The Attorney General has petitioned the High Court to jail William Ato Essien, founder of the now-defunct Capital Bank, for failing to pay 20 million Ghana cedis to the government.

Mr. Essien, who was accused of theft and money laundering in connection with the bank’s failure in 2022, reached a plea deal with the state on the day before the court’s decision in the case.

According to the agreement, he was supposed to pay ¢90 million. Within one year of the date of conviction, he was required to pay the remaining ¢90million in three installments of ¢20 million each .

So far, he has paid ¢30million and the remaining ¢60million he will pay back in three installments. The first one was expected to be paid on April 28, 2023, while the second one is due on August 31, 2023.

According to documents submitted on behalf of the Attorney General, the first installment of ¢20million was still owed as of May 2, 2023.

In the latest news today from the Attorney General’s Office, this is a violation of the court’s rules and makes him subject to incarceration.

“That having failed to fulfil a condition imposed on him by this Honourable Court under section 35 of the Courts Act, the outstanding amount under the agreement has become due and the respondent is liable to a custodial sentence by the court”.

Background

The Bank of Ghana (BoG) provided GH620 million in liquidity support to the bank in order to help it pay off maturing debt, and the bank’s former managing director, Tetteh Nettey, was charged with being involved in a 23-count conspiracy to steal the money. William Ato Essien is the proprietor of MC Management Service.

According to the charges, the accused set up multiple accounts at Capital Bank and transferred the GH620 million in BoG liquidity support there, while others were taken to Ato Essien in jute bags.

Source – Tru News Report

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