A user on the X platform, @CallmeAlfredo, has criticized Fidelity Bank for taking legal action against Vice President of IMANI Africa, Bright Simons, over inquiries into the bank’s foreign exchange transactions with the Electricity Company of Ghana (ECG).
According to the X user, this move aims to suppress criticism and stifle public discourse on crucial matters.
The involvement of a lawyer representing Fidelity Bank, who is also a Member of Parliament, raises concerns about ethical conflicts.
The user emphasized that such actions undermine the principles of democracy.
“Fidelity Bank is suing Bright Simons for asking public interest and accountability questions related to its forex dealings with ECG. Fidelity is represented in this case by a lawyer, who’s also an MP paid by taxpayers. This shouldn’t be happening in any serious democracy,” he wrote.
Fidelity Bank has reportedly initiated legal action against Bright Simons, following his allegation that the Electricity Company of Ghana (ECG) engaged in sweetheart exchange rate deals with the bank, amounting to approximately GHC80 million.
Executive Director for Africa Centre for Energy Policy (ACEP), Ben Boakye, disclosed this information, citing Bright Simons’ lawyers as his source.
In a tweet, Mr. Simons confirmed the story but mentioned that he has not yet been officially served.
He expressed his willingness to confront the bank in court and provide evidence for his claims.
Mr. Simons emphasized that Ghanaian citizens are suffering from erratic power supply due to such financial decisions made by ECG, which he considers as “financial mismanagement.”
“The dumsor that the people experience recurrently stems from financial mismanagement. We will probe anything that allows that to happen. Including ECG FX deals. The courts support sound public policy & public interest. For the people till we die,” he wrote.
On March 2, 2024, Ben Boakye emphasized that ECG purchased the US dollar at GHC13.95, exceeding the prevailing market rate, resulting in over GHC80 million in losses in one month for acquiring $43 million.
Mr. Simons contends that ECG must promptly clarify its involvement in such currency exchange transactions, as it prompts inquiries about the utility’s comprehension of the actual worth of the Ghanaian Cedi in contrast to the broader market.
Reportedly, in October 2023, the exchange rate for commercial banks was below GHC11.5 per dollar, but ECG purportedly procured dollars at a substantially higher rate, leading to considerable exchange deficits.