Home Business Financial News Court issues warrant for the arrest of Menzgold directors

Court issues warrant for the arrest of Menzgold directors

Information reaching FNNews has indicated that the Accra Circuit Court has issued an order for the immediate arrest of all directors of controversial gold dealership firm, Menzgold Ghana.

The warrant which was issued this afternoon January 9, 2019, is requiring the police to immediately locate and arrest the four main directors of the company; Nana Appiah Mensah, Rose Tetteh, Benedicta Appiah, and Abigail Mensah.

The directors are being arrested owing to their various roles in the founding and operation of gold trade hub in Ghana.

Rose Tetteh is the wife of NAM 1 who is the CEO and the main architect of the scheme whiles Benedicta Appiah and Abigail Mensah are his siblings.

Background:

Menzgold started operations in Ghana about 5years ago under the name MenzBanC but had an issue with the Central Bank, saying it does not have the required licenses to operate under the said business venture.

The name was then changed to MenzGold. The company grew with the few years and have spread all over the country with the lavish public appearance by its CEO NAM 1.

The company’s problems began on September 7, 2018, after the Securities and Exchange Commission (SEC) directed it to suspend its gold trading operations after Bank of Ghana’s several attempts to stop their operations including issuing a warning notice to the public to stop investing in the firm.

The directive, according to SEC, was based on the ‘fact’ that Menzgold had been dealing in the purchase and deposit of gold collectibles from the public and issuing contracts with guaranteed returns to clients without a valid license from the Commission.

The move, SEC explained, was in contravention of “Section 109 of Act 929 with consequences under Section 2016 (I) of the same Act.”

The company was, however, allowed to continue its “other businesses of assaying, purchasing gold from small-scale miners and export of gold.”

The directive caused panic among Menzgold Ghana Limited’s numerous clients, who consequently besieged the offices to demand their investments.

However, for several days, management of Menzgold failed to convince its clients to accept a proposed 15 percent initial payment on their principals.

The back and front between the company and SEC led to the total breakdown of the firm leading to the lock of millions of their customer’s investment.

Just yesterday, some customer of the company demonstrated in Kumasi where they attempted burning down the Amekom branch of the firm but were stopped by the police. Seven of the said demonstrators have since been arrested.

Gabby Asare Ochere Darko, a leading member of the ruling NPP yesterday posted on his Facebook page that NAM 1 had jumped bail. The claim was however debunked by the Police Director of CID saying they have never arrested NAM 1 and that they have no case against him.

Source: AwakeNewsOnline.com

Give Your Comment
............................................................................................................ Do you have an article for publication? Are you an eyewitness? Submit your stories and articles now via Editor@fnnewsonline.com or WhatsApp: +233248534893 .............................................................................................................