A group representing concerned former employees of the defunct GN Savings and Loans Limited has earnestly appealed to the Akufo-Addo government to reinstate the bank’s operational license.
The group contends that this move would not only complement ongoing efforts to foster sustainable employment but also rejuvenate economic activities tied to the bank.
Once operating under the Groupe Nduom brand, GN Bank underwent a transformation when it was reclassified as a Savings and Loans institution in 2019. Subsequently, the bank lost its operational license, rendering it unable to conduct business.
Addressing the media during a press conference held in Accra to mark the fourth anniversary of the bank’s license revocation, Kofi Fosu, former Eastern Regional Manager of the now-defunct bank, lamented the far-reaching negative consequences of the Bank of Ghana’s decision.
He noted that the move adversely impacted the livelihoods of over 3,000 households.
“We are passionately appealing to the President of the Republic to intervene by using his executive powers to urge the Governor of the Bank of Ghana to restore the operational license of GN Savings and Loans,” Fosu asserted. He maintained that such action would not only reinstate opportunities for employees, customers, shareholders, and the broader business community but also help restore trust in Ghanaian entrepreneurs and invigorate the private sector as a catalyst for economic growth.
Kofi Ofosu also called upon the Receiver to safeguard the remaining assets of GN Savings and Loans from further loss or deterioration.
The legal saga surrounding the bank’s license revocation has also seen recent developments. On July 20, the Supreme Court granted businessman and politician Paa Kwesi Ndoum the permission to challenge the license revocation at the High Court. This ruling overturned a prior Court of Appeal decision that had prevented such a challenge. The Court of Appeal had previously ruled that any dispute over the license revocation should be addressed through arbitration under the specialized deposit-taking institutions ACT.
GN Bank’s fate was intertwined with the broader financial landscape when it was one of several institutions operating under the Groupe Nduom brand to have their licenses revoked in 2018 as part of a government-led cleanup initiative targeting the banking sector.
The appeal by former employees serves as a testament to the profound impact of regulatory decisions on individual lives and the broader economy. It underscores the complex interplay between governmental policies, financial institutions, and the livelihoods of citizens, advocating for measures that can harmonize these elements for the collective benefit.