CVM Petitions BoG Over “Unsafe” Savings & Loans, Rural Bank Operations In Kumasi.

According to the group, the two financial entities are “disrespectfully flouting Section 16 and 25 of the Act 930 Banks and Specialized Deposit-taking Institutions Act, 2016 and other banking and financial regulations.”

A statement signed by the group’s president, Razak Kojo Opoku, argued that Multi Credit Savings & Loans and Yaa Asantewaa Rural Bank at Bantama race course are using “unsafe containers” as their respective branches.

“The unsafe containers are a threat to depositors, funds of depositors, staff, clients and potential customers of Multi Credit Savings & Loans and Yaa Asantewaa Rural Bank” he stated

Adding that, “According Section 7 of the licensing requirements for Savings and Loans and Finance Houses, a Savings and Loans company is mandated to demonstrate its readiness to commence business by ensuring that its premises has sufficiency of title deeds/lease agreements, approval by relevant authorities, adequacy of business premises, staff operating area, ventilation, lighting and the security of the premises should be safe and more secured.”

“The premises of Multi Credit Savings & Loans and Yaa Asantewaa Rural Bank at Bantama race course in Kumasi are clearly unsuitable to do business,” the statement noted.

Razak Kojo Opoku also argued that “These two financial institutions do not have permit from the Kumasi Metropolitan Assembly and their premises are equally unsafe, detrimental to the interests of depositors, funds of depositors and the general public.”

“The unsafe containers of Multi Credit Savings & Loans and Yaa Asantewaa Rural Bank are temporary structures and could be demolished by relevant authorities anytime soon.”

The group, however, called on Bank of Ghana to investigate their operations and if possible close down the branches of Multi Credit Savings & Loans and Yaa Asantewaa Rural Bank at Bantama race course in order to protect the interest of depositors, staff and the general public.