Rev Daniel Ogbarmey Tetteh, Director General of SEC

Blackshield, other FMC customers receive partial bailout - SEC begins payment

Emmanuel Bruce Business News Nov - 28 - 2020 , 12:25

The Securities and Exchange Commission (SEC) has said the processes for the partial bailout for the remaining clients of affected Fund Management Companies (FMCs) whose licences were revoked have started, pending the outcome of the liquidation petitions.

This is in line with its earlier public notice on the November 18, 2020 which announced a partial bailout for the affected clients.

A release issued by the Commission in Accra yesterday noted that the partial cash bailout which involved a payment of up to GH¢50,000 would cover all clients of the remaining affected Fund Management Companies, including customers of Gold Coast Fund Management Limited (now Blackshield Fund Management Company Limited).

“In the end, the partial bailout being offered would result in 89 per cent of individuals and 82 per cent of pensioners being fully covered. Validated claims in excess of this partial cash payout amount shall be covered after the liquidation proceedings in court, in line with the terms being applied under the bailout package for the clients of the fund management companies currently undergoing liquidation proceedings,” the release noted.

The release added that a large number of affected clients had been sent SMS messages containing the value of their validated claims, with outstanding customers to be covered shortly.

Steps to follow

Interested claimants are expected to follow three simple steps (reduced from six steps) outlined to access the partial bailout in cash.

The over 10,000 clients who have already completed step one will be contacted shortly to complete the last two steps to access their payment.

Clients with validated claims in excess of GH¢50,000 can also opt to wait for the conclusion of the liquidation processes in court to access the full bailout package.

“For the avoidance of doubt, the partial bailout of GH¢50,000 will be paid as cash into the bank accounts that will be opened at GCB Bank for each client.

Clients will, therefore, be able to withdraw cash as soon as their accounts are activated. The SEC, therefore, appeals to all affected clients who opt for the partial bailout package to patiently follow through with all the processes and rely only on information provided by the SEC on the process.

“Clients who are yet to receive their Claim IDs are advised not to panic as the SMS is being dispatched in batches. The government is committed to following through with its bailout package for all validated claims,” the release added.