We’ll not participate in Parliament’s investigation into revocation of banking licenses - BoG

The Bank of Ghana has declined the invitation by the seven-member committee set up by Parliament to investigate the revocation of banking licenses of UT BAnk and Unibank.

Bank of Ghana Governor, Ernest Addison

According to the central bank, it “will not participate in the investigation being conducted by Parliament, arguing the probe flies in the face of the Constitution.

In a response to a petition by owners [ Prince Kofi Amoabeng and Dr Kwabena Duffour] of the defunct banks sent to Parliament, lawyers of the BoG, Bentsi-Enchill Letsa and Ankomah noted that Parliament cannot review decisions made by the central bank.

The BoG further explained that the decision to revoke the licenses of the two banks was taken according to its statutory powers under the Banks and Specialised Deposit Taking Institutions Act, 2016 (Act 930).

The BSDTI Act provides how persons who are aggrieved with such decisions may seek redress for their grievances, and the prescribed resolution mechanisms do not include recourse to Parliament.”

The BoG further argued that what the owners of the banks want parliament to do is contrary to section 3 (2) and section 4 (1A) of the Bank of Ghana Act , 2002 (Act 613).

Mr Kofi Amoaneng and Dr Kwabena Duffour petitioned Parliament to probe BoG’s conduct and the Ghana Stock Exchange (GSE) over the withdrawal of their banking licenses.

The petitioners amongst others have prayed Parliament to order BoG to restore their license.

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