I wasn’t responsible for daily operations of Capital Bank – Otabil

The Board Chairman of defunct Capital Bank, Pastor Mensa Otabil, has subtly denied direct involvement in the woes of the financial institution.

In his first public reaction to the development which has been a controversial subject in the media space, Mensa Otabil said his role as the chairman of the bank’s board was a non-executive one hence he was not involved in the daily management and operations of the bank.

He said everything was done with the best intentions and interest of the of shareholders.

My position was a non-executive role. I was therefore not involved in the day-to-day management and operations of the Bank. In the course of time, some decisions made turned out well while some did not turn out as well as had been anticipated. As far as I can tell, everything was done with the best of intentions and the interest of various stakeholders in mind,” his statement said.

A report which emerged a year after Capital Bank was collapsed and taken over by GCB Bank indicated that the then-Board Chair, Pastor Mensa Otabil may have been a party to the misuse of liquidity support given the bank by the Bank of Ghana (BoG).

The report cites an emergency board and Executive Committee meeting on October 13, 2015, which notes concern with the manner in which the GHc 610 million liquidity support to the struggling bank was being used.

Instead of using the money the central bank gave Capital Bank as liquidity support for the bank’s business, the management with the approval of the Board Chair, diverted the money for other uses, leading to the eventual collapse of the Capital Bank in August 2017.

The monies were moved by a member of the Board, Ato Essien into companies believed to be owned by him and others on the money. Some of that money was reportedly presented as capital to secure a license for another collapsed bank, Sovereign Bank.

The revered preacher has been put at the center of the conversations over the collapse of the bank as many believe his role as board chairman meant he was aware and approved major decisions of the bank including those that led to its collapse.

But Mensa Otabil said there was no intention to undertake any negative business activity.

“My foremost concern, as has been the case over the past year, is for the well-being of those who lost their jobs and those who may have been adversely affected in any way as a result of these developments. My heart goes out to them and to their dependents. I continue to pray for God’s guidance and sustenance as they navigate the course of their lives,” his statement added.

‘I’ll subject myself to investigations’

Pastor Mensa Otabil has however said he has subjected himself to the processes of the Economic and Organized Crime Organization (EOCO) and other relevant state institutions which have been probing circumstances surrounding the bank’s collapse since it happened in 2017.

Since the takeover of the bank exactly a year ago today, various mandated state institutions have been investigating and working to arrive at a comprehensive understanding of what happened, why it happened and who was responsible for what. I have been invited by EOCO and I have submitted myself to their processes and answered all their questions faithfully.

Meanwhile, as a believer in the rule of law, I will continue to cooperate with the mandated institutions of state as they complete their investigations. I am confident that in the process, the national interest and the rights of all parties involved will be protected.

Source: Citi Business News

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