EOCO summons directors of UT and Capital banks

The directors of the collapsed UT and Capital banks are expected to appear before the acting Executive Director of the Economic and Organised Crime Office (EOCO) to tell what role they played in the collapse of the two banks.

According to the Daily Graphic, the directors of UT Bank will go to EOCO on Wednesday, March 28, 2018, and their counterparts from Capital Bank will appear on Wednesday, April 4, 2018.

The invitation follows the findings of an investigation conducted after the collapse the two banks.

The investigation revealed that the two banks were run by owner chief executives, with complete disregard for internal rules and banking regulations.

The Governor of the BoG, Dr Ernest Addison, earlier said the two banks suffered from weak corporate governance standards.

“The principal factors that caused the demise of the two banks were very poor banking practices existing within the banks,” he said.

In August 2017, the Bank of Ghana oversaw the takeover of UT and Capital Banks by GCB Bank in a purchase and assumption agreement.

This was because the 2 banks faced serious liquidity challenges at the time which affected the continuous existence and the financial industry altogether.

Subsequently, the GCB Bank has collapsed at least thirty-one (31) branches of the defunct UT and Capital banks.

This is after the GCB Bank completed the full integration of the systems of the 2 banks.

A statement issued indicated that the closing down of some of the defunct branches brings the total number of GCB Bank’s branches to 183.

EOCO summons directors of UT and Capital banks

The directors of the collapsed UT and Capital banks are expected to appear before the acting Executive Director of the Economic and Organised Crime Office (EOCO) to tell what role they played in the collapse of the two banks.

Enhance Your Pulse News Experience!

JOIN OUR PULSE COMMUNITY!

Recommended articles

She sent naked photos to Dubai lover while I battled kidney disease - Erico speaks on divorce

How did young politicians get so rich in just 5 to 7 years - Franklin Cudjoe asks

Artificial Intelligence will affect around 40% of the global workforce — IMF

May God open your eyes to see the good in this government - Akufo-Addo prays

Police officer dies after colliding with stationary truck while chasing traffic offender

AG's office chases Alex Mould, Gavivina for GHS5 million bail bond for jailed MASLOC CEO

St Patrick Hospital suspends Muslim staff for taking break to observe Eid festivities

GPRTU proposes 30% increase in transportation fares

It's regrettable Ghanaian journalists no longer talk about galamsey — Sir Sam Jonah