By Beatrice Oppon
The Accra High Court has dismissed a submission of no case filed by the CEO of defunct Menzgold, Nana Appiah Mensah, popularly known as NAM1, and has ordered him to open his defense to charges against him. NAM1 and his lawyer, Kwame Akuffo, filed the submission of no case when the State closed its case after calling nine witnesses, including a police investigator.
They contended that the prosecution failed to prove the guilt of NAM1, Menzgold, and Brew Marketing Consult. However, the court affirmed the prosecution’s case against NAM1 and his companies.
In a 110-page ruling, Justice Ernest Owusu-Dapaa held that the State has established compelling evidence against him, warranting that he mount his defense. The judge stated that NAM1 and his company, Brew Marketing Consult, flouted the Minerals and Mining regulations by selling gold to the public. The court held that the testimonies of the witnesses, along with documentary proof of payment receipts, show that the accused and his entity engaged in the purchase of gold without a license.
Justice Owusu-Dapaa said Brew Marketing Consult is unknown to the Minerals Commission as an entity authorized to sell gold to the public. In that regard, the court asked NAM1 to elect to prove otherwise. On the charges of operating a deposit-taking business without a license, contrary to the Banks and Specialized Deposit-Taking Institutions Act, the court said evidence indicates that NAM1 accepted deposits from customers without endorsement from the Bank of Ghana. The court noted that the Bank of Ghana wrote a letter to NAM1 castigating Menzgold for defying warnings to desist from further taking deposits from customers. The court therefore found merit in the prosecution’s claim regarding deposit-taking and ordered NAM1 to respond to the allegations.
The court further held that NAM1 used celebrities in advertisements to attract the public to purchase gold. Justice Owusu-Dapaa opined that the use of celebrities amounted to an inducement to invest, for which NAM1 must mount his defense. On the charges of defrauding by false pretenses, the court held that NAM1 and Brew Marketing Consult made representations that they were licensed to sell gold. The court said gold trading agreements issued by NAM1 and his company indicated that they were operating a legitimate business. However, letters from the Minerals Commission proved that their activities were not sanctioned.
The court also noted that customers parted with substantial amounts of money based on misrepresentations by NAM1 and must therefore answer to the charges. The court acquitted him on four charges because the alleged victims refused to testify. The court also noted that the prosecution has provided sufficient evidence to establish the charges of money laundering and fraudulent breach of trust against NAM1.
Speaking after the court proceedings, NAM1 maintained his innocence regarding the charges against him. He said his plans to pay customers had been thwarted by the criminal proceedings.
Assistant State Attorney Wilberforce Isaac Mensah said the ruling is welcome and a step towards justice for the victims. Spokesperson of Aggrieved Customers of Menzgold, Fred Forson, appealed to the government to include Menzgold customers in the bailout package.
The trial continues on July 23.
