The Court of Appeal has, by a unanimous decision, upheld the Bank of Ghana’s application that the challenge by Dr Papa Kwesi Nduom and others against the Central Bank’s revocation of the license of GN Bank be referred to arbitration.
Dr Papa Kwesi Nduom and others sued the Central Bank against the revocation of the licence of GN Bank.
The three-member panel led by Justice Henry Coffie and comprising Justice Eric Baah and Justice Novisi Ayine held that per section 141 of Act 930, the forum for such a challenge was arbitration and not the court.
The Court held further that Dr Nduom and the other applicants had masqueraded their challenge to the decision of the Bank as a human rights application.
The Court, therefore, stayed the proceedings at the High Court and referred the matter to the Ghana Arbitration Centre.
Dr Nduom, Chairman for GN, sued the BoG and the others to demand the restoration of the license of the GN Savings and Loans.
The suit also affected Ken Ofori-Atta, Finance Minister, the Attorney General and Eric Nana Nipa, the receiver of the GN Savings and Loans.
In his claim, Dr Nduom has stated that GN Savings was not only solvent but would be liquid if the Finance Ministry and other government agencies paid amounts owed to it.