Menzgold, preparing for litigation, hires top British law firm

Embattled gold dealing firm

SEC in a leaked letter warned Menzgold to shut down after weeks of investigation into activities of the company founded a young Ghanaian entrepreneur Nana Appiah Mensah.

In a letter dated September 14, 2018 and addressed to the Deputy Director-General of SEC, Mr Paul Ababio and copied to the Chief Executive Officer of the Minerals Commission, Baker & McKenzie said Menzgold is in full compliance with the laws of Ghana.

"The Company will, as a demonstration of good faith and willingness to fully cooperate with the SEC while this matter is resolved, desist in these specific activities outlined in the SEC Communications," it said.

The law firmed further said: “This voluntary and temporary cessation of these alleged activities is without prejudice to the Company's legal position nor any acknowledgement of wrongdoing in any way. “It is a simple gesture of good faith to give all pause for consideration of the technical legal issues and to allow its lawyers to fully engage with the SEC on this matter.”

Meanwhile, SEC has set up a conditional meeting with Menzgold for Tuesday, September 18 to resolve issues arising from the directive to shut down, but SEC insists it will only meet with Menzgold if the latter provides some information requested of it.READ MORE: SEC says it's not out to destroy anyone's business

“The Commission would be available to meet with your client on Tuesday, September 18, 2018 at 2:00pm on condition that the information we requested for in our letter dated August 27, 2018 is provided by close of business Friday, September 14, 2018.”