The Supreme Court of Ghana has ruled in favour of the Bank of Ghana (BoG), affirming that the central bank did not violate any laws in its decision to revoke UniCredit Ghana Limited’s license.
In a unanimous decision, the five-member panel led by Justice Gertrude Sackey Torkornoo overturned the Court of Appeal’s ruling. It upheld the High Court’s decision regarding Republic versus Bank of Ghana, Ex Parte Hoda Holdings Limited.
The apex court determined that the BoG followed due process in revoking UniCredit’s license, stating, “We are satisfied that on the face of the record, there was evidence of a hearing between UniCredit and the Bank of Ghana before the revocation of UniCredit’s license.”
Justice Gifty Agyei Addo of the High Court had previously ruled in favour of the Bank of Ghana on 18 March 2021, finding UniCredit insolvent based on available evidence and affirming the legality of the license revocation under Section 123 of Act 930.
Contrary to UniCredit’s claims of not being granted a hearing, the Supreme Court noted that the Bank of Ghana had served multiple notices to UniCredit to address its capital deficiency by regulatory requirements.
The court’s decision underscores that the steps taken by the Bank of Ghana, including placing UniCredit under receivership, were lawful under Act 930, the Banks and Specialised Deposit-Taking Institutions Act of 2016.
UniCredit’s majority shareholder, Hoda Holdings Limited, had initially sought judicial review at the High Court, contesting the BoG’s decision and seeking an injunction against interference in UniCredit’s operations.
The Court of Appeal later ruled in favour of Hoda Holdings, asserting that the Bank of Ghana had not followed proper procedure under Act 930.
However, the Supreme Court’s reversal of the Court of Appeal’s decision now affirms the legality and procedural correctness of the Bank of Ghana’s actions in revoking UniCredit’s license.
The ruling concludes a legal battle that began when the Bank of Ghana declared UniCredit insolvent in August 2019, ultimately leading to regulatory action and judicial scrutiny over procedural compliance and due process in financial sector oversight.
