Dr. Kingsley Opoku Appiah, a Senior Lecturer of the Kwame Nkrumah University of Science and Technology (KNUST) School of Business (KSB) has suggested the establishment of a Public Companies Accounting Oversight Board by the Economic and Organised Crime Office (EOCO) to verify the work of auditors of the Bank of Ghana (BoG) Supervision Department.
Dr. Kingsley Opoku Appiah made the suggestion when he delivered a public lecture on the theme: “Corporate Failure in Ghana: The Role of Board of Directors”. According to him, the independent body would vet the work of the BoG Supervision Department and Audit Firms of financial institutions and report to EOCO. He said the EOCO should be proactive and not wait for banks to experience crises even to the point of collapse before they investigate the financial crimes.
He stated further that following the collapse of seven (7) indigenous banks, it has come to light that it was due to the negligence of some stakeholders as well as BoG supervision staff and auditors. He therefore proposed that these key players especially the auditors, if found guilty, must pay a fine and or serve a prison term. This, according to him, would send a signal to deter people from taking Ghanaians for granted.
He noted that before their suspension by the BoG, the affected banks created the impression that they were all doing well, picking prestigious awards and spending on corporate social responsibilities. He added that if government had not intervened, over 10,000 staff of these banks would have lost their jobs, not to mention the profound impact on the financial sector.
He also called for public support on the need to invest in Ghanaian Banks to help retain local funds for development and also appealed to the BoG to give ample time for the promotion of indigenous banks.