Management of Menzgold has decided to hold on to the payment of matured extra values of customers, whiles ensuring the payment of their principal investments within a period of three months.
And for the principal investments of customers, the company will make initial payments of between 20% to 50%.
This was made known at a meeting between some selected customers and management of Menzgold on Monday.Menzgold has not been able to pay matured returns to its investors since the Security and Exchanges Commission (SEC) ordered it to suspend its gold trading operations to the public.
The company in an attempt to call the bluff of SEC came up with a payment schedule to pay its clients, but the said payments have been postponed for three consecutive times.
The delayed payments continue to stir up anger among Menzgold customers, as they have vowed to use every means possible to retrieve their investments.
We can’t pay dividends due to SEC’s action – Menzgold
Menzgold had earlier said it is unable to pay its customers matured dividends on their gold investments due to the action that was taken against it by the SEC.
“The gold collectibles offered for trade by patrons of our gold vault market product are subject to our quality controls and traded for profit which is shared as an extra value with the product owner or trader. Any act, order or instruction, therefore, designed or decreed to forbid Menzgold from trading makes it impossible to generate any revenue whatsoever out of which extra values are charged and paid to those entitled,” Menzgold said in a statement dated September 25, 2018.
But the SEC did not agree with Menzgold’s position, saying its action did not stop them from paying customers returns on already existing investments.
Meanwhile, the SEC has indicated that it is yet to receive adequate information from Menzgold after it ordered the suspension of its gold trading business.
Menzgold has sued the Securities and Exchange Commission (SEC) and the Bank of Ghana.
The company in its suit is seeking from the court an order directing the two institutions to stop interfering in its business.
They are also asking the court to stop the Bank of Ghana and the SEC from publishing what they have described as “derogatory notices” against their business.
‘We’ll settle you completely, be patient – Menzgold Boss
The Chief Executive of the company, Nana Appiah, had a few days ago assured that they were preparing to release all locked up cash.
In a late night message on Twitter however, Nana Appiah urged his clients to exercise some restraint for the protection of his business.
“I humbly urge all Menzgold clients to kindly remain calm, as we prepare to COMPLETELY SETTLE all entitlements of any magnitude soon. We’ve got brands & names to protect.”
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By: Nii Larte Lartey/citinewsroom.com/Ghana
The post Menzgold to pay customers’ principal investments in 3-months appeared first on Citi Newsroom.
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