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In Spite Of Government's Interventions, SEC Is Still Lagging In Paying Investors

The Securities and Exchange Commission has been lagging in its attempts to pay investors of defunct Fund Management Companies.

More than one month after the ruling NPP government released funds worth GHc3.1 billion to the Securities and Exchange Commission (SEC) to settle aggrieved and suffering investors, the payment process has been at snail pace so far.

While CBG has completely finished the payments of affected customers whose bonds were converted to cash by the ruling government, the SEC stated that they have so far paid GHc2 million to affected customers.

GHc2 million out of Ghc3.1 billion is just insignificant. What this means is, only a handful of the suffering investors have been paid so far.

The regulator needs to speed up its efforts to pay investors quickly bearing in mind that many investors have suffered for more than two years and counting. It is completely sad to see the delay associated with the work of the SEC since the revocation of the licenses from the Fund Management Companies.

It would be recalled that, while the BOG paid the investments of all the nine banks and microfinance, microcredit and Savings and Loans Institutions, investors with SEC regulated companies had to sit on tenterhooks until now with only straw to hold onto.

Some of the fund management companies who took over from defunct institutions such as Firstbanc Financial Services have demanding for additional six months before paying investors.

It was alleged during their Extraordinary General Meeting that the firm which took over from Firstbanc want to use investors funds to resuscitate their business.

They allegedly demanded for six months before paying any investor and they tried to coerce investors to stay invested because according to them the stock markets are currently down, making it the best time to invest.

This is completely unacceptable because all most investors want now is access to their funds and not a continuation of the old investment schemes. Who wants to continue an investment that kept their money locked up for two years without paying a dime.

Many investors expected the SEC to be at the forefront of some of these issues but their voices were not heard about the issue.

The Registrar General, the SEC and all new Fund Management Companies who took over from the defunct investment banks must do the needful and promptly pay aggrieved investors their funds to help alleviate their plights in these trying times.

His Excellency Nana Addo Dankwa Akufo-Addo has released the funds, all the institutions can do is to quickly verify aggrieved customers and make prompt payments.

Furthermore, the SEC told us they were conducting validation and verification since December 2019, one is therefore at a loss why they have not completed that process up till now.

We appeal to all who are involved in the process to expedite actions to get suffering investors paid on time.

Personally, the biggest lesson I have learnt in all of these is to stay away from collective investment schemes such as mutual funds, equity funds et al, because you will be the worst hit when there are issues of revocations of licenses in Ghana.

If you are an investor with any SEC regulated company and you still haven't received your funds, let us hear from you in the comments sections below.

Content created and supplied by: kojo-vivify (via Opera News )

CBG Firstbanc Financial Services Fund Management Companies NPP Securities and Exchange Commission


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