About GHS12 million have been credit to the accounts of some investors of liquidated fund management firms.
This was after the firm in charge of the payment process, GCB Capital, commenced payment last Thursday 8th October, 2020.
These monies are being advanced to those who have agreed to the payment structure put forward by the Registrar General, Jemima Oware.
The payment however covers only clients of the 22 firms that the Registrar General has secured court approval to liquidate.
Monies have been paid into accounts of more than 270 clients of the liquidated firms, whilst another 370 should be done by the close of work today [9 October, 2020].
Managing Director of GCB Capital, Kofi El-Awuku said “there are GCB Bank accounts that have been opened for all these clients, so the payments will be made into that account. On a bit about the fund, the fund is structured into two tiers. There is a tier one which operates like a money market account.
“To break it down, it’s an investment asset that you can easily get your cash out as and when you need it, maybe within 48 hours. And then, there is a tier two component which is a longer term investment structure with withdrawal restrictions over a period such that you can’t get your money out of it as quickly as you would in tier one”.
He further said “as at close of business last week, we had just about 3,000 people [investors] that had accepted the assignment and subscription agreement. And out of this, about a thousand had completed KYC [Known Your Customer], it’s ongoing so as we speak, people are still submitting their documents and it’s all online so it’s happening round the clock 24/7.”
“Out of the 1,000, about 500 have indicated that they want to make withdrawals…you don’t necessarily even need to take all of it out. What you will need urgently to take out will be paid out of your tier one into your cash account, the rest still remains in a managed fund for you just as it should have been”.
Registrar General assures payment of investors whose claims are validated
The Registrar General began paying investors of liquidated fund managers their locked-up funds on Thursday 8th October, 2010.
Those who are 60 years were expected to get a minimum of GHS70,000, while those above 60 years would get all their payments under Tier 1 [mutual funds], which has to do with cash payment.
All faith based organizations, schools and hospitals will also get all their claims.
On the other hand, Financial Institutions and Credit Unions will get 50% of their locked-up funds validated under the Tier 1 category and the rest put into an investment fund.