Menzgold Customers Mark 7 Years Of Company Collapse With Bailout Appeal to Mahama

• Aggrieved customers of the defunct gold trading company MenzGold have appealed to the government to expedite its bailout
• The aggrieved Menzgold customers are marking the seventh anniversary of the collapse of the company on September 12
• The convener of the group, Frederick Forson, also commented on the legal saga accompanying the Menzgold saga

The Coalition of Aggrieved Customers of MenzGold has marked the seventh anniversary of the collapse of gold trading company MenzGold with an appeal to President John Mahama.

In comments to YEN.com.gh, the convener of the group, Frederick Forson, urged the government to expedite the retrieval of locked-up funds.

"As customers, we are looking forward to the appointment of a Receiver as promised by the President and respectfully urge the President to be very bold and deliberate to meet our request for a financial bailout on compassionate grounds in the next budget."

The collapse of MenzGold in 2018 led to the locking up of investments belonging to both local and diaspora customers. According to the group, the financial and emotional toll on victims has been severe.

Read also

Armani's will lays path to potential buyout by rival

Forson lamented the death of some of his cohort in the years since.

He also criticised the slow pace in the criminal trial of MenzGold’s CEO, Nana Appiah Mensah, also known as NAM1.

“The ongoing criminal prosecution, even though started on a speedy trial, latest developments show that it is going on a snail's pace. We would like to call on the respected Chief Justice and the courts to ensure that the trial resumes on a daily basis so that justice will be served within a reasonable time."

Background to the Menzgold saga

Menzgold suspended its operations after an order from the Securities and Exchange Commission.

The defunct company was purchasing and depositing gold collectables without a license.

Mensah is currently dealing with a criminal trial with multiple charges, concerning the sale of gold without a license, fraudulent breach of trust, defrauding by false pretences, and money laundering.

Read also

Norway sovereign wealth fund drops French miner over environmental fears

He and his wife and his sister have been accused of using Menzgold to defraud more than 16,000 people of GH¢1.68 billion. He was first arrested in January 2019 in Dubai and granted bail.

Most recently, in May, Mensah unsuccessfully tried to halt his ongoing criminal trial.

In 2024, the High Court directed Mensah to open his defence in a criminal case against him.

In 2023, an earlier case against him was dropped after three years and 36 adjournments. New charges were then filed.

Mensah, at a point, gave the state GH¢2.5 million to settle aggrieved customers.

Previous attempts at settling customers

In 2021, YEN.com.gh reported that Menzgold announced the list of eligible customers to receive payment of their locked-up funds. At the time, Menzgold listed 181 customers as eligible.

But according to spokespersons of the affected customers, they've still not been settled by the defunct company,

Most recently, on July 30, 2023, Menzgold said it had completed a verification exercise and was working towards paying customers.

Source: YEN.com.gh