Deputy Minister of Information, Pius Hadzide, has stated government cannot be held accountable for the current struggles of customers of gold dealership company, Menzgold.
Mr Hadzide was reacting to an accusation levelled against the president, Nana Akufo-Addo by the Communications Officer of the National Democratic Congress (NDC), Sammy Gyamfi, that he was complicit in the Menzgold matter.
At a press conference held by the NDC Communications Officer on Wednesday, Mr Gyamfi said the government could not deny its role in the current circumstances surrounding the company’s inability to pay its numerous customers their investments.
“After carefully analyzing the facts of the Menzgold saga, we in the NDC have come to the inevitable conclusion that the Government is responsible for the present woes of Menzgold customers; the Akufo-Addo government is complicit,” Sammy Gyamfi said.
However, speaking on Accra-based Citi FM, Mr Hadzide said the arguments made by the NDC’s chief communicator were both legally and morally baseless, adding that no government could be blamed for the decision of any Ghanaian to invest in Menzgold.
“I suggest strongly that nothing Sammy Gyamfi said is compelling enough and no case has been established either in law or morally to compel any government and for that matter the current one to be held liable for the individual actions and inaction of persons who have engaged themselves in a contract. He has not established any case that is grounded in law that government can be held liable in this Menzgold matter,” he argued.
Sammy Gyamfi had said at the press conference that the CEO of Menzgold, Nana Appiah Mensah, enjoyed “full state honours” during the current government’s tenure which boosted his personal image and Menzgold and encouraged more people to invest in the company.
The NDC is hence calling on the government to repeat what was done in the case of the DKM customers for the Menzgold customers who have also lost their investments.
“Government cannot feign ignorance of the events that have led to where we are today in a desperate attempt to shirk its responsibility of ensuring that Menzgold customers are paid back their investments,” the NDC demanded.
However, Mr Hadzide stated that while state regulators had failed to properly supervise the operations of DKM, which was a fully-licensed company, Menzgold’s operations did not fall under any of the regulatory agencies and cannot be handled the same way.
“The two scenarios are entirely different. In the case of DKM, it was fully registered and fell under the purview of a certain state regulatory body. It was the state’s responsibility to have kept an eye on the operations having issued a license for the company to conduct business in that area but it has been established clearly that Menzgold was not operating within any licences given by relevant state authorities and did not come under the direct purview of any regulatory body. There’s a clear distinction,” Mr Hadziede explained.
Chief Executive Officer Menzgold Ghana Company Limited, Nana Appiah MensahMenzgold was asked to suspend its gold trading operations with the public by the Securities and Exchange Commission (SEC).
Menzgold had been dealing in the purchase and deposit of gold collectibles from the public and issuing contracts with guaranteed returns with clients, without a valid license from the Commission.
Mr Hadzide confirmed that a delegation from Ghana, including “representatives from the country’s security agencies aided by an official from the Ministry of Justice” are on their way to Dubai “to engage with Emirati security forces on the possible extradition of Nana Appiah Mensah.”
He clarified however that it was a “security operation” and not a state delegation, adding that he was yet to receive any updates.