Appiah-Danquah blames Akufo-Addo’s policies for collapse of Capital Bank

Legal expert Andrew Appiah-Danquah has analyzed the contrasting approaches of President John Mahama and President Nana Akufo-Addo toward Capital Bank.

Mahama’s administration approved a GH¢620 million commercial loan and a GH¢380 million prudential fund to stabilize the bank, implementing a structured repayment plan that saw GH¢336 million repaid.

However, upon taking office in 2017, Akufo-Addo’s government abandoned this approach, demanding immediate repayment, which Appiah-Danquah argues led to the bank’s collapse. The financial sector clean-up resulted in Capital Bank’s liquidation, job losses, and business disruptions.

Meanwhile, its founder, William Ato Essien, was later convicted of embezzling GH¢620 million in liquidity support and sentenced to 15 years in prison in December 2023 for failing to meet repayment terms.