The debt you owe Gold Coast is not my money, they’re for customers so pay-Nduom to gov’t
The Chairperson of Groupe Nduom, Dr Papa Kwesi Nduom has appealed to Ghanaians to join his crusade to help mount pressure on government ‘’ to unlock customers’ funds locked up in government infrastructure projects’’.
Gold Coast Fund Management has been in the news for its inability to pay clients’ invested capital and the interest accruing on it.
For a few months now, customers of Gold Coast Fund Management and sister company, GN Savings, have launched attacks sometimes-vicious ones on the offices, employees and properties of the companies.
They have held press conferences, gone on demonstrations and flooded social media with their demands for payment.
But the company through the CEO has maintained that the failure of the government to pay debts owed it, has contributed to their inability to meet the demands of customers.
In June this year, the Ghana Growth Fund, a subsidiary of Groupe Ndoum, sued the Finance Minister over debts that have left it unable to pay investors’ funds.
Included in the suit is the Attorney-General, Minister for Roads and Highways and Agyakot Company Limited.
Lawyers for Ghana Growth Fund Limited, which invests the money on behalf of Gold Coast Fund Management, are demanding the recovery of ¢4,416,719.37 being the total face value of the accrued but unpaid interim payment certificates due to the fourth defendant, Agyakot Company.
Dr Nduom has renewed his call on the government to pay all outstanding debts owed his company for him to pay customers.
He argued in a post that customers are the worst affected when the government fails to pay contractors for work done.
He said when government fails to pay contractors for work done, they are unable to pay back the loans they took from banks to execute their projects, and in effect, these affected banks are unable to pay customers their deposits.
‘’Now our concern is to get the payment process going so contractors can complete projects, get them certified, get paid so they can pay back what they owe to Gold Coast. SO THAT GOLD COAST CAN PAY BACK MONEY TO ITS CUSTOMERS/INVESTORS.’’
According to him, ‘’This is NOT Nduom’s money. It is not politics. It is pocket level economics. The money is in Ghana with government agencies and infrastructure projects.’’
Read Below his full post (unedited)
When we keep fighting for Ghanaian contractors to be paid, we are fighting for customers/investors to get their money. How much? GHS 2.2 billion is currently locked up in the process from Good Coast Fund Management alone. Other Ghanaian financial institutions have funds locked up in infrastructure projects. The contractors are going bankrupt. The customers have it worse. They are suffering. When a contractor is not paid after three years of competing a job, the financial institution does not get paid. The customers who invested their monies with the financial institutions don’t get paid.
Who should fund infrastructure – Roads, bridges, schools, etc – in Ghana? Gold Coast has been doing it for 15 years. Over 14 billion Ghana Cedis invested. Now with a portfolio of 2.2 billion Ghana Cedis. It is government that stopped giving advance payment to contractors and asked them to pre-finance projects. Gold Coast stepped in to support our indigenous Ghanaian contractors and has funded over 600 projects. This is a good thing the company has done.
Now our concern is to get the payment process going so contractors can complete projects, get them certified, get paid so they can pay back what they owe to Gold Coast. SO THAT GOLD COAST CAN PAY BACK MONEY TO ITS CUSTOMERS/INVESTORS.
This is NOT Nduom’s money. It is not politics. It is pocket level economics. The money is in Ghana with government agencies and in infrastructure projects.
Join the crusade to unlock customers’ funds locked up in government infrastructure projects.