The group in a press statement copied to Myarkfmonline.com said actions by the Presidency, the Ministry of Finance and the Bank of Ghana will aid in the collapse of state banks.
“We will put before you, a very damning and defenseless financial scandal deliberately planned and tactically orchestrated in a well-coordinated manner, between the Presidency, the Ministry of Finance and the Bank of Ghana. This fraudulent triangular cartel, led by President John Mahama, out of many others, is the bane of the unending collapse of banks owned by the government of Ghana and its devasting replica effects on the lives of the ordinary Ghanaian.
“The Ministry of Finance, in or about October last year, struggled to issue an Eurobond of $1billion at an interest of 10.7%, when the Bank of Ghana had sought to offer 8.5%, even with a guaranteed $400m from the World Bank. The proceeds of the Eurobond was to be used for the refinancing of maturing domestic debt and some amount of it, to be used to improve the infrastructure deficit of our dear county, as was confirmed by the Minister of Finance, Mr. Seth Terkper, published on citifmonline.com by Vivian Kai Lokko on October 8, 2015,” read a statement signed by Hopeson Adorye, Convenor of Ghana Must Know Forum.
Kindly Read The Full Statement Below:
PRESIDENT JOHN MAHAMA MODERNISES ‘419’ SCAM IN GHANA: USD 250M EUROBOND/UBA SECRET TRANSFER FRAUDULENT AND CRIMINAL
Ladies and Gentlemen of the media, we thank you for responding to our call once again even with such a short notice. The GHANA MUST KNOW forum is most grateful.
Just as we indicated to you a week ago, we will continue to, week after week, put before Ghanaians through your outlet, the many dirty and corrupt deals perpetrated by President John Dramani Mahama, his appointees and more sadly, some members of his family.
Today, we will put before you, a very damning and defenseless financial scandal deliberately planned and tactically orchestrated in a well-coordinated manner, between the Presidency, the Ministry of Finance and the Bank of Ghana. This fraudulent triangular cartel, led by President John Mahama, out of many others, is the bane of the unending collapse of banks owned by the government of Ghana and its devasting replica effects on the lives of the ordinary Ghanaian.
Ladies and gentlemen, the Ministry of Finance, in or about October last year, struggled to issue an Eurobond of $1billion at an interest of 10.7%, when the Bank of Ghana had sought to offer 8.5%, even with a guaranteed $400m from the World Bank. The proceeds of the Eurobond was to be used for the refinancing of maturing domestic debt and some amount of it, to be used to improve the infrastructure deficit of our dear county, as was confirmed by the Minister of Finance, Mr. Seth Terkper, published on citifmonline.com by Vivian Kai Lokko on October 8, 2015.
Ladies and Gentlemen, it will shock you to know, that a quick check by the GHANA MUST KNOW forum from our sources in the Ministry of Finance and the Bank of Ghana, confirms the transfer of $250m out of the $1billion foreign exchange to UBA, a Nigerian owned commercial bank operating in Ghana, apparently unknown to any proper fiscal, financial or fiduciary regulations or practices in any part of the world, whereas this amount was rather meant to refinance our suffocating domestic debts and our deepening infrastructure deficit.
The directive to transfer this amount, was given by President John Dramani Mahama, reason which government sources have refused to officially disclose, leaving us no opportunity, than to intertwine the snippets of information we have of which we believe they are facts and not less capable of a government noted for their resolve to create, loot and share. The Ministry of Finance has not denied this divert.
THE ‘419’ SCAM/ILLOGICAL FINANCIAL LOSS
Ladies and gentlemen of the media, with your pens and the help of a calculator, lets us all do these simple mathematics. This mathematics which can even be done by a BECE candidate who cannot write his final exams without questions leaks, and could not be done by President Mahama nor Seth Terkper as they want us to believe, will reveal to us how deliberately corrupt and financially reckless they are as far as the management of our economy is concerned.
The Eurobond attracts an interest of 10.75% to be paid by the government of Ghana, $250m out of it is illegally deposited in UBA, a private bank. The bank, which is UBA in turn, decides to buy GHS 950 million of government Treasury bills at a rate of 24% (using the 1-year note); the bank would have made a hefty GHS 233 (USD 61) million profit in nominal terms just by loaning this same money to the government. Friends in the media, if this is not a 419 scam visited on unsuspecting Ghanaians by President Mahama, then what else is it? – Meanwhile, this is a President who is walking freely on the streets of London shamelessly mocking Ghanaians that he has never taken bribe, my goodness!!!
Note therefore, that Government is paying 10.75% + 24% which is 34.75% interest on the money he borrowed from the capital market. Stupidly, government is paying 24% interest on his own money to a private firm. Is this sheer wickedness, foolishness, witchcraft or what?
We cannot help, but agree with Nana Konadu Agyeman Rawlings when she posited few days ago and I quote, “If you borrow money at a high interest rate to lend it to another at a low interest rate then borrow your own money back from them at a high interest rate, you are either not wise, a thief or both. No wonder their campaign message of “vote for us so they don’t jail us, it’s time to save Ghana from this criminality”. For the GHANA MUST KNOW forum, we believe they are both – unwise and thieves, and more so 419 scammers.
Ladies and Gentlemen, the pathetic response from the Minister of Finance is not only nauseating but annoying. However, you cannot expect much from an expert who is satisfying the greediness of a President who is only interested in building a financial empire for his family and uncountable children.
The sector minister says the diverted $250m was idle and hence needed to be invested, the questions therefore are:
1.Why did the Ministry of Finance go to the international capital market to borrow such a huge amount of money with yearly interest when they have no work to be done with it?
2.Why did they use the sovereignty of the people of Ghana to acquire a loan for no purpose only to be diverted into private accounts at UBA when this money will be paid by Ghana even for the next 15 years?
3.Can it therefore be concluded that the Eurobond was only acquired to help boost the deposits of UBA for the selfish interest of President Mahama and his closest associates who serve on the board of UBA?
4.Is it therefore true when Dr. Bawumia loudly and clearly said that the $250m is being secretly kept at UBA to finance President John Dramani Mahama’s campaign in the November polls?
5.And above all, why was this transfer done in secrecy? Is it one of the many reasons why Dr. Wampah was forced to resign as Governor of the Bank of Ghana?
Ladies and gentlemen, granted the Ministry of Finance meant good, - granted the Ministry of Finance had nothing to hide, - granted the Ministry of Finance wanted to safeguard the value of such a huge amount and gain interest on it, why did it refuse to invest in a state owned bank?, Would the huge interest accruing to UBA today not have accrued to the state? Would our banks not have improved to create more jobs for the unemployed masses? Wouldn’t we have saved the seeming collapse of our state owned banks?
Let us take a snap look at the current performance of our own government of Ghana owned banks. Example is the ADB. The ADB in on the verge of collapse. The Bank seeks to raise an amount of $105m through its Initial Public Officer (IPO) to survive. At the same time, the Government of Ghana, led by the proven incompetent Mahama, has dashed out $250m to a Nigerian owned bank. This same amount, if given ADB, in deposits, would have gone a long way to help the bank. Nevertheless, Mr. Seth Terkper and his boss, knowing very well their selfish benefits cannot be acquired through the state bank, rather chose where they could loot and share after such a 419 creation of a sort.
You would recall, that not too long ago, a state bank, - Merchant, totally collapsed, all in need of cash. At the time of the sale of Merchant Bank to Fortiz, it needed on $19m for recapitalization. This is less than 10% of what has been given to UBA in deposits. Merchant Bank would have survived.
This bank, which could have been easily resuscitated was intentionally left to collapse to prepare its sale to Fortiz. We all know those who own Fortiz We will not be far-fetched to suggest, that, in the light of ADB needing an amount below half of what has been transferred to UBA, there is another calculated attempt to kill ADB, bury it and later disinter it only to sell to their cronies. These people are Gold-diggers, Ghana is their ‘galamsey’ land.
CONFLICT OF INTEREST/COMPLEX DIRTY DEALS
Ladies and Gentlemen, our search to find out why President Mahama, who is currently in London for a conference on anti-corruption, with no shame, proverbially - ‘attending his own funeral’ aided this broad-day thievery is revealing. Can you imagine, good friends of the media, that the Ghana Infrastructure Investment Fund whose money is the $250m is chaired by Professor Kwamena Ahwoi, a close associate of John Mahama, a member of the NDC and a great financier of the party? Can you also sadly imagine, that this same man, who schemes and mobilizes funds for NDC’s campaign is a member of the Board of Governors of the United Bank for Africa (UBA- Ghana)?
It is however more terrifying to discover, that not only Professor Kwamena Ahwoi, but another financial kingpin of the NDC and Chief Executive Officer of the GNPC, Mr. Alexander Mould, brother of Mrs. Betty Mould of the infamous Woyome scandal and also a first Vice Chairperson of the NDC, is a member of the Board of Directors of the UBA. This is revealing, it raises more questions than the answers we have so far.
Ladies and Gentlemen of the media:
1. What are the relationships of these persons in the whole saga and its apparent connection to the NDC?
2. Why are the same people fronting for President Mahama to retain the Presidency in the November polls board members of a Bank said to be keeping diverted BOG funds suspected to be secretly kept for the NDC’s campaign?
3. Did these people influence and/or assist in any way to secretly divert these monies to a bank they are board members of for easy supervision and utilization for President Mahama’s campaign since they are not only members of the NDC but close associates of the President?
We will be left with in no doubt, if these questions are not satisfactorily answered that this transfer was planted, harvested, cooked and served in an attempt to raise money for the NDCs campaign towards the November polls.
Ladies and gentlemen, we bring this conference to an end by subscribing to the call of Dr. Mahamudu Bawumia, the former Deputy Governor of the Bank of Ghana. In his release yesterday, he stated and I quote,
“The bank shall hold all foreign exchange of the state and be responsible to parliament in the performance of its function in relation to the foreign exchange.” – (Section 53 of the Bank of Ghana Act)
“What the Minister has done violates the Bank of Ghana Act and I would ask quite humbly that this transaction be reversed, that there should be a parliamentary enquiry into how this happened and the Minister should re-consider his position. His position is not tenable, if you are the one supposed to enforce the law and you are rather violating the laws you should resign. He is a very good friend of mine, I like him a lot, he is a nice person and all of that but I think there is no minister of finance in the world who can maintain his position when he has violated this law in the manner that has been done.”