Chief Executive Officer (CEO) of Menzgold Ghana Company Limited, Nana Appiah Mensah, commonly known as NAM 1, the Attorney-General and Minister of Justice, Godfred Yeboah Dame, has taken a decisive step by filing 39 counts of fresh criminal charges at the High Court. This move comes after a prolonged period of more than three years and 11 months during which NAM 1 made over 36 appearances at the Circuit Court without a trial, awaiting the Attorney-General’s advice.
The newly submitted charge sheet, filed at the High Court in Accra, outlines an array of charges against NAM 1, Menzgold Ghana Company Limited (MGCL), and Brew Marketing Consult Ghana Limited. The charges encompass a wide range of financial offenses, including selling gold without the necessary license, operating a deposit-taking institution without proper authorization, inducing investments under false pretenses, defrauding by false pretense, fraudulent breach of trust, and money laundering.
According to the information provided in court, the accused individuals allegedly acquired more than GH¢1.68 billion from customers through deceptive means, but have yet to return the money. The prosecution’s case asserts that NAM 1 and the associated companies engaged in activities that violated legal and regulatory frameworks, causing financial harm to numerous investors.
NAM 1, along with Menzgold Ghana Company Limited and Brew Marketing Consult Ghana Limited, are set to face trial for their alleged involvement in these criminal activities. This development comes as a significant turning point in a prolonged legal saga that has garnered widespread attention.
Background and Key Details
Menzgold Ghana Company Limited, originally registered as Menzbank Ghana Company Limited in 2013, and Brew Marketing Consult Ghana Limited, established in December 2016, are interconnected sister companies under the ownership of NAM 1. The prosecution alleges that NAM 1 operated Menzgold Ghana Company Limited as a deposit-taking enterprise, masking it as a gold trading venture, even though the necessary license was lacking.
The Bank of Ghana had issued a public notice in March 2015 indicating that Menzbank was operating as an unlicensed deposit-taking institution. The accused, in an attempt to circumvent this notice, changed the company’s name from Menzbank to Menzbanc. In 2017, another name change occurred, rebranding the entity as Menzgold Ghana Company Limited.
Crucially, investigations have revealed that NAM 1 and the related companies engaged in the sale of gold and gold collectibles through Brew Marketing Consult Ghana Limited, despite not having the required license. In August 2016, Menzgold received a license from the Minerals Commission to purchase and export gold, but this license stipulated that Brew Marketing Consult Ghana Limited could only purchase gold from small-scale miners for export purposes. However, the prosecution contends that the companies violated this restriction and sold gold within Ghana.
NAM 1 and Menzgold allegedly invited the public to purchase gold and gold collectibles from Brew Marketing Consult Ghana Limited and deposit them with the company. These investments were solicited with the promise of substantial profits ranging from seven to ten percent. Over 16,000 members of the public responded to these invitations, depositing substantial sums of money under the impression that they were dealing with authorized deposit-taking businesses.
Despite numerous engagements and warning notices from relevant authorities, including the Securities and Exchange Commission (SEC) ordering Menzgold to suspend operations due to lack of licensing, the accused entities continued their activities. This led to complaints from customers who were unable to realize their investments.
Upcoming Court Appearance
NAM 1 is scheduled to make his first appearance in court on September 19 of this year. The case is expected to shed light on the alleged fraudulent activities and breaches of trust that the accused individuals are believed to have committed over the years. As the legal proceedings unfold, stakeholders will be closely watching to see how the court addresses the complex web of charges and allegations.
The Attorney-General’s move to file fresh charges marks a significant step toward bringing accountability and closure to a long-standing legal case that has attracted public scrutiny and raised questions about financial regulation and consumer protection in the country.
