Menzgold boss retreats; apologises for mocking BoG

The Chief Executive Officer of Menzgold Ghana Company Limited, Nana Appiah Mensah, has apologised to the Bank of Ghana (BoG) for mocking its warning to the company over perceived unlawful operations.

In a post on Social Media, Nana Appiah Mensah said Menzgold is currently cooperating with the BoG and other state agencies.

Menzgold, a precious minerals trading company, is suspected to be carrying out unlawful transactions by taking deposits, and the BoG said it was preparing to move against it.

In a public notice issued by the BoG, it said the company has no authority to engage in what it says are the “solicitation, receipt of money or investment and the payment of dividends or returns to its clients.”

The central bank maintained that Menzgold is in breach of section 6(1) of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930).

But in response to this, Nana Appiah Mensah called the bluff of the central bank and described its actions as a joke.

In reply to a follower who asked him to respect the regulator, Nana Appiah said he does not recognize the BoG as his supervisor.

“BoG is not my regulator. Get your facts right. I do not operate under Act 930. Therefore BoG does not have jurisdiction over my business plus the baseless allegations. We had a year-long meeting with the central bank and resolved, that should have been the end of the matter”.

But the matter escalated, with the Economic and Organised Crime Office (EOCO) inviting Nana Appiah Mensah for questioning.

Menzgold is currently operating with a license granted it by the Minerals Commission and the Ministry of Lands and Natural Resources.

It has also emerged that Menzgold is only licensed to buy gold in Ghana and export to other countries.

The company, which was given its license as MenzBanc Ghana Limited according to the agreement document sighted by citinewsroom.com, consented to buying precious minerals from registered small-scale miners and subsequently exporting.

The company is authorized to purchase gold locally from any person holding a small scale mining license at its registered offices in Ghana to export.

Conditions in the agreement that MenzGold was to follow included repatriating at least 80% of the proceeds from its sale of the gold.

It was also expected make a monthly payment of 0.05% on all of its gold purchases to the Minerals Commission to be used in ensuring sustainable development of the small-scale mining industry while being given the authority to appoint Ghanaian gold buying agents.

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By: Delali Adogla-Bessa/citinewsroom.com/Ghana