IFS Capital clarifies GH¢23.9m payment from Capital Bank as legal

IFS Capital Management Limited has described a GH¢23.9 million payment it received from the defunct Capital Bank as legitimate.

The business and investment advisory services firm, in a statement, said the amount was the payment of accumulated debts owed it, and that the payment was made in line with Bank of Ghana provisions.

“This payment was made to us following a petition we submitted to the Financial Stability Department of the Bank of Ghana on 12th May, 2015 and the subsequent intervention of the regulator,” the statement said.

IFS’s reaction follows excerpts making rounds on radio and social media regarding payments amounting to GH¢23.9 million made by the defunct local bank from the liquidity support it received from the central bank.

“It appears that is being misconstrued by sections of the media as an illegitimate payment.

We wish to assure the public that we took the necessary steps to recover the debts in the interest of our depositors,” the statement added.

Liquidity support

Out of the GH¢610 million liquidity support received from the BoG by Capital Bank, GH¢27.5 million was used for business promotion that was handled by a board member; GH¢23.9 million was transferred to IFS; GH¢65 million was transferred to Nordea Capital; and GH¢130 million was transferred to Alltime Capital.

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