GN Bank to revive operations as CEO Dr. Nduom seeks to retrieve banking license

Groupe Ndoum(GN) has initiated steps to recover its banking license in a bid to revive operations across the country. At a gathering addressed by Dr. Paa Kwesi Nduom, Chief Executive Officer for the Bank, at the former branches of the defunct bank in Brewa and Agona, all in the Central Region, he assured the residents that the bank would reopen operations soon. 'I am here to assure you all that sooner or later the bank will begin operations for you all. We are currently taking steps to access our license from the Bank of Ghana. We are the bank for the people, so we will do everything in our power to commence operations for you people, 'he said.The Bank of Ghana on August 16, 2019 revoked the licence of 23 savings and loans companies and finance companies. One of the savings and loans companies was GN Savings and Loans. The Central Bank took the decision pursuant to Section 123(1) of the banks and specialised deposit-taking institutions. The Act mandates the central bank to revoke the licence of a bank or specialised deposit-taking institution if it determines that the institution is insolvent. However, the bank's decision, according to Dr. Nduom, in an address to residents of the communities he visited, was unjust. He said that the government's indebtedness to the bank through locked-up funds from contractors occasioned the bank's insolvency. The CEO said if the government had paid the debt it owed the contractors, the bank would have been in a better financial position during the period the license was revoked. Dr. Nduom urged the residents to mount pressure on their leaders, particularly their representatives in parliament, to force the central bank to release its licence. The bank formerly had 300 branches across the country and a staff of 7,000. The license recovery drive also featured other activities, including a visit to the various branches of the defunct banks and communities. He said that in the coming days, the defunct bank will seek to recover its licences, as it intends to e ngage in various advocacy activities to raise concern about the 'unjust' revocation of banking licenses by the Bank of Ghana. The 'Bring Back GN Bank' recovery drive included several activities, notable among them being a tour of the company's assets across the country and engagement with former staff of the bank, he said. Dr. Ndoum visited the former and proposed branches of the bank  in Afransie, Awutu Senya, Potsin and Ngleshi Amanfrom.The branches in Amanfrom and Awutu Senya have been converted into churches while the branch in Potsin had been destroyed.Source: Ghana News Agency