In its June/July 2020 edition, the Africawatch magazine has made a comprehensive report on the takeover of Unibank by government, noting that the bank was deliberately destroyed on political grounds because the bank was owned by Dr Kwabena Duffuor, a top NDC member.
Unibank was placed in administration in March 2018 and subsequently consolidated as part of the Ghana Government’s handling of its banking crisis. The collapse was controversial as it involved allegations of trading insolvently, and 5 billion cedis in illegal and related party transactions, unlawful loans and illegal acquisition of bank assets by Directors and shareholders.
The report claims that Ken Ofori-Atta, Ghana’s Minister of Finance and cousin of President Akufo-Addo, Dr Ernest Addison, Governor of BoG and Nii Amanor Dodoo, the appointed Administrator on behalf of the receiver (KPMG), colluded to collapse one of Ghana’s successful indigenous banks (UniBank).
According to the report, the total amounts owed by government agencies to Unibank, when added together is about GHC 1 billion, an amount, when paid to the bank, will raise its Capital Adequacy Ratio, therefore making its solvent to escape the BoG hunting.
The Magazine further noted that the decision by the BoG to swiftly announce the takeover of UniBank due to its insolvency when the BoG itself owes the bank a whopping GHC 19,781,376.00 is curious if not ironical.