IN THE MATTER OF THE BANKS AND SPECIALISED DEPOSIT-TAKING INSTITUTIONS ACT, 2016 (ACT 930)
AND
IN THE MATTER OF THE RECEIVERSHIPS OF THE 347 MICROFINANCE COMPANIES AND 23 SAVINGS & LOANS AND FINANCE HOUSE COMPANIES
NOTICE TO THE GENERAL PUBLIC
Pursuant to Section 123 (1) of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930) (“the Act”), Bank of Ghana (“BoG”) on 31 May 2019 and 16 August 2019 revoked the operating licenses of 347 Microfinance Companies and 23 Savings and Loans and Finance House Companies respectively, and in accordance with Section 123(2) of the Act appointed Eric Nana Nipah, a Director of PricewaterhouseCoopers Ghana Limited (“PwC”) as the Receiver for the purposes of winding down the affairs of these Companies.
As you may be aware, the mandate of the Receiver under Section 127(3) of Act 930 is to maximise asset realisations for the benefit of Creditors including Depositors, as well as settle the obligations of the company to its body of creditors to the extent possible.
In carrying out his duties and as part of his Day 1 activities, the Receiver took control over the premises of these resolved companies and in the process, secured the assets and liabilities of these companies, as well as their books and records to the extent possible.
A summary of the operational status of the resolved companies as at the date of revocation is set out below:
|
Details |
Number of Resolved Companies |
Number of Operational Companies |
Number of Non-operational Companies |
|
Resolved Microfinance Companies |
347 |
192 |
155 |
|
Resolved Savings & Loans and Finance House Companies |
23 |
21 |
2 |
|
Total |
370 |
213 |
157 |
Based on the above table, out of a total of 370 entities in resolution, 157 were non-operational with some of these companies having ceased operations long before BoG revoked their licenses.
In the conduct of the resolution of these companies, a major challenge the Receiver has faced with some of the non-operational companies has been in the area of securing the books and records of these companies both manual and electronic. At the commencement of the resolution process, there were 157 non-operational companies whose books and records we were not able to locate and secure. Based on the collaborative arrangement we have with the Economic and Organised Crime Office (“EOCO”) which includes assets tracing and investigations, over time, we have been able to retrieve books and records from 131 resolved entities which were not operational at the commencement of the resolution of these companies, thereby making it possible for us to be able to validate creditor claims on these institutions.
Currently there are 35 resolved companies with depositor claims worth approximately GHS252m which have no books or records available to us, to enable us to validate and settle these claims under the Depositor Payment Scheme. We are working with EOCO to locate and retrieve these companies records in order to be able to validate and settle depositor claims made on these companies. Attached at Appendix 1 is a list of the 35 resolved companies the Receiver is yet to obtain books and records on, to enable the validation of creditor claims including depositor claims to be undertaken in the resolution exercise.
The Receiver,
No 54 Olusegun Obasanjo Highway
Opposite Accra Girls High School
Accra, Ghana
SGD
ERIC NANA NIPAH
Appendix
|
a) Microfinance and Microcredit Companies Without Records |
||||
|
No |
Name of Resolved Institution |
Date of Closure |
No. of Claims |
Value of Claims |
|
1 |
ABIS PLUS MICROFINANCE LIMITED |
Sept, 2014 |
31 |
24 |
|
2 |
AFRICAN TRUST MICROFINANCE LIMITED |
Dec, 2015 |
122 |
481 |
|
3 |
AG MICROFINANCE LIMITED |
May, 2017 |
2 |
4 |
|
4 |
BEDEL |
May, 2019 |
2 |
988 |
|
5 |
BENGAY MICROFINANCE LIMITED |
Dec, 2017 |
3 |
59 |
|
6 |
BIG DREAMS MICROFINANCE LIMITED |
Sept, 2013 |
1 |
1 |
|
7 |
BOIN MICROFINANCE COMPANY LIMITED |
May, 2019 |
4164 |
2,974 |
|
8 |
COMMON CAPITAL MICROFINANCE LIMITED |
Mar, 2016 |
2 |
1,283 |
|
9 |
CROWN CAPITAL MICROFINANCE LIMITED |
May, 2019 |
2 |
29 |
|
10 |
D-VANC MICROFINANCE LIMITED |
May, 2019 |
1 |
1 |
|
11 |
DWETIRE MICROFINANCE LIMITED |
May, 2019 |
5 |
10 |
|
12 |
ELITE MICROFINANCE LIMITED |
Jun, 2017 |
2 |
858 |
|
13 |
ERA MICROFINANCE SERVICES LIMITED |
Oct, 2013 |
23 |
943 |
|
14 |
GMET MICROFINANCE LIMITED |
Dec, 2016 |
1 |
659 |
|
15 |
GODIGO MICROFINANCE LIMITED |
Sept, 2013 |
10 |
8 |
|
16 |
GOLDEN TRUST MICROFINANCE CO. LIMITED |
Jun, 2017 |
3 |
2,451 |
|
17 |
HALAL MICROFINANCE LIMITED |
2013 |
1 |
1 |
|
18 |
HIGH PRESTIGE MICROFINANCE SERVICES LIMITED |
Aug, 2016 |
5 |
188 |
|
19 |
ICS MICROFINANCE LIMITED |
Mar, 2015 |
1 |
6 |
|
20 |
JADA MICROFINANCE LIMITED |
Apr, 2014 |
1 |
13 |
|
21 |
JOPAT MICROFINANCE COMPANY LIMITED |
Jul, 2012 |
1 |
17 |
|
22 |
JOY HELP MICROFINANCE LIMITED |
Sept, 2016 |
5 |
17 |
|
23 |
KAPITAL EXPRESS MICROFINANCE COMPANY LIMITED |
Dec, 2018 |
1 |
6 |
|
24 |
KINGDOM TRUST MICROFINANCE LIMITED |
Oct, 2014 |
13 |
68 |
|
25 |
LIBERTY DAILY |
May, 2019 |
1 |
5 |
|
26 |
MAN CAPITAL MICROFINANCE COMPANY |
Apr, 2017 |
388 |
67,235 |
|
27 |
NOBLE DREAM MICROFINANCE LIMITED |
Mar, 2014 |
9,427 |
122,171 |
|
28 |
RESTORE MICROFINANCE COMPANY LIMITED |
Jul, 2012 |
1 |
20 |
|
29 |
ROYAL FUTURE MICROFINANCE LIMITED |
Oct, 2012 |
3 |
30 |
|
30 |
SAVANNAH MICROFINANCE LIMITED |
May, 2019 |
1 |
22 |
|
31 |
STAR PLUS MICROFINANCE LIMITED |
Sept, 2014 |
208 |
202 |
|
32 |
STARLING MICROFINANCE SERVICES LIMITED |
May, 2019 |
14 |
88 |
|
33 |
UNIQUE-MAS MICROFINANCE COMPANY LIMITED |
May, 2019 |
2 |
549 |
|
34 |
*GREAT AFRICA MICRO CREDIT COMPANY |
Jan, 2017 |
1 |
116 |
|
Total |
|
14,448 |
201,527 |
|
|
*Great Africa Microcredit is under Official Liquidation |
||||
|
a) Savings & Loans and Finance House Companies Without Records |
||||
|
No |
Name of Resolved Institution |
Date of Closure |
No. of Claims |
Value of Claims |
|
1 |
CREST SAVINGS AND LOANS |
November 2015 |
28 |
47,980 |
|
2 |
STERLING SAVINGS AND LOANS |
January 2011 |
3 |
2,735 |
|
Total |
|
31 |
50,715 |
|