The Ghana Association of Banks (GAB) has called on the Bank of Ghana (BoG) to publicly disclose the names of businesses and individuals penalized for issuing dud cheques.
The association believes that publishing these names in national newspapers is crucial for restoring trust in cheques as a reliable means of payment.
The Chief Executive of the GAB, John Awuah, in an interview on Joy News emphasized that such public disclosure would serve as a strong deterrent, discouraging others from issuing dud cheques.
“If someone sees their neighbor’s name on this list, it will ensure they avoid making the same mistake,” Awuah stated.
He noted that the individuals and businesses in question have repeatedly issued dud cheques over the years, highlighting that this practice is not only against central bank regulations but also constitutes a crime under the Criminal Offenses Act. “Issuing dud cheques undermines trust in the payment system, which is why this issue is so critical,” Mr. Awuah stressed.
On August 6, 2024, the Bank of Ghana announced that it had sanctioned 47 individuals and 245 businesses for issuing dud cheques on at least three occasions between January 2022 and January 2024, despite prior warnings.
These offenders are now banned from issuing cheques and accessing new credit facilities in Ghana for three years, effective from June 28, 2024.
Mr. Awuah warned that the issuance of dud cheques could lead to a broader rejection of cheques as a payment method, which could have serious implications for the financial ecosystem.
He added that many businesses have already suffered losses due to this practice, and urged regulators to take firm action to prevent further erosion of confidence in the payment system.
Supporting this stance, Seth Twum Akwaboah, Chief Executive of the Association of Ghana Industries, expressed concern about the impact of the BoG’s sanctions on businesses, particularly their ability to secure new credit from banks over the next three years.
Story By Graphic.Com.Gh
