of Ghana conducted a clean up in the financial sector which saw Bank of Ghana revoke the licenses of many financial institutions ranging from banks to microfinances.

According to ASEPA, the collapse of banks in the financial sector clean up was not only cruel but was also criminal because it was done in contravention to Act 930, other banking regulations and international banking standards.

ASEPA also added that it will be injustice if the perpetrators of crimes during financial sector clean up to walk away free of any charge and that we must ensure that anybody who played a role in this cruel and criminal revocation of Ghanaian banks face the full rigors of the law.

Some of the Banks that were collapsed and officially ceased to be in existence after the financial Sector are; UT Bank and Capital Bank, were first taken over by GCB Bank in a purchase and assumption agreement.

Seven Banks: The Sovereign Bank, The Beige Bank, Premium Bank, The Royal Bank, Heritage Bank, Construction Bank and UniBank had their licenses revoked and placed under the Consolidated Bank of Ghana.

One Bank exit: The Bank of Baroda as part of its reforms willingly folded up operations in the country and exited.

Six Banks merged (3 mergers): First Atlantic Merchant Bank Limited and Energy Commercial Bank, OmniBank Ghana Limited and Bank Sahel Sahara Ghana and First National Bank and GHL Bank Limited reached merger agreements.

Watch the full ASEPA Press conference Below