The salaries of 1,975 public servants will be withheld due to the Bank of Ghana (BoG) revoking the licences of twenty-three insolvent savings and loans companies and microfinance companies in the country.
The Controller and Accountant General’s Department (CAGD) advised the affected public servants to open fresh accounts with banks of their choice so they can receive their salaries.
According to reports, it is estimated that 1,975 public servants on the government payroll will not receive their salaries since they are paid through the GN Bank, First Allied Savings and Loans Co Ltd and Women’s World Banking Savings and Loans Co. Ltd that were affected by the closure.
GN Savings and Loans Ltd holds the accounts of 1,950 public servants while First Allied Savings and Loans Co. Ltd and Women’s World Banking Savings and Loans Co. Ltd hold the accounts of 5 and 20 public servants respectively.
The Controller and Accountant General advised the affected workers to furnish the department with their new account numbers to facilitate the payment of their salaries.
The Controller and Accountant-General, K. K. Bosompem said the August 2019 salaries of the affected workers will be withheld.
“Subsequent to the revocation of the licences of some savings and loans companies and finance house holdings by the Bank of Ghana, through which some public servants are paid, our department advised affected employees to open new bank accounts with the bank of their choice and submit the new account details to their respective MDAs for capture,” Bosompem said.
“The MDAs would in turn submit the new account information received from the affected staff to the Payroll Processing Division of the CAGD for loading onto the payroll system to enable the employees to access their accounts.
“Again, we are urging all third-party institutions affected by the BoG measures also to submit their new bank details to the CAGD for the payment of deductions held on their behalf by the department,” he told Daily Graphic.