William Ato Essien, the embattled Founder of defunct Capital Bank, has given an insight into the money he received out of a GH¢620million Liquidity Support from the Bank of Ghana.
Mr. Ato Essien indicated that he received an amount of GH¢27.5million as commission for a loan granted Capital Bank. He thus, defended the money he took from the bank, saying it was ‘finder’s commission’, and as such, required no board member to approve it.
In court, Mr. Ato Essien was asked how he came about that amount during the last day of cross-examination from state prosecutors, led by Chief State Attorney, Mrs. Evelyn Keelson. Mr. Ato Essien insisted that for assisting the bank to secure that loan, he “obtained GH¢27.5million as a finder’s fee.”
Mr. Essien revealed that he invested the money he took from the bank, stating that “In my earlier statement, I admitted that, I was in receipt of the GH¢27.5m which was finder’s investment and same invested in the completion of Ocean Spring.”
“I also paid back GHC1m as part of the finders which I have also admitted to refund. As at now, it is left with GHC26.5 million… Because this is finder’s, there is no need for board approval and the determination of what the money is put into or used for. The practice is for Management decisions and captured as such, and not for the board to approve.
“This is clearly a reinforcement of the role between the executive directors and the non-executive directors. Management approval is a tacit approval of the servant of the bank. The clarification here is, when EOCO had demanded a documentary engagement of the role I played and in my answer to that, I said Management’s oral agreement was all that I needed to proceed to find the bank the money and not the case of board approving payment of finder’s fee”.
Ato Essien
Mr Essien Denies Misappropriating GH¢200million
The Chief State Attorney put it to Mr. Essien that he has misappropriated about GH¢200million from the said loan granted to Capital Bank. However, the accused dismissed this assertion, saying that “he does not have access to the bank’s treasury.”
“Because I am not in management of the bank, I am not a signatory to the bank. I am not part of the day-to-day operations of the bank. I, therefore, cannot have access to the treasury of the bank.”
Ato Essien
Mrs. Keelson again put it to Mr Ato Essien that he used the said money personally for setting up a sovereign bank and completing the establishment of Ocean Spring. This, Mr. Essien debunked saying “I never had any personal benefit and my personal bank account can prove same.”
Mr Essien was subsequently discharged from the witness box after he refuted Mrs. Keelson’s assertion that his action of taking approximately GH¢200million belonging to Capital Bank for his personal use led to the collapse of Capital Bank.
“My lord, it is factually incorrect, because I currently stand on trial for 130m and 27.5m finder’s fee which I legitimately earned. Cumulative of this figures is 170.5 and I did not appropriate it for my personal use. My appropriation was only limited to the GH¢27.5m which I legitimately earned and have the right to use it the way I pleased.”
Ato Essien
Mr. Essien (A1), Tetteh Nettey (2nd) and Fitzgerald Odonkor (3rd) were charged with 23 counts including: stealing and money laundering. They have been accused of misappropriating some GH¢130m of the GH¢650m given to the bank.
Ato Essien is also defending the GH¢27.5m he received as commission. The suspects have pleaded not guilty to the combined charges and have been granted bail.
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