The Court of Appeal has unanimously restored the operating licence of GN Savings and Loans Company Limited, overturning both the Bank of Ghana’s revocation decision and an earlier High Court ruling that upheld it.
A three-member panel of the appellate court held that the revocation of the licence was unfair and unreasonable, describing the earlier decisions as unsustainable in law.
The court consequently quashed the High Court judgment and the Bank of Ghana’s 2019 decision to revoke the licence, effectively reinstating GN Savings and Loans Company Limited.
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In its ruling, the court also ordered the appointed receiver to immediately hand over possession, management, and control of the company’s assets and operations to its shareholders.
The case stems from the 2019 banking sector clean-up exercise when GN Bank Limited was downgraded and reclassified as GN Savings and Loans Company Limited on January 4, 2019.
Barely seven months later, on August 16, 2019, the Bank of Ghana revoked its licence and appointed a receiver, Eric Nana Nipah, to take over operations.
The decision formed part of broader financial sector reforms under then-Governor Dr Ernest Addison.
The owners of the company, Groupe Nduom, led by Dr Papa Kwesi Nduom, challenged the revocation in the High Court in Accra.
However, in January 2024, the High Court upheld the BoG’s decision.
That ruling has now been overturned by the Court of Appeal, bringing a major turn in the long-running legal battle.