The Bank of Ghana (BoG) has announced sanctions against 292 individuals and businesses for persistently issuing dud cheques. This action targets 47 individuals and 245 businesses who issued dud cheques at least three times between January 2022 and January 2024, despite prior warnings.
Sanctions and Legal Ramifications
Effective June 28, 2024, the offenders are banned from issuing cheques in Ghana and accessing new credit facilities from any bank or specialized deposit-taking institution (SDI) in the country. The BoG emphasized that these sanctions come in addition to potential legal action under Ghana’s criminal code.
“The public is by this Notice, cautioned to desist from issuing dud cheques as the offense has both legal and regulatory consequences. Bank of Ghana will continue to monitor the payment system space closely and is committed to the promotion of the integrity and soundness of the financial system,” the statement said.
Banks and SDIs to Enforce Ban
Banks and SDIs have been instructed to notify affected customers and collect any unused chequebooks. However, the BoG’s decision underscores its commitment to maintaining the integrity and soundness of the financial system by addressing the issue of dud cheques.
The central bank’s crackdown highlights the serious implications for individuals and businesses that fail to adhere to financial regulations. Moreover, by taking this decisive action, the BoG aims to curb the prevalence of dud cheques and promote a more reliable payment system.
Impact and Future Monitoring
The BoG will continue to closely monitor the payment system to ensure compliance and prevent future offenses. This move is part of broader efforts to enhance financial stability and protect the interests of legitimate financial institutions and their customers.
The central bank’s announcement serves as a stern warning to all account holders about the severe consequences of issuing dud cheques, emphasizing both legal and regulatory repercussions. The BoG remains vigilant in its oversight of the financial system to uphold its integrity and reliability.
Source: Graphic Online
