An Accra High Court has overturned the Bank of Ghana’s (BoG) decision to revoke the operating license of CDH Savings and Loans Company Limited.
Justice Brew ordered that ordering both parties to resolve the issue through arbitration.
The judge in her ruling on November 1, 2024, also criticized the BoG’s approach in revoking the license.
The Court noted that the BoG’s two-week deadline for CDH to liquidate assets to address its liquidity challenges was “unreasonable and unfair.”
BoG had originally revoked CDH’s licence on August 16, 2019, citing liquidity issues stemming from CDH’s failure to sell repossessed collateral.
This, the central bank argued, led to an inability to meet withdrawal demands from depositors.
In response, CDH’s shareholders, CDH Financial Holdings Limited, challenged the decision in court, seeking to have it quashed on grounds of procedural unfairness and to prevent any further disruption to its operations until arbitration.
In his ruling, Justice Brew referenced Article 23 of Ghana’s 1992 Constitution, underscoring that administrative actions must uphold fairness.
Source:
3news.com
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 decision to revoke the operating license of CDH Savings and Loans Company Limited. Justice Brew ordered that ordering both parties to resolve the issue through arbitration. The judge in her ruling on November 1, 2024, also criticized the BoG’s approach in revoking the license.){kind=link}