permission to take over the assets<\/a><\/strong><\/span>\u00a0of UT Bank and Capital Bank over the two bank\u2019s inability to sustain their operations due to low insolvency.<\/p>\n\u201cThe last phase of the BoG\u2019s action would involve a thorough investigation of operations of UT Bank and Capital Bank and appropriate action will be taken against shareholders, Directors, and key a Management personnel who are found to be culpable,\u201d Governor Ernest Addison stated.<\/p>\n
\u201cUT Bank and Capital Bank were requested to submit restructuring and capital restoration plans. However, plans submitted were found to be unacceptable. A pro-forma balance sheet of liabilities to be taken and assets to be purchased were prepared and a pool of bidders was asked to express interest. GCB Bank was then selected among three others on the basis of purchase price, cost of funding, branches to be retained, staff to be employed, and impacting the acquiring bank\u2019s capital adequacy ratio,\u201d he added.<\/p>\n
Meanwhile the Governor is confident of the outlook of the banking sector with the mechanisms put in place by the respective banks to consolidate their financial base.<\/p>\n
\u201cAfter the AQR exercise, a number of banks were not compliant with the capital adequacy ratio. I am happy to report that most of these banks have put in place credible action plans to restore the capital deficiency, and majority of these banks are already compliant as at today, and the overall banking system remains solid and well-capitalized.\u201d<\/p>\n
In addition, Dr. Addison assured that the customers will be protected.<\/p>\n
\u201cThe Purchase and Assumption transaction has distinct benefits as customers will suffer no loss, the acquiring bank can increase its market share, and productive financial assets are maintained.\u201d<\/p>\n
\u201cThe first point of emphasis is that, no depositor will lose his or her funds and all depositors can continue to do normal banking business with GCB Bank.\u201d<\/p>\n
The Governor further stressed,\u201cUnder the Purchase and Assumption (P&A) transaction, GCB Bank will acquire all deposits and some selected assets of UT Bank and Capital Bank. The premises of UT Bank and Capital Bank will now be rebranded as branches of GCB Bank. All customers can continue normal banking business at these branches. All debtors should continue making their loan repayments as legally scheduled.\u201d<\/p>\n
–<\/p>\n
By: Pius Amihere Eduku\/citibusinessnews.com\/Ghana<\/p>\n","protected":false},"excerpt":{"rendered":"
The Bank of Ghana (BoG) has served notice it will punish any individual or persons whose actions may have led to the collapse of UT Bank and Capital Bank. The Governor of the Bank of Ghana, Dr. Ernest Addison explains that the move is to sanitise the banking sector and make it more robust. The […]<\/p>\n","protected":false},"author":14,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[121,32,171,11],"tags":[],"yoast_head":"\n
UT, Capital Bank insolvency: BoG to punish persons found culpable - Citi 97.3 FM - Relevant Radio. Always<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"UT, Capital Bank insolvency: BoG to punish persons found culpable - Citi 97.3 FM - Relevant Radio. Always\" \/>\n<meta property=\"og:description\" content=\"The Bank of Ghana (BoG) has served notice it will punish any individual or persons whose actions may have led to the collapse of UT Bank and Capital Bank. The Governor of the Bank of Ghana, Dr. Ernest Addison explains that the move is to sanitise the banking sector and make it more robust. The […]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/\" \/>\n<meta property=\"og:site_name\" content=\"Citi 97.3 FM - Relevant Radio. Always\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/citi97.3\" \/>\n<meta property=\"article:published_time\" content=\"2017-08-14T13:38:54+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2017-11-10T10:37:14+00:00\" \/>\n<meta name=\"author\" content=\"Kojo Akoto Boateng\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@citi973\" \/>\n<meta name=\"twitter:site\" content=\"@citi973\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Kojo Akoto Boateng\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/\",\"url\":\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/\",\"name\":\"UT, Capital Bank insolvency: BoG to punish persons found culpable - Citi 97.3 FM - Relevant Radio. Always\",\"isPartOf\":{\"@id\":\"https:\/\/citifmonline.com\/#website\"},\"datePublished\":\"2017-08-14T13:38:54+00:00\",\"dateModified\":\"2017-11-10T10:37:14+00:00\",\"author\":{\"@id\":\"https:\/\/citifmonline.com\/#\/schema\/person\/1642ef473fe39bf0c4e2f2f252678eb1\"},\"breadcrumb\":{\"@id\":\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\/\/citifmonline.com\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"UT, Capital Bank insolvency: BoG to punish persons found culpable\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\/\/citifmonline.com\/#website\",\"url\":\"https:\/\/citifmonline.com\/\",\"name\":\"Citi 97.3 FM - Relevant Radio. Always\",\"description\":\"Ghana News | Ghana Politics | Ghana Soccer | Ghana Showbiz\",\"potentialAction\":[{\"@type\":\"SearchAction\",\"target\":{\"@type\":\"EntryPoint\",\"urlTemplate\":\"https:\/\/citifmonline.com\/?s={search_term_string}\"},\"query-input\":\"required name=search_term_string\"}],\"inLanguage\":\"en-US\"},{\"@type\":\"Person\",\"@id\":\"https:\/\/citifmonline.com\/#\/schema\/person\/1642ef473fe39bf0c4e2f2f252678eb1\",\"name\":\"Kojo Akoto Boateng\",\"image\":{\"@type\":\"ImageObject\",\"inLanguage\":\"en-US\",\"@id\":\"https:\/\/citifmonline.com\/#\/schema\/person\/image\/\",\"url\":\"https:\/\/secure.gravatar.com\/avatar\/ba51f5385119e83762c67ecd6aa410ab?s=96&d=mm&r=g\",\"contentUrl\":\"https:\/\/secure.gravatar.com\/avatar\/ba51f5385119e83762c67ecd6aa410ab?s=96&d=mm&r=g\",\"caption\":\"Kojo Akoto Boateng\"},\"url\":\"https:\/\/citifmonline.com\/author\/kojo\/\"}]}<\/script>\n<!-- \/ Yoast SEO plugin. -->","yoast_head_json":{"title":"UT, Capital Bank insolvency: BoG to punish persons found culpable - Citi 97.3 FM - Relevant Radio. Always","robots":{"index":"index","follow":"follow","max-snippet":"max-snippet:-1","max-image-preview":"max-image-preview:large","max-video-preview":"max-video-preview:-1"},"canonical":"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/","og_locale":"en_US","og_type":"article","og_title":"UT, Capital Bank insolvency: BoG to punish persons found culpable - Citi 97.3 FM - Relevant Radio. Always","og_description":"The Bank of Ghana (BoG) has served notice it will punish any individual or persons whose actions may have led to the collapse of UT Bank and Capital Bank. The Governor of the Bank of Ghana, Dr. Ernest Addison explains that the move is to sanitise the banking sector and make it more robust. The […]","og_url":"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/","og_site_name":"Citi 97.3 FM - Relevant Radio. Always","article_publisher":"https:\/\/www.facebook.com\/citi97.3","article_published_time":"2017-08-14T13:38:54+00:00","article_modified_time":"2017-11-10T10:37:14+00:00","author":"Kojo Akoto Boateng","twitter_card":"summary_large_image","twitter_creator":"@citi973","twitter_site":"@citi973","twitter_misc":{"Written by":"Kojo Akoto Boateng","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"WebPage","@id":"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/","url":"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/","name":"UT, Capital Bank insolvency: BoG to punish persons found culpable - Citi 97.3 FM - Relevant Radio. Always","isPartOf":{"@id":"https:\/\/citifmonline.com\/#website"},"datePublished":"2017-08-14T13:38:54+00:00","dateModified":"2017-11-10T10:37:14+00:00","author":{"@id":"https:\/\/citifmonline.com\/#\/schema\/person\/1642ef473fe39bf0c4e2f2f252678eb1"},"breadcrumb":{"@id":"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/#breadcrumb"},"inLanguage":"en-US","potentialAction":[{"@type":"ReadAction","target":["https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/"]}]},{"@type":"BreadcrumbList","@id":"https:\/\/citifmonline.com\/2017\/08\/ut-capital-bank-insolvency-bog-to-punish-persons-found-culpable\/#breadcrumb","itemListElement":[{"@type":"ListItem","position":1,"name":"Home","item":"https:\/\/citifmonline.com\/"},{"@type":"ListItem","position":2,"name":"UT, Capital Bank insolvency: BoG to punish persons found culpable"}]},{"@type":"WebSite","@id":"https:\/\/citifmonline.com\/#website","url":"https:\/\/citifmonline.com\/","name":"Citi 97.3 FM - Relevant Radio. Always","description":"Ghana News | Ghana Politics | Ghana Soccer | Ghana Showbiz","potentialAction":[{"@type":"SearchAction","target":{"@type":"EntryPoint","urlTemplate":"https:\/\/citifmonline.com\/?s={search_term_string}"},"query-input":"required name=search_term_string"}],"inLanguage":"en-US"},{"@type":"Person","@id":"https:\/\/citifmonline.com\/#\/schema\/person\/1642ef473fe39bf0c4e2f2f252678eb1","name":"Kojo Akoto Boateng","image":{"@type":"ImageObject","inLanguage":"en-US","@id":"https:\/\/citifmonline.com\/#\/schema\/person\/image\/","url":"https:\/\/secure.gravatar.com\/avatar\/ba51f5385119e83762c67ecd6aa410ab?s=96&d=mm&r=g","contentUrl":"https:\/\/secure.gravatar.com\/avatar\/ba51f5385119e83762c67ecd6aa410ab?s=96&d=mm&r=g","caption":"Kojo Akoto Boateng"},"url":"https:\/\/citifmonline.com\/author\/kojo\/"}]}},"_links":{"self":[{"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/posts\/344775"}],"collection":[{"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/users\/14"}],"replies":[{"embeddable":true,"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/comments?post=344775"}],"version-history":[{"count":0,"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/posts\/344775\/revisions"}],"wp:attachment":[{"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/media?parent=344775"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/categories?post=344775"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/citifmonline.com\/wp-json\/wp\/v2\/tags?post=344775"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}