Delivering the State of the Nation Address, the president stated that the council will monitor and advise government on acts in the financial sector that may lead to people losing their funds.
He was optimistic the council will prevent the occurrence of such acts by prompting the necessary regulators ahead of time.
“Last week, I inaugurated the presidential Financial Stability Advisory Council and inter institutional consultative coordinating body which brings together all the regulators of our financial system and whose purpose is to advise the president on the measures to be taken to preserve the stability of the financial system. The existence of such a body would have forestalled the emergence of the Menzgold saga and will make it difficult in future for any such scheme to get off the ground.” he stated.
He further advised Ghanaians to be vigilant in their operations with such financial institutions.
“This is a tragic phenomenon to have occurred in plain sight and affected a lot of people despite warnings from official institutions. As authorities try to unravel the intricacies of what happened, I admonish all Ghanaians to learn the necessary lessons for the future. Even as state institutions work to bring a resolution to the matter and those who are seen to have indulged in criminal activities are brought to justice.” he said.
Background
Customers of gold dealership company Menzgold are battling the company for their locked up investments.
Recently, hundreds of aggrieved customers held a demonstration at Tarkwa in the Western Region. The demonstration was aimed at putting pressure on government to help them retrieve their locked up investments.
Menzgold was asked by the Securities and Exchange Commission, SEC, stop its business because it was illegal.
The company since then has been struggling to pay its clients.
CEO of the company Nana Appiah Mensah, also known as Nam 1 has since fled to Dubai where he has been arrested in connection with a gold deal worth millions of dollars that has gone bad.
–
Source: citibusinessnews.com
