UniBank fraud trial uncovers alleged systemic misappropriation and malfeasance
The ongoing trial surrounding the collapse of UniBank in 2018 has taken a new twist as the Receiver of the defunct bank, Nii Amanor Dodoo, revealed further details of suspected fraudulent activities during a recent cross-examination. Accused individuals face charges including fraudulent breach of trust, money laundering, wilfully causing financial loss to the Republic, and conspiracy to commit crime. Dodoo’s testimony has shed light on a complex web of deceit, highlighting alleged misappropriation and malfeasance within UniBank’s operations.
In his disclosure, Dodoo outlined that an astonishing amount of ¢13,100,000 (¢13 million) was credited to the account of Maripoma Limited within UniBank’s banking software. The transaction was carried out by a teller named R. Mensah at the World Trade Centre branch of UniBank. The revelation adds a new layer of complexity to the case, suggesting the involvement of internal bank staff in the alleged fraudulent activities.
Furthermore, Dodoo stated that a total sum of ¢56,295,000 was debited from the bank’s interbranch ledger account, a general ledger account. The debits were made through various entries, utilizing petty cash vouchers and pay-in slips, which were used as instruments to siphon funds out of UniBank. These transactions involved the participation of several officers within the bank, including Mr. Paul Appiah Gyasi, Mr. William Coleman, and Mr. Benjamin Ofori, who signed the petty cash vouchers. The entries were passed by Mr. Elijah Benson and other officers, who authorized the transactions based on the presented vouchers. According to Dodoo, the funds were ultimately funneled for the benefit of the bank’s shareholders.
Dodoo went on to describe the pay-in slips used in the fraudulent activities as fictitious, highlighting the absence of any evidence of physical cash receipts within UniBank’s books to substantiate the recorded amounts. Moreover, he noted that in normal cases, a senior officer of the bank would be required to authorize such transactions in the banking software application. However, in this instance, the usual authorization procedures were not followed, raising further concerns about internal controls and potential collusion within UniBank.
The testimony provided by Dodoo serves to deepen the understanding of the alleged fraudulent practices that contributed to UniBank’s downfall. When the bank’s license was revoked, it was discovered that a staggering ¢5.7 billion had been dishonestly appropriated by shareholders with the complicity and assistance of some of the accused individuals. The ongoing trial seeks to hold these individuals accountable for their actions and shed light on the broader issues of corporate governance and regulatory oversight within the banking sector.
The revelation of additional details underscores the importance of robust internal control mechanisms and the need for vigilant regulatory oversight to prevent such fraudulent activities. The UniBank case serves as a wake-up call for authorities and regulators to strengthen their monitoring and enforcement mechanisms to safeguard the stability and integrity of the financial system.
As the trial continues, the court has adjourned proceedings to May 17, 2023, allowing for the cross-examination to resume. The trial serves as a reminder of the potential consequences of financial malpractice and the imperative for a resilient and accountable banking sector that promotes trust and confidence among investors and stakeholders.
In conclusion, the UniBank fraud trial continues to unravel the intricate details of alleged systemic misappropriation and malfeasance within the bank. The disclosures made by Nii Amanor Dodoo shed light on the involvement of bank staff, the fictitious nature of transactions, and the scale of the fraudulent activities that contributed to UniBank’s collapse. The trial serves as a critical moment for Ghana’s banking sector, emphasizing the urgency of bolstering regulatory oversight and enforcing stringent governance measures to safeguard the financial system’s stability and protect stakeholders’ interests.
