Who’s Really Cashing In? The Hidden Fortunes Behind Ghana’s Bank Closures
- Money Laundering, Politics, and a Factory on Spintex Road – The Shocking Connection
Bright Simons, Vice-President of IMANI Ghana, has raised fresh concerns about asset recovery efforts following Ghana’s controversial banking sector cleanup. In a detailed exposé on X (formerly Twitter), Simons outlined how hidden assets linked to collapsed banks are resurfacing under questionable circumstances, potentially undermining government efforts to recover funds lost in the financial sector reform.
According to Simons, a major factory located on Spintex Road in Accra was owned by an individual whose bank was among those shut down during the banking sector reforms. He claims the factory was not just an industrial asset but also served as a financial conduit for money laundering and illicit fund transfers. “For a long time, the factory was used to park money, wash money, move money, etc.,” he wrote.
A Factory at the Heart of the Scandal
Simons alleges that seven years ago, the factory facilitated the laundering of nearly $3 million under the pretense of consultancy services rendered to an energy sector player—services that were never actually provided. When the banking sector cleanup began, the factory’s owner purportedly secured an offshore loan, using the factory as collateral, effectively shielding it from asset seizures.
Unlike other properties linked to defunct banks, the factory remained untouched throughout the financial cleanup, an oversight that contributed to the massive financial losses incurred by the Ghanaian government. In countries such as the United States and the United Kingdom, where similar banking bailouts occurred after the 2008 financial crisis, governments managed to recover substantial funds through asset seizures. In Ghana, however, the asset recovery rate has been abysmal, leading to billions of dollars in losses.
Political Influence and Legal Barriers
Simons suggests that the inability to fully reclaim assets stems from the political influence wielded by the owners of some of the shuttered banks. “The Attorney General is under pressure to discontinue BOTH the prosecutions and the asset recovery effort against virtually ALL the bank owners,” he revealed. This raises serious concerns about the credibility of financial governance in the country.
The situation also raises questions about the ability of the Office of the Registrar of Companies (ORAL) to succeed in its asset recovery mandate. “If the bank assets recovery for all the banks fails, legitimate questions can be asked about ORAL’s chances of success,” Simons noted.
Impact on Ghana’s 24-Hour Economy Vision
Adding another dimension to the story, Simons disclosed that despite its shady past, the factory had in recent years been repurposed for legitimate industrial production, supplying inputs to multinational corporations. This, he argues, aligns with the government’s ambitious 24-hour economy vision, which seeks to stimulate economic growth by maximizing industrial productivity.
However, recent developments threaten this progress. In the past few weeks, individuals purportedly acting on behalf of the offshore company that loaned money to the factory’s owner have seized control of the premises. The problem, Simons says, is that a major industrialist had already leased the facility, investing heavily in its operations. The legitimacy of the offshore lender is now in question, as evidence suggests it may be a front company.
“This is a classic case of individuals who concealed assets during the banking cleanup now attempting to resurface them, banking on the expectation that the new government will discontinue asset recovery efforts,” Simons warned.
Government Urged to Act Swiftly
With factory operations now stalled and jobs at risk, Simons has called on the government to remain vigilant. He warns that without decisive action, politically connected individuals could exploit Ghana’s shifting political landscape to evade accountability for financial misconduct.
“The filla doesn’t just stay in Ghana,” he concluded, suggesting that international financial watchdogs may also take an interest in the unfolding events.
The Ghanaian government has yet to officially respond to Simons’ allegations. However, financial analysts argue that a failure to enforce asset recovery policies effectively could have long-term consequences for investor confidence and economic stability.
