The Coalition of Former Menzgold Customers on Tuesday, 22 June 2021, called on the Speaker of Parliament, Mr. Alban S. K. Bagbin, to ask him to help them retrieve their locked-up funds with the now-defunct company.
The leader of the 10-man delegation, Mr Isaac Nyarko, expressed worry about the negative impact the closure of Menzgold has had on them and their families, adding that the banking sector cleanup did not help matters.
The Menzgolders have been unhappy that they were not included in various bailout packages instituted by the government for collapsed financial institutions that were licensed by the Securities and Exchange Commission (SEC).
The Securities and Exchange Commission (SEC) ordered the shutdown of the gold-trading firm across the country on Thursday, 12 September 2019.
It also stopped the company from taking on new investments.
SEC further stopped Menzgold from publishing or broadcasting all adverts related to its activities.
SEC indicated that upon evaluation of the documentations of Menzgold, the company did not have the licence to deal in gold trading, citing that its operations breached Act 929 and as well, posed “a threat to unsuspecting and uninformed investors”.
SEC had further warned in a notice on Saturday, 7 September 2019, that if the company failed to comply, the Commission would enforce the directive by taking “measures under the law.”
Unable to refund customers investment, Menzgold CEO Nana Appiah Mensah (NAM1) was dragged to court.
The government says it will not use taxpayers’ money to pay depositors whose investments have been locked up in Menzgold Company Limited.