Sanctioning UT, Capital banks officials will be in order – Institute of Directors

The Institute Of Directors has welcomed the decision by the Bank of Ghana to sanction those behind the bankruptcy of UT and Capital banks leading to the eventual takeover of the two commercial banks by GCB bank.

Bank of Ghana on Monday announced a takeover of the two commercial banks by GCB Bank, and said it would stop at nothing in ensuring that perpetrators are punished.

“The last phase of the BoG’s action would involve a thorough investigation of operations of UT Bank and Capital Bank and appropriate action will be taken against shareholders, Directors, and key a Management personnel who are found to be culpable,” the BoG Governor, Dr. Ernest Addison said.

The decision has been welcomed by some stakeholders.

Speaking to 3FM BUSINESS, president of the Institute of Directors, Fredrick Ofosu Darko, though welcomed the move, saying “We welcome any move or decision that the central bank will agree on.

“By law directors are responsible for their actions, and they must be held accountable for it. They answer to their stakeholders and higher authorities and so if their actions have resulted in the collapse of the banks, then they should be held responsible,” he said.

Mr Ofosu Darko added: “now the advice is that directors should be more vigilant in whatever they do. They should know that all their actions have effects on others. I believe this should be a wake up call for all of us,” he said

He was speaking at the maiden edition of the Institutes’ bi-monthly business meeting, which brings together members of the Institute and other stakeholders to discuss issues of relevance.

The meeting was themed: Stimulating Public-Private Sector Dialogue: The Place of Key Stakeholders in Leadership and Corporate Governance in the Accelerated Socio Economic Development of Ghana”.

By Grace Asare||Ghana

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