The Police Criminal Investigations Department says it has no case lodged against chief executive of Menzgold Ghana, Nana Appiah Mensah, who is said to have fled Ghana in the midst of the firm’s crisis that is likely to cost thousands of customers their investment.
On the back of series of demonstrations to put pressure on government to intervene in the crisis, private legal practitioner Gabby Asare Otchere-Darko on Tuesday claimed Mr. Appiah Mensah was arrested but absconded.
“I understand the owner of Menzgold, Nana Appiah Mensah, has breached his bail condition and absconded,” he said in a Facebook post but did not give further details as to when he was arrested and by who and how he was able to escape.
When contacted to establish the veracity of the claim by Mr. Otchere-Darko, Director of the Police CID, DCOP Maame Yaa Tiwaa Addo-Danquah, said as far as the Police were concerned, they have “never arrested or invited” Nana Appiah Mensah.
She said there is no complaint at the Police Headquarters as at Wednesday, January 9, 2019.
However, she told 3news.com that she is aware the Economic and Organised Crime Office (EOCO) is investigating Mr. Apppiah Mensah who is said to be hiding in South Africa due to agitation by customers of his Menzgold who have been demanding for their investments.
The Bank of Ghana in August last year issued a public notice that Menzgold Ghana Limited is not licensed and has no authority to engage in the solicitation, receipt of money or investments and the payment of dividends or returns to its clients which is captured in Section 6 (1) of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930).
It also hinted of impending sanctions, saying after several cautions to Menzgold, it has started discussions with relevant regulatory authorities to sanction them for breaching the law.
Though Menzgold called the bluff of the central bank, it was forced to shut down in September 2018 by the SEC.
As part of the shutdown notice, the firm was ordered not to take new contracts (investments).
SEC claimed evaluation of Menzgold’s documentations show the company does not have the licences to trade in gold, and that, its operations are in breach of Act 929 “as well as a threat to unsuspecting and uninformed investors”.
The company has since been in tango with SEC as well as customers and investors who are demanding their returns and investments.
But when the issues appeared to have escalated due to pressure from the customers, Nana Appiah Mensah run to parliament with a petition to intervene so the company can resume operations and pay its customers.
The company pleaded with the House to particularly intervene in the impasse between it and the SEC, which the company claimed has caused delays in paying its customers interest on their investments.
The company claimed in the petition to the Finance Committee of Parliament that the complete shutdown of its gold collectible vault by SEC has “caused a lot of serious challenges for the company and its customers [both local and foreign]”.
Accordingly, the firm wants parliament to “intervene and help resolve this matter amicably”.