Heritage Bank collapsed, merged with Consolidated Bank

BY: Maxwell Akalaare Adombila

The Bank of Ghana has, in a surprise, move revoked the licence of Heritage Bank Ghana Limited.

The central bank has also approved a purchase and assumption agreement with Consolidated Bank Ghana Limited to takeover the liabilities and selected assets of the now defunct bank.

Graphic Online is reliably informed that the BoG Governor, Dr Ernest Addison will announce the action shortly.

He is due to explain why the central bank took that decision.

Graphic Online is, however informed that BoG says it cannot authenticate the source of the bank's capital.

Confirming the development at a press conference Friday evening, the Governor of BoG said together with Premium Bank, government has issued a Ghc1.4bn bond to cover the gap.

Heritage Bank main shareholder not 'fit and proper'

Dr Addison said the main shareholder of the now deduct Heritage Bank Ghana Limited is not "fit and proper" to own a bank.

He however did not explain why.

Graphic Online can however confirm that the bank's main shareholder is Mr Seidu Agongo, the Chief Executive Officer of the Agricult.

Mr Agongo is standing trial alongside the former Chief Executive Officer of the Ghana Cocoa Board for financial offences, including causing financial loss to the state.

Related stories:

Heritage Bank collapsed, merged with Consolidated Bank

GN Bank downgraded to savings and loans company

Bank of Ghana appoints advisor for NIB

Stanbic Bank ‘takes over’ Baroda’s customers

Bank of Baroda (Ghana) Ltd: Why we are winding up in Ghana


Watch the BoG's press conference below