Court to rule in GCB Bank Contempt case

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Category: Business & Finance

Created on Tuesday, 10 September 2013 00:00

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Court to rule in GCB Bank Contempt case

The Fast Track High Court will on September 22 rule in the case in which the Managing Director (MD) of the Ghana Commercial Bank (GCB) is facing contempt for non-compliance of a court order.

The Bank is said to have failed to comply with the court order, where judgment was given on May 26, 2011, for it to pay its ex-workers their pension entitlements within 60 days.

The Court of Appeal had unanimously ruled that the GCB Bank should apply its internal mechanisms to pay the pensioners their pension entitlements.

At the sitting in Accra today, Mr Simon Dornoo, MD of the Bank, told the court presided over by Mr Justice N.M.C Abodakpi that he was unable to comply with the order because he was new in the Bank.

He also said all the documents about the ex-workers were destroyed and the Accountant who could get the information for him was also new in the organisation.

Mr Beyuo Kizito, counsel for the ex-workers, prayed the court to dismiss the explanation by the MD since it had no merit.

He said judgment in the case was given on May 26, 2011, to pay the ex-workers within 60 days and till date it was long enough for the bank to effect the payment.

The subject of litigation between the pensioners and the GCB Bank was that on February 27, 1987, the Board of Directors of the Bank accepted the retired workers' proposals and approved new pensions based on the civil servants pension of 70 per cent of the existing basic salary.

Again the Board of Directors was reported to have agreed to pay the retired workers 70 per cent of the salary of those still in active service anytime the basic salaries of those in service were increased, which was also going to be based on the position at which the pensioner retired.

From: GNA