Bank of Ghana shuts two unlicensed companies operating in the financial sector

The Bank of Ghana says it has shut down two companies operating without licenses and contrary to the laws of the country.

In a press release issued Tuesday March 7, 2017 and copied to ghanabusinessnews.com, the central bank said it had earlier issued warnings to the public about Agro Development Fund Services Limited (ADFSL) located in the Brong Ahafo regional capital of Sunyani. ADFSL, the Bank points out is an unlicensed deposit-taking business.

The Bank therefore has closed it down until further notice.

According to the Bank, it took the decision to shut down ADFSL in furtherance of section 20(2) (g) of the Banks and Specialised Deposit-Taking Institutions Act, 2016 (Act 930) after thoroughly investigating the business and arriving at the conclusion that its activities are contrary to section 4(5) (a) of Act 930.

The other company, Hebron Financial Investment Limited (HFIL), located at Mayflower Building, Community 10, Tema, the Bank says was engaging in unauthorised online foreign exchange trading business contrary to section 3(1) of the Foreign Exchange Act, 2006 (Act 723).

The central bank says it has authorized HFIL to close down its operations forthwith, because after investigations into its operations, the regulator has concluded that the said company is not authorised to engage in any form of foreign exchange business.

“Therefore, anyone who does business with either Agro Development Fund Services Limited or Hebron Financial Investment Limited does so at his or her own risk,” the Bank warns.

By Emmanuel K. Dogbevi