Rev. Daniel Ogbarmey
The Director-General of the Securities and Exchange Commission has said his outfit is working assiduously to help clients of Gold Coast Fund Management to recoup their locked up investments. Rev. Daniel Ogbarmey Tetteh who spoke to Daniel Dadzie, host of the Joy FM’s Super Morning Show said ultimately clients of Gold Coast will be empowered to seek legal redress against their fund managers in the event the company fails to pay them their monies.
Gold Coast Fund Management has been in the news for its inability to pay clients’ invested capital and the interest accruing on same.
“We have received a number of complaints at the commission regarding this unfortunate turn of events and have been organizing hearing sessions on these complaints,” he said Tuesday.
In a public statement issued April 15, the Securities and Exchange Commission ordered the Gold Coast Fund Management Limited, an investment company, to stop taking new deposits.
“The Commission has directed Gold Coast Fund Management Ltd to cease collection or receipts of new funds or investments from the investing public until all clients and investors with outstanding matured investments have been paid or mutually agreed settlement terms reached,” the notice published on the website of the regulator read in part.
Rev. Ogbarmey Tetteh argued that contrary to perceptions that the regulator is indifferent to the plight of clients of Gold Coast Fund Management, a company currently facing liquidity challenges; they have been busy working out a plan to resolve the problem.
“We have also been meeting with senior management of Gold Coast Fund Management in terms of what steps they are taking to redress these issues and putting them on a more stringent reporting regime
“For instance every week we require of them to submit information on the clients they have paid,” he said to assuage the frustrations of the investing public.
That is not all.
“We asked them to submit detailed proposal on how they are resolving their liquidity problems,” Ogbarmey Tetteh added.
Opening up on what the Fund Management Company has done so far to address their problems, he said aside furnishing the regulator with a report detailing payment of some seven thousand clients it owed; Gold Coast Securities has also shown proof of a proposal to resolve its liquidity issue.
However, the Securities and Exchange Commission has directed it “to come back with further and better particulars on the subject. So that we can assess the credibility of the plan,” he said
Rev. Ogbarmey Tetteh also served notice that if the company reneged on the ongoing arrangements with the regulator, the regulator reserves the right to revoke its licence.
Again, he said the regulator may also empower the affected clients with the requisite assistance to seek legal redress against the company to redeem their investments.
“The option for the investor when they come to the commission with a complaint and we have a hearing and there is an agreement and the company is unable to fulfill their part of the bargain, the option is for the complainant to pursue the company using any and every legal means for their issues to be addressed,” he said.