Source document: https://docs-lawep.s3.us-east-2.amazonaws.com/1697758810301.pdf (Ghana)
GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 ARRANGEMENT OF SECTIONS Sections 1.

Application 2.

Act to prevail Preliminary matters Establishment and membership of the Deposit Protection Scheme 3.

Establishment of the Scheme 4.

Object of the Scheme 5.

Membership of the Scheme 6.

Membership certificate 7.

Cessation of membership 8.

Effect of cessation of membership Establishment of the Deposit Protection Fund and Reserve Fund 9.
Establishment of a Deposit Protection Fund 10.

Object of the Protection Fund 11.

Sources of money for the Protection Fund 12.

Management of the Protection Fund 13.

Reserve Fund Insurable deposits, premium and payment of compensation 14.

Insurable deposits 15.

Initial premium 16.

Annual premium 17.

Differential premium 18.

Announcement of payment of compensation 19.

Claim for payment of compensation 20.

Payment of compensation to depositors 21.

Coverage limits 22.
Coverage limits 22.

Periodic reporting Establishment, object and functions of the Ghana Deposit Protection Corporation 23.

Establishment of the Corporation 24.

Object of the Corporation 25.

Functions of the Corporation 26.

Governing body of the Corporation 27.

Functions of the Board of the Corporation 1 GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 28.

Tenure of members of the Board 29.

Meetings of the Board 30.

Disclosure of interest 31.

Establishment of committees 32.


Advisors and consultants 33.

Allowances Administration and staff of the Corporation 34.

Appointment of Chief Executive Officer 35.

Functions of the Chief Executive Officer 36.

Appointment of other Staff 37.

Secretary to the Board 38. Business premises of the Corporation 39.

Information access, use and exchange 40.

Confidentiality Financial provisions 41.

Sources of funds for the Corporation 42.

Investments 43.

Target size of the Fund “A” and Fund “B” 44.


Financial reporting and external auditing 45.

Annual report and other reports 46.

Financial planning and budgeting 47.

Emergency or extraordinary funding 48.

Accounting and book-keeping Miscellaneous provisions 49.

Administrative sanctions 50.

Exemption from corporate income tax 51.

Protection from liability and indemnification 52.

Public information 53.

Penalty for non-payment of premium 54.

Regulations 55.

Interpretation 56.


Transitional provisions 2 GHANA DEPOSIT PROTECTION BILL, 2015 A BILL ENTITLED DEPOSIT PROTECTION ACT, 2015 AN ACT to provide for the establishment of a Deposit Protection Scheme, a Deposit Protection Fund, a Deposit Protection Corpo- ration and for related matters.

PASSED by Parliament and assented to by the President: Preliminary matters Application 1.

This Act applies to banks and specialised deposit-taking Institu- tions licensed by the Bank of Ghana.
Act to prevail 2.

Where a provision in this Act is inconsistent with the provisions of another enactment that deals with the insurance of deposits or matters relating to the insurance of deposits, the provision of this Act shall prevail.

Establishment and membership of the Deposit Protection Scheme Establishment of the Scheme 3.

There is established by this Act, a Deposit Protection Scheme re- ferred to in this Act as the “Scheme”.

3 GHANA DEPOSIT PROTECTION BILL, 2015 Object of the Scheme 4.
The object of the Scheme is to (a) protect a small depositor from loss incurred by the depositor as a result of the occurrence of an insured event; and (b) support the development of a safe, sound and efficient stable market-based financial system in Ghana.

Membership of the Scheme 5.

(1) Subject to section 55(3) and (4), a bank and a specialised deposit-taking institution that is licenced by the Bank of Ghana shall be a member of the Scheme.
(2) A bank or specialised deposit-taking institution becomes a member of the Scheme when the Bank of Ghana informs the Corpora- tion that that bank or specialised deposit-taking institution has been granted a licence by the Bank of Ghana to commence operations.

(3) A bank or specialised deposit-taking institution that is estab- lished as a result of an amalgamation under paragraph (d) of subsection (4) of section 7 may be issued with a licence and after that become a member of the Scheme.
Membership certificate 6.

(1) The Board shall issue a certificate of membership to a bank or a specialised deposit-taking institution that is a member of the Scheme.

(2) A bank or specialised deposit-taking institution shall display a copy of the certificate of membership at a conspicuous place at the main office of the bank or specialised deposit-taking institution, and at each branch office, agency or outlet of the bank or specialised deposit-taking institution.

Cessation of membership (a) 7.
(1) The Bank of Ghana shall, on the occurrence of an insured event, inform the affected bank or specialised deposit-taking insti- tution in writing of the revocation of the licence issued to that bank or specialised deposit-taking institution and request that bank or specialised deposit-taking institution to surrender the licence to the Bank of Ghana; (b) after the surrender of the licence, immediately inform the Corporation, in writing, of the revocation and surrender of the licence; and 4 GHANA DEPOSIT PROTECTION BILL, 2015 (c) appoint for the bank or specialised deposit-taking institu- tion, a receiver or liquidator and the Corporation shall promptly commence the reimbursement of compensation to the insured depositors.
(2) Where a bank or specialised deposit-taking institution is involuntarily liquidated in accordance with subsection (1), (a) (b) the participation of that bank or specialised deposit-taking institution in the Scheme ends on the date compensation payments to depositors of that bank or specialised deposit- taking institution is finalised between the Corporation and the bank or specialised deposit-taking institution; and the obligation of that bank or specialised deposit-taking institution to pay an insurance premium to the Scheme ends on the date the insured event occurs.
(3) Where a bank or specialised deposit-taking institution is liqui- dated voluntarily in accordance with section ..............of the Banks and Specialised Deposit-Taking Institutions Act, 2015 (Act ...........), (a) the participation of that bank or specialised deposit-taking institution in the Scheme, and the obligation of that bank or specialised deposit-taking institution to pay an insurance premium under the Scheme ends on the date the last payment of an insured deposit is made by the Corporation to an insured depositor.
(b) (4) Membership of the Scheme, of a bank or a specialised deposit- taking institution, ceases if (a) deposit liabilities in Ghana that belongs to the bank or specialised deposit-taking institution is transferred by that bank or specialised deposit-taking institution to another bank or specialised deposit-taking institution; the bank or specialised deposit-taking institution (b) (i) becomes a member of another scheme of arrange- ment; (ii) compromises with the creditors of the bank or the specialised deposit-taking institution; or (iii) undergoes a reconstruction authorised by a compe- tent authority and that reconstruction does not per- mit the acceptance of fresh deposits; 5 GHANA DEPOSIT PROTECTION BILL, 2015 (c) the bank or specialised deposit-taking institution is acquired by another bank or specialised deposit-taking institution; (d) as a result of an amalgamation, the banks or specialised deposit-taking institutions involved adopt a name and identity different from the name and identity which that bank or specialised deposit-taking institution had registered with the Scheme before the amalgamation; or (e) with the approval of the Bank of Ghana, the Corporation determines that the affairs of the bank or specialised deposit-taking institution is being conducted in a manner that is detrimental to the interest of that bank or specialised deposit-taking institution or to the interest of depositors in that bank or specialised deposit-taking institution.
(5) The Corporation shall, as soon as is reasonably practicable after a bank or specialised deposit-taking institution has ceased to be a member of the Scheme, cause the name of that bank or specialised deposit-taking institution to be published in the Gazette and in two daily newspapers of national circulation.

Effect of cessation of membership 8.
(1) Where a bank or specialised deposit-taking institution ceases to be a member of the Scheme under section 7, that bank or specialised deposit-taking institution (a) shall not assume, hold out or in any other way give the impression that the bank or specialised deposit-taking institution is a member of the Scheme; (b) shall surrender the membership certificate issued to that bank or specialised deposit-taking institution to the Corporation, and shall, in the prescribed manner, notify (i) depositors of that bank or specialised deposit- taking institution, and the general public of the cessation (ii) of its membership; (c) is not relieved from its obligations or liabilities that accrued to the Corporation before the cessation of its membership of the Scheme; and 6 GHANA DEPOSIT PROTECTION BILL, 2015 (d) shall indemnify the Corporation in the event of a payment made by the Corporation to depositors of that bank or specialised deposit-taking institution in respect of deposits transferred or acquired by another bank or specialised deposit-taking institution.
(2) The Corporation shall revoke the certificate of membership of the Scheme issued to a bank or specialised deposit-taking institution that ceases to be a member of the Scheme and that bank or specialised deposit-taking institution shall surrender the certificate to the Corpora- tion.

(3) A bank or specialised deposit-taking institution shall, from the date of revocation of the licence and cessation of membership, not accept deposits from the public.
(4) A bank or specialised deposit-taking institution that contravenes paragraphs (a), (b), (c) or (d) of subsection (1) commits an offence and is liable on summary conviction to a fine of not more than five thousand penalty units or to a term of imprisonment of not more than ten years or to both the fine and the imprisonment.

Establishment of the Deposit Protection Fund and Reserve Fund Establishment of a Deposit Protection Fund 9.
(1) There is established by this Act for the Scheme, a Deposit Protection Fund referred to in this Act as the “Protection Fund”.

(2) The Protection Fund is divided into Fund “A” and Fund “B”.

(3) The Corporation shall open two special accounts with the Bank of Ghana, for the Protection Fund.

Object of the Protection Fund 10.


The object of the Protection Fund is to provide the financial resources needed for the operation of the Scheme particularly for the reimbursement of the small depositors of a member of the Scheme on the occurrence of an insured event in respect of that member.

Sources of money for the Protection Fund 11.
(1) The Corporation shall pay into (a) Fund “A”, a premium paid by a bank that is member of the Scheme and any other fee paid by that bank to the Scheme; (b) Fund “B”, a premium paid by a specialised deposit-taking institution that is member of the Scheme and any other fee paid by that specialised deposit-taking institution to the Scheme; 7 GHANA DEPOSIT PROTECTION BILL, 2015 (c) Fund “A”, returns on funds invested from that Fund; (d) Fund “B”, returns on funds invested from that Fund; and (e) either Fund “A” or Fund “B”, revenue from the claims of the Corporation in liquidation proceedings of a member of the Scheme.
(2) The Protection Fund constitutes the assets of the Scheme.

(3) Where income or cost is not clearly allocated to any of the Funds specified in paragraphs (a) or (b), the income or cost may be allocated to Fund “A” and Fund “B” in equal proportions.

(4) The Corporation shall use the assets of the Protection Fund only for the purpose of reimbursing depositors.

Management of the Protection Fund 12.

The Corporation shall manage the Protection Fund.

Reserve Fund 13.
Reserve Fund 13.

(1) The Corporation shall establish and operate a Reserve Fund into which the Corporation shall transfer the net operational surplus of the Corporation for each year.
(2) The Board may withdraw money from the Reserve Fund (a) (b) (c) to meet the obligations of the Scheme to insured deposi- tors, if moneys in the Protection Fund are not sufficient; to pay for the recurrent expenditure of the Corporation for the year; and for the purpose of satisfying any other provision determined by the Board in respect of depreciation of assets, contribu- tion to staff pension and other contingency.
(3) The Board shall not, in making a withdrawal under subsection (2)(b), withdraw an amount that exceeds twenty-five percent of the net operational surplus paid into the Reserve Fund.

Insurable deposits, premium and payment of compensation Insurable deposits 14.
With the exception of the following, a bank or specialised deposit- taking institution shall insure with the Scheme, deposits held at that bank or a specialised deposit-taking institution: (a) an account for which a depositor has not been identified; (b) an account that is frozen or that is about to be frozen, in compliance with an order of a court; (c) an account that belongs to 8 GHANA DEPOSIT PROTECTION BILL, 2015 (i) a corporate person or a member of a corporate per- son, if the corporate person or the member of the corporate person has majority votes of twenty-five percent or more in the bank or specialised deposit- taking institution; (ii) an individual who participates directly or indirectly in the capital or voting rights of a bank or specialised deposit-taking institution as a result of at least five percent shares in the capital of that bank or specialised deposit-taking institution; (iii) a family member of an individual described in subparagraph (ii) and the account of a person who has a related interest; (iv) a director, a key management personnel or a person who has a related interest as defined under the Banks and Specialised Deposit-taking Institutions Act, 2015 (Act……); or (v) an audit firm, a partner of that audit firm, and a manager of that audit firm who is in charge of per- forming the external audit of the financial statements of the bank or specialised deposit-taking institution for at least the three years preceding the initiation of liquidation proceedings; (d) a deposit held in a bank or specialised deposit-taking insti- tution by a financial institution, pension fund, retirement fund, insurance company, collective investment undertaking, local government, central government and administrative authority; (e) a deposit held in a foreign branch of a bank or a specialised deposit-taking institution incorporated in Ghana, and a subsidiary of that bank or specialised deposit-taking insti- tution operating in a foreign country; and (f) deposits denominated in foreign currency.
Initial premium 15.

(1) A member of the Scheme shall pay to the Corporation, an initial one-time premium of zero-point-one percent of the required mini- mum paid-up capital as provided in the Bank and Specialised Deposit- Taking Institutions Act, 2015 (Act...........).

9 GHANA DEPOSIT PROTECTION BILL, 2015 (2) The initial premium to be paid by a member of the Scheme shall be paid not later than thirty days after the Corporation has issued a demand notice to that member.
(3) Where a member of the Scheme changes its licence and its minimum capital requirement goes high, that member shall pay the difference between the initial premium paid and the premium due as a result of the increase in the minimum capital requirement.

Annual premium 16.

The Corporation shall determine the level of annual premium pay- able by a member of the Scheme.
(2) The level of premium to be determined by the Corporation under subsection (1) ranges from zero- point-three percent to one-point- five percent of the average deposits insured by the Scheme at the end of the preceding year and may be different for Fund “A” and Fund “B”.

(3) A member of the Scheme shall pay a prorated amount of the annual premium to the Corporation quarterly.

(4) An assessed premium shall be paid not later thirty days after the end of the quarter to which it relates.
Differential premium 17.

(1) The Corporation may, on the basis of an assessed risk level of a member of the Scheme, assess different premiums payable by that member under Fund “A” and Fund “B”.

(2) The Corporation shall, in assessing the differential premium of a member of the Scheme under Fund “A” and Fund “B”, apply among other things the Bank of Ghana supervisory instructions.

(3) The Corporation shall not assess differential premiums until three years after the coming into force of this Act.
Announcement of payment of compensation 18.

Where an insured event occurs, the Corporation shall announce the modalities for payment of compensation for insured deposits and subsequent developments after commencement of payment of compen- sation by a publication (a) on the website of the Corporation; (b) (c) on television and radio.

in a daily newspaper of national circulation; and 10 GHANA DEPOSIT PROTECTION BILL, 2015 Claim for payment of compensation 19.
(1) An insured depositor may personally submit a claim for compensation to the Corporation and collect the compensation payable or submit that claim and collect the compensation payable through a person authorised in writing by that insured depositor.

(2) An insured depositor or the person authorised by that insured depositor shall attach evidence of ownership of the insured accounts, when submitting a claim for compensation to the Corporation.
(3) Where an insured depositor is unable to claim the compensa- tion for an insured deposit within the period prescribed under section 19 (2), that depositor shall make the claim at the registered office of the Corporation or at a location specified by the Corporation, within two years after the expiry of the period referred to in that section.
(4) An insured depositor who does not make a claim for compen- sation within the period specified under subsection (3) forfeits the right to that claim to the Republic.

(5) Subsection (4) does not apply to a claim made by a personal representative of a deceased person or next friend.

Payment of compensation to depositors 20.


(1) The Corporation shall commence the payment of compensa- tion of insured deposits on the date of first publication of the modalities for the payment of the compensation in a daily newspaper of national circulation and on radio but not before the sixth day of the occurrence of an insured event.

(2) The process for payment of compensation shall last for thirty days after the date of announcement of modalities for commencement of payment.
(3) The Corporation may pay an insured deposit in a single payment or in a series of payments over a period of thirty days.

(4) The receiver or liquidator of a bank or specialised deposit- taking institution that is under liquidation shall, within five days after the occurrence of the insured event, submit to the Corporation a softcopy and hardcopy of data and other documents necessary for the calculation and payout of insured deposits under this Act.
(5) The Corporation shall verify and determine the amount of an insured deposit primarily on the basis of the data and other documents submitted in subsection (4).

11 GHANA DEPOSIT PROTECTION BILL, 2015 (6) The Corporation may use other means for paying compensa- tion to insured depositors including employing the services of a payout agent bank or specialised deposit-taking institution.
(7) Where an insured deposit is the subject of a charge to a third party, the Corporation shall payout compensation due in respect of that account to the secured party in accordance with the Borrowers and Lenders legislation or under the orders of a court of competent jurisdiction.

(8) The Corporation shall, after an insured depositor has been paid, subrogate the claim to the position of the insured depositor in accor- dance with the Banks and Specialised Deposit-Taking Institutions Act, 2015 (Act…..).
Coverage limits 21.

(1) An insured depositor shall, on the occurrence of an insured event, be reimbursed for the insured deposit by the Corporation.
(2) The Corporation shall calculate the amount to be reimbursed by (a) aggregating the deposit accounts of the insured depositor together with any accrued interests; and (b) deducting from the sum obtained under paragraph (a), (i) deposits that are exempt from insurance under (ii) section 13; and the overdue portion of an amount owed by the insured depositor to the bank or specialised deposit- taking institution that is being liquidated.
(3) Despite subsection (2), the Corporation shall not pay to an insured depositor, an amount that is more than the maximum insured amount of (a) five thousand Cedis, in the case of a depositor of a bank; and (b) one thousand Cedis, in the case of a depositor of a specialised deposit-taking institution.

(4) The Corporation shall pay the amount to be reimbursed to a depositor from (a) Fund “A”.
if the depositor is a customer of a bank; and (b) Fund “B”, if the depositor is a customer of a specialised deposit-taking institution.
12 GHANA DEPOSIT PROTECTION BILL, 2015 (5) Where an account is jointly held by depositors and the bank or specialised deposit-taking institution has not been notified of the existence of any other contractual agreement between the depositors with respect to sharing of the moneys in the account, the Corporation shall divide equally among the depositors, the amount to be reimbursed to the depositors.
(6) Where a depositor is a trustee for the deposit account of a beneficiary, the Corporation shall in determining under this section the amount to be reimbursed to that beneficiary, add other deposit accounts in the name of the beneficiary to the deposit accounts held in trust.

(7) The Corporation shall reimburse a beneficiary of a trust account based on information provided by the trustee to the bank or specialised deposit-taking institution.
(8) The Corporation shall, not earlier than three years after the commencement of this Act, revise the coverage limits specified under subsection (3) to accord with economic conditions prevailing in the country and data concerning the development of insured deposits.

(9) The Corporation may, by legislative instrument, make Regu- lations to amend subsection (3) for purposes of effecting a revision under subsection (8).
(10) Where the amount paid by the Corporation as compensa- tion to an insured depositor is less than the amount credited to the account of the depositor, that depositor may recover the difference between the amount paid and the amount credited to the account of that depositor from the liquidator or receiver of the bank or specialised deposit-taking institution.

Periodic reporting 22.


(1) A bank or specialised deposit-taking institution shall submit to the Corporation, information, data, statements and reports in a form and manner determined by the Corporation.
(2) A bank or specialised deposit-taking institution that (a) does not submit information, data, statements or reports; (b) submits (i) (ii) an incomplete information, data, statement or report; or inaccurate information, data, statement or report; or (c) delays in the submission of information, data statement or report 13 GHANA DEPOSIT PROTECTION BILL, 2015 to the Corporation is liable to pay to the Corporation, an administra- tive penalty of not more than the monetary equivalent of five hundred penalty units.
Establishment, object and functions of the Ghana Deposit Protection Corporation Establishment of the Corporation 23.

(1) There is established by this Act a body corporate to be known as the Ghana Deposit Protection Corporation, referred to in this Act as the “Corporation”.

(2) For the performance of its functions, the Corporation may acquire and hold movable and immovable property, dispose of property and enter into contract or any other transaction.
(3) Where there is a hindrance in the acquisition of property by the Corporation, the property may be acquired for the Corporation under the State Lands Act, 1962 (Act 125), and the cost of the acquisition shall be borne by the Corporation.

Object of the Corporation 24.

The object of the Corporation is to manage the Scheme efficiently and effectively towards the attainment of the objects of the Scheme.

Functions of the Corporation 25.
To achieve its object, the Corporation shall (a) require each member of the Scheme to submit to the Corporation, information or data relating to its operations; (b) determine details of the information required to be submit- ted by each member of the Scheme, the form in which the information is to be reported and the time or interval of time at which reporting is required; (c) determine the levels of insurance premium for members of the Scheme and collect the premium from the members for the purpose of insuring the deposits; (d) set the coverage limits for insured deposits; (e) regularly revise the coverage limits specified under subsec- tion (3) of section 20; subject to this Act, invest the assets of the Scheme either directly or indirectly through an external asset manager; (f) 14 GHANA DEPOSIT PROTECTION BILL, 2015 (g) pay off insured depositors in accordance with this Act; (h) cooperate with the Bank of Ghana in exchanging informa- tion relevant to the attainment of the objects of the Scheme; (i) collaborate with international deposit insurance bodies; (j) invest the assets of the Protection Fund in securities approved by the Board in the investments as contained in this Act; (k) borrow money to ensure the attainment of the objects of the Scheme, where the Corporation has insufficient funds, but shall not borrow from members of the Scheme; (l) determine administrative sanctions to be imposed on a member of the Scheme in accordance with this Act; and (m) do any other thing incidental to the efficient performance of the functions specified in the preceding paragraphs.
(2) Despite paragraph (l) of subsection (1), the Corporation shall not grant a credit or make a donation to any person.

Governing body of the Corporation 26.
(1) The governing body of the Corporation is a Board consisting of (a) a chairperson who is the Governor of the Bank of Ghana or a representative of the Governor, not below the rank of a Deputy Governor; (b) one representative of the Ministry of Finance not below the rank of a Director; the Chief Executive Officer of the Corporation; (c) (d) one representative from the groups of banks, nominated by their respective associations; (e) one representative from the specialised deposit-taking institutions nominated by their respective associations; (f) one legal practitioner of not less than ten years standing at the Bank nominated by the General Legal Council; and (g) one certified practicing accountant nominated by the Institute of Chartered Accountants, Ghana.
(2) A person qualifies to be nominated to serve on the Board if that person (a) is a fit and proper person and is ordinarily resident in the country; 15 GHANA DEPOSIT PROTECTION BILL, 2015 (b) has not been actively engaged in partisan politics or held political office in the three years preceding the nomination; is not an executive of a member of the Scheme or a member of the governing board of a member of the Scheme; and (c) (d) ceased to be an executive of a member of the Scheme or a member of the governing board of a member of the Scheme, at least one year before the nomination of that member.
(3) Paragraph (d) of subsection (2) does not apply to the chair- person of the Board.

(4) The Board shall, with the exception of members of the Board specified under paragraphs (a) and (b) of subsection (1), prescribe rules and procedures for the nomination or re-nomination of a member of the Board.

(5) The President shall appoint members of the Board in accor- dance with article 70 of the Constitution.

(6) The Board shall ensure the proper and effective performance of the functions of the Corporation.
(7) Subject to this Act, the Board shall in the performance of its function under subsection (6), not be subject to the control or direction of any person or authority.

Functions of the Board of the Corporation 27.
The Board shall (a) recommend the Chief Executive Officer of the Corpora- tion for appointment by the President; (b) make rules and prescribe procedures for the management and operations of the Corporation; (c) approve the financial and operational plans, budget and financial statements of the Corporation; (d) approve the investment and other policies, and guidelines of the Corporation; (e) propose amendments to this Act based on operational experiences in the implementation of the Act; (f) approve payments for reimbursement of depositors on the occurrence of an insured event; (g) manage the Fund; 16 GHANA DEPOSIT PROTECTION BILL, 2015 (h) approve emergency funding and borrowing for emergency purposes in accordance with section 47; (i) approve the number of staff as recommended by the Chief Executive Officer; and (j) approve international bodies of which the Corporation may become a member.
Tenure of members of the Board 28.

(1) A member of the Board appointed otherwise than by reason of the office of that member shall hold office for a period of not more than three years and is eligible for re-appointment but a member shall not be appointed for more than two consecutive terms.

(2) A member of the Board who is absent from three consecutive meetings of the Board without sufficient cause ceases to be a member of the Board.
(3) The position of a member of the Board appointed otherwise than by the office of that member becomes vacant if the member at any time resigns from office in writing addressed to the President through the chairperson of the Board.

(4) A member who intends to resign shall, give three months notice in writing, of that intention to the chairperson.
(5) The President may, by a letter addressed to a member other than the Chief Executive Officer, revoke the appointment of that member if that member (a) (b) (c) (d) (e) (f) fails to meet the criteria specified under subsection (2) of section 25 after appointment to the Board; is convicted for a criminal offence involving fraud or dishonesty; is adjudged or declared bankrupt by a court of competent jurisdiction, or is the owner or key management personnel of a company adjudged or declared bankrupt; is disqualified or suspended by a competent authority from practising a profession on grounds of misconduct; is adjudged by majority of the members to be engaged in a conduct inconsistent with the standards of integrity and the ethical code of the Corporation; or is unable to perform the functions of a member as a result of infirmity of mind or body, certified by a medical officer.
17 GHANA DEPOSIT PROTECTION BILL, 2015 (6) The President may on the recommendation of the Board, by a letter addressed to the Chief Executive Officer, revoke the appointment of the Chief Executive Officer for good cause as provided for in section 33(5).

(7) Where a member of the Board is for sufficient reason, unable to act as a member, the Minister shall determine whether the inability would result in the declaration of a vacancy.
(8) Where there is a vacancy (a) under subsection (3) or (4) or section 29(3), (b) as a result of a declaration under subsection (7), or (c) by reason of the death of a member the Minister shall notify the President of the vacancy and the President shall appoint a person to fill the vacancy.

Meetings of the Board 29.

(1) The Board shall meet at least once every three months for the despatch of business at times and in places determined by the chairperson.
(2) The chairperson shall at the request in writing of not less than three members of the Board convene an extraordinary meeting of the Board at the place and time determined by the chairperson.

(3) The chairperson shall in consultation with the Chief Executive Officer propose the agenda for each meeting.

(4) The quorum at a meeting of the Board is five members of the Board or a greater number determined by the Board in respect of a particular matter.
(5) The chairperson shall preside at meetings of the Board and in the absence of the chairperson, a member of the Board elected by the members present from among their number shall preside.

(6) Matters before the Board shall be decided by a majority of the members present and voting, and in the event of an equality of votes, the person presiding shall have a casting vote.

(7) The Board may co-opt a person to attend a Board meeting but that person shall not vote on a matter for decision at the meeting.
Disclosure of interest 30.

(1) A member of the Board shall disclose in writing any personal interests or otherwise that the member has in the activities or practices regulated by the Corporation.
18 GHANA DEPOSIT PROTECTION BILL, 2015 (2) A member of the Board who has an interest in a matter for consideration (a) shall disclose the nature of the interest and the disclosure shall form part of the record of the consideration of the matter; and (b) shall not be present or participate in the deliberations of the Board in respect of that matter.
(3) A member ceases to be a member of the Board, if that member has an interest in a matter before the Board and (a) (b) fails to disclose that interest; or is present at or participates in the deliberations of the Board in respect of that matter.

Establishment of committees 31.

(1) The Board may establish committees consisting of members of the Board or non-members or both to perform a function.
(2) Without limiting subsection (1), the Board may have a Technical Committee which may be chaired by a person who is not a member of the Board.

(3) Section 32 applies to members of committees of the Board.

Advisors and consultants functions under this Act.

32.

(1) The Board may appoint consultants to carry out any of its (2) A consultant appointed under this section may with the approval of the Board, co-opt other persons to assist in the carrying out of an assigned function.
(3) A person other than an employee of the Corporation co-opted by the Board shall, hold office in accordance with the terms of the letter by which the person is appointed.

(4) A person (a) appointed by the Board as a consultant, or (b) co-opted by a consultant under subsection (2), shall disclose any interest in an activity or practice involving a bank or specialised deposit-taking institution.

(5) The appointment of a person who contravenes subsection (4) shall be revoked.
(6) The Chief Executive Officer shall notify the chairperson of the Board of any vacancy resulting from a revocation of appointment under subsection (5).

19 GHANA DEPOSIT PROTECTION BILL, 2015 Allowances 33.

Members of the Board and members of a committee of the Board shall be paid the allowances approved by the Minister.

Administration and staff of the Corporation Appointment of Chief Executive Officer 34.
(1) The President shall, on the recommendation of the Board, appoint a Chief Executive Officer for the Corporation.

(2) A person qualifies for appointment as a Chief Executive Officer if that person has the relevant university degree; (a) (b) a minimum work experience in the fields of finance, banking, or insurance at management level for at least five years; and (c) has been recommended by the Board after selection by the board through a transparent and competitive recruitment process.
(3) The Chief Executive Officer shall hold office in accordance with the terms and conditions specified in the letter of appointment.

(4) Except with the prior approval of the Board in writing, the Chief Executive Officer shall not hold any other office, be a director in any other establishment or corporate body whether for remuneration or not.

(5) The Chief Executive Officer shall be removed from office for incapacity, malfeasance or incompetence.

Functions of the Chief Executive Officer 35.
(1) The Chief Executive Officer shall, subject to the directions of the Board on matters of policy and as provided for in this Act, is respon- sible for the day-to-day administration of the Corporation and in particular shall (a) execute the policies of the Board; (b) make regular reports to the Board on the administration of the Corporation; (c) provide data, statistics and advice necessary for the attain- ment of the objects of the Corporation; and (d) perform other functions as directed by the Board.
(2) The Chief Executive Officer is answerable to the Board in the performance of the functions of a Chief Executive Officer.

20 GHANA DEPOSIT PROTECTION BILL, 2015 Appointment of other staff 36.

(1) The Board shall appoint other staff of the Corporation that are necessary for the proper and effective performance of its functions.

(2) Other public officers may, at the request of the Board, be trans- ferred or seconded to the Corporation or may otherwise give assistance to it.

Secretary to the Board 37.


(1) The Board shall designate a person from among the staff of the Corporation to be Secretary to the Board.
(2) The Secretary (a) is responsible for the secretariat of the Board and shall ensure the accurate recording of proceedings and decisions of the Board; (b) shall, subject to the direction of the chairperson, commu- nicate notice of a meeting of members of the Board, the agenda for the meeting, time and venue for the meeting to the members at least five working days before the date set for the meeting; and (c) shall circulate working documents on topics to be discussed at a meeting of the Board to members at least three working days before the date set for the meeting.
(3) The Secretary may send the notice and documents relating to a meeting of the Board to members by electronic mail.

Business premises of the Corporation 38.

The Corporation shall situate its Head Office in the capital city of Ghana and may (a) open offices in other parts of the country; and (b) appoint agents and correspondents.

Information access, use and exchange 39.


(1) The Corporation and the Bank of Ghana shall enter into an agreement which shall be reduced into writing in the form of a Memo- randum of Understanding which shall provide for the following: (a) the undertaking of examination on behalf of the Corpora- tion; (b) exchange of information with respect to problem banks and specialised deposit-taking institutions; (c) sharing of information and or data; and (d) any other matters considered necessary by the Corporation.
21 GHANA DEPOSIT PROTECTION BILL, 2015 (2) In preparation for an insured event, the Corporation shall work with members of the Scheme to ensure that there are adequate systems and software for the transfer of data.

Confidentiality 40.
(1) A person who in the performance of a function or discharge of a duty comes into contact with confidential information concerning the business of the Corporation shall not disclose or permit the disclo- sure of that information, except where the disclosure is (a) with the express or implied consent of the Board; (b) required by law or by the order of a court of competent (c) (d) (e) jurisdiction; to the Auditors of the Corporation in the performance of their functions under the Act; to the supervisory authorities of members of the Scheme or to public international financial institutions including the International Monetary Fund and the World Bank; and for the purpose of a legal proceeding in the interest of the Corporation.
(2) A person who contravenes subsection (1) commits an offence and is liable on summary conviction to a fine of not less than five hundred penalty units and not more than one thousand penalty units or to a term of imprisonment of not less than two years and not more than four years or to both the fine and imprisonment.

Financial provisions Sources of funds for the Corporation 41.
The source of funds for the Corporation are (a) capital contributions from the Government and the Bank of Ghana; (b) withdrawals from the Reserve Fund; (c) grants received from the Government and donors; (d) borrowings including issuance of securities; and (e) other revenues payable to the Corporation in accordance with this Act.

22 GHANA DEPOSIT PROTECTION BILL, 2015 Investments 42.

(1) The Board shall formulate an investment policy to guide the deployment of the resources of the Fund.
(2) In formulating the investment policy, the Corporation shall adhere to the principles of safety and liquidity over returns.

(3) The Corporation may invest the Protection Fund in the following financial instruments: (a) securities issued or guaranteed by the Republic of Ghana; (b) securities issued by the Bank of Ghana; (c) other investments to be determined by the Board in line with its investment policy.

Target size of the Fund “A” and Fund “B” 43.


(1) The Board of Directors of the Corporation shall manage the assets of the Fund “A” and Fund “B” in a manner consistent with its responsibility to protect the small depositor.

(2) The size of assets of Fund “A” or Fund “B” may exceed a target determined by the Board.
(3) The Corporation may reduce the premium payable in respect of Fund “A” or Fund “B”, when the respective size of assets of that Fund exceeds the target level as determined in subsection (2) but shall continue to collect premiums.

Financial reporting and external auditing 44.

(1) The Board shall keep books of accounts and proper records in relation to them in a form approved by the Auditor-General and in accordance with International Financial Reporting Standards.
(2) The financial year of the Corporation shall begin on the first day of January and end on the last day of December.

(3) The accounts, records and financial statements of the Corpo- ration shall be audited by an independent external auditor appointed by the Auditor-General and published not later than 31st March of the ensuing year.

(4) The Auditor shall be engaged by the Auditor-General through a competitive process.
(5) The Auditor engaged shall not hold office for more than five consecutive years and may be reappointed only after a period of five years after the previous engagement.

23 GHANA DEPOSIT PROTECTION BILL, 2015 (6) The Board shall submit the accounts of the Corporation to the Auditor for audit within three months after the end of the financial year.
(7) The Auditor shall audit the accounts and make a report on the audited accounts within three months after receipt of the accounts and forward a copy of the audit report to the Board.

(8) The Board shall furnish the Minister and the Bank of Ghana with copies of audited financial statements not later than 31st March of the ensuing year.
(9) The Board shall publish the annual report and audited financial statements of the Corporation on its web page and in a daily newspaper of national circulation not later than 31st March of the ensuing year.

Annual report and other reports 45.

(1) The Board shall within one month after receipt of the audit report, submit to the Minister an annual report covering the activities and the operations of the Corporation for the year to which the report relates.
(2) The annual report shall include the report of the Auditor- General.

(3) The Minister shall, within one month after the receipt of the annual report, submit the report to Parliament with a statement that the Minister considers appropriate.

(4) The Board shall also submit to the Minister any other report in relation to the annual report which the Minister may require in writing.

Financial planning and budgeting 46.


(1) Not later than 31st of October of each year, the Board shall cause to be prepared, estimates of revenue and expenditure for the Corporation for the ensuing year.

(2) The Board shall approve the annual estimates of the Corpora- tion before the commencement of the financial year to which they relate.

24 GHANA DEPOSIT PROTECTION BILL, 2015 Emergency or extraordinary funding 47.
(1) Where upon the basis of a review of the financial plan or other supporting financial information, the Chief Executive Officer or the Board determines that Fund “A” or Fund “B” does not have sufficient financial resources to carry out its objectives, the Board shall approve a plan to undertake one or more of the following actions: (a) charge an additional, extraordinary premium to a member of the Scheme by increasing within one year, the level of the ongoing premium levied against insured institutions on a temporary basis up to two times its level at the time of the emergency, with the Board determining whether the emergency premiums will be credited against future premiums; issue bonds in compliance with the applicable Acts in Ghana and Bank of Ghana rules; or (b) (c) borrow funds, except from a member of the Scheme, guar- anteed in line with the Acts in force or by the instructions of Bank of Ghana.
(2) Borrowings between the two funds may be permitted by the Board where the likelihood of a failure in any of the members of the Scheme under Fund “A” or Fund “B” is not anticipated by the Board.

Accounting and book-keeping 48.

The Corporation shall have accounting policies and conduct its accounting and book-keeping in accordance with International Financial Reporting Standards.

Miscellaneous provisions Administrative sanctions 49.
The administrative sanctions provided under this Act shall not preclude the application of other sanctions or criminal penalties as provided for under any other enactment.

Exemption from corporate income tax 50.

The Corporation is exempted from the payment of corporate income tax.

25 GHANA DEPOSIT PROTECTION BILL, 2015 Protection from liability and indemnification 51.
(1) Action shall not lie against the Government, the Corporation, any officer of the Corporation or any person acting under the direction of the Corporation for anything done or omitted to be done in good faith in the administration of this Act, or in the performance of any function, exercise of a power or discharge of a duty authorised or required under any other enactment relevant to the attainment of the objects of this Act, unless it has been proven that the acts or omissions constitute intentional wrongful conduct or gross neglect.
(2) The Corporation shall indemnify a member of the Board, a staff of the Corporation or an agent of the Corporation against costs incurred in the defence of a legal action brought against that person in connection with the discharge or purported discharge of official tasks within the scope of employment or engagement of that member, staff or agent under this Act.
(3) Despite subsection (2), the Corporation shall not indemnify a member of the Board, a staff of the Corporation or an agent of the Corporation if that member, staff or agent is convicted of a crime arising out of the activities in respect of which legal action was instituted against the member, staff or agent.

Public information 52.


(1) A bank or specialised deposit-taking institution shall openly display and make available brochures, leaflets and other educational materials to explain the Scheme and its operations.

(2) In providing educational materials on the Scheme to the public, a bank or specialised deposit-taking institution shall ensure that the materials do not contain false or misleading information.
(3) A bank or specialised deposit-taking institution that contravenes subsection (1) or (2) is liable to pay to the Corporation an administrative penalty of not more than the monetary equivalent of one thousand penalty units.

Penalty for non-payment of premium 53.


(1) A bank or specialised deposit-taking institution that fails to pay a premium as specified under sections 14, 15 and 16 is liable to pay to the Corporation an administrative penalty of not more than the monetary equivalent of five thousand penalty units.
26 GHANA DEPOSIT PROTECTION BILL, 2015 (2) Where a bank or specialised deposit-taking institution delays in the payment of a premium, the bank or specialised deposit-taking institution shall pay interest on the accrued premium to the Corporation at the rate assigned to a ninety-one-day Treasury bill plus two per cent.

Regulations 54.

The Minister in consultation with the Corporation may, by legis- lative instrument, make Regulations for the effective implementation of this Act.

Interpretation 55.
In this Act, unless the context otherwise requires, “bank” means an entity licensed by the Bank of Ghana in line with the Banks and Specialised Deposit-taking Institutions Act 2015, (Act ............); “Board” means the governing body of the Corporation; “Corporation” means the Ghana Deposit Protection Corpo- ration established under section 22; “deposit” means a sum of money paid by a depositor to a bank or a specialised deposit-taking institution on condition that the money is to be repaid by the bank or specialised deposit-taking institution either on demand by the depositor or at an agreed time by that bank or specialised deposit- taking institution with or without interest or premium under applicable legal and contractual conditions, without the depositor providing property, giving a service or security; “depositor” means a person that holds a deposit account in an insured institution; “Deposit Protection Scheme” means the scheme established under section 3 and the legal, financial and organisational arrangements and operational activities undertaken by the Corporation in order to achieve the objects specified in section 4; “eligible deposits” means the aggregated deposits of an insured depositor, together with any accrued interests minus over- due obligations and excluded deposits; 27 GHANA DEPOSIT PROTECTION BILL, 2015 “financial institution” means a banking institution or a non- bank financial institution; “fit and proper person” means a person who is suitable to hold the particular position which that person holds or is to hold as regards to (a) (b) that person’s probity, competence and soundness of judgment for fulfilling the responsibilities of that person; the diligence with which that person fulfills or is likely to fulfill those responsibilities; (c) whether the interest of depositors or potential depositors of the deposit-taking industry is, or likely to be, in any way threatened by that person holding that position; and (d) whether the integrity of the person is established and the qualifications
 and experience of the person are appropriate for the position in light of the business plan and activities of the entity which the person serves, or going to serve, taking into account the size, nature and complexity of the responsibility; “Fund “A”” means the Deposit Protection Fund “A”; “Fund “B”” means the Deposit Protection Fund “B”; “initial premium” means a one-time premium paid by a bank or a specialised deposit-taking institution to the Corporation; “insured depositor” means a person who owns an insured de- posit account; “insurable deposits” means the eligible deposits of an insured depositor minus the overdue obligations of that depositor in the insured bank or specialised deposit-taking institu- tion; “insured event” means an event that necessitates (a) (b) the revocation of the licence of a bank or a specialised deposit-taking institution; and the appointment of a receiver or a liquidator as specified in the Banks and Specialised Deposit- Taking Institutions Act 2015 (Act.....); 28 GHANA DEPOSIT PROTECTION BILL, 2015 “joint account” means an account opened in the names of two or more persons or over which two or more persons have rights as opposed to an individual account, which is an account opened in the name of only one person; “member of family” means a spouse, child, parent, grandpar- ent, parent’s child, brother’s child, sister’s child, grandchild, parent’s brother or sister, parent’s brother’s child, parent’s sister’s child, step brother or sister, step child, parents- in-law, brothers-in-law or sisters-in-law; “Minister” means the Minister responsible for Finance; “ordinarily resident” means a person residing in Ghana for at least twelve months; “payout date” means the date on which the Corporation commences payment of compensation for insured deposits to insured depositors; “problem institution” means an institution that is subject to remedial measures, prompt corrective measures involving Administration or Receivership as specified in the
 Banks and Specialised Deposit-taking Institutions Act, 2015 (Act ....); “Protection Fund” means the Deposit Protection Fund; “Scheme” means the Deposit Protection Scheme established under section 3; “small depositor” means a person who has a level of account determined by the Board to be a small deposit; “specialised deposit-taking institution” means a body corporate that engages in the deposit-taking business and is issued with a specialised deposit-taking institution licence in accordance with the Banks and Specialised Deposit-Taking Institutions Act, 2015, (Act…….
); “supervisory instructions” means the outcome of an assessment of a bank or specialised deposit-taking institution based on adopted examination methodologies, and includes risk rating of the bank or specialised deposit-taking institution; and “trust account” means a savings account established under a trust agreement whereby a trustee administers the funds for the benefit of one or more beneficiaries.

29 GHANA DEPOSIT PROTECTION BILL, 2015 Transitional provisions 56.
(1) The Government of Ghana and the Bank of Ghana shall each contribute towards the initial capital of the Corporation.

(2) The Corporation shall insure depositors of existing banks and specialised deposit-taking institutions not otherwise excluded under section 13 six months after the coming into force of this Act.
(3) The Bank of Ghana shall, four months before the commence- ment of the Scheme, notify the Corporation of any bank or specialised deposit-taking institution that the Bank of Ghana has classified as (a) a problem bank or a problem specialised deposit-taking institution; or (b) not fulfilling the minimum capital requirements as stipulated by the Bank of Ghana.

(4) An ineligible bank or specialised deposit-taking institution may be admitted into the Scheme when the conditions of ineligibility are remedied.
(5) A bank or specialised deposit-taking institution that at the coming into force of this Act does not meet the standards required for admission into the Scheme shall comply with the required standards within six months from the date of coming into force of this Act.

(6) A bank or specialised deposit-taking institution that does not comply with the standards required under this Act by the time specified in subsection (5) shall be closed down by the Bank of Ghana.
(7) An insured bank or specialised deposit-taking institution shall pay the required initial premium, before the commencement of the Scheme.

(8) In addition to subsection (1) each institution shall pay a quarterly premium as specified in subsection (3) of section 15.
(9) Until the Board is appointed by the President, the functions and powers of the Board shall be exercised by the Governor of the Bank of Ghana, and any reference in this Act to the Board shall accordingly be considered as a reference to the Governor of the Bank of Ghana.

Date of Gazette notification: 12th May, 2015.

GPCL, ASSEMBLY PRESS, ACCRA.
GPCL/A373/350/06/2015 30 Website: www.ghpublishingcompany.com E-mail: info@ghpublishingcompany.com GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 MEMORANDUM The object of the Bill is to establish a Deposit Protection Scheme to protect a small depositor from loss incurred by the depositor as a result of the occurrence of an insured event and to support the development of a safe, sound, efficient and stable market-based financial system in Ghana; to establish the Deposit Protection Fund which constitutes the assets of the Scheme and the Deposit Protection Corporation to manage the Scheme efficiently and effectively towards the attainment of the objects of the Scheme, amongst others.
Clauses 1 and 2 deal with preliminary provisions.

Clause 1 deals with application.

The Bill applies to banks and specialised deposit- taking institutions licensed by the Bank of Ghana.

Clause 2 provides that where a provision in the Bill is inconsistent with the provisions of another enactment that deals with the insurance of deposits or matters relating to the insurance deposits, the provision in the Bill should prevail.
Clause 3 to 8 deals with the establishment and membership of the Deposit Protection Scheme.

The establishment of the Deposit Protection Scheme is provided for in clause 3.

The object of the Scheme is provided for in clause 4 and it is to protect a small depositor from loss incurred by the depositor as a result of the occurrence of an insured event and to support the development of a safe, sound, efficient and stable market- based financial system in this country.
The membership of the Scheme is provided for in clause 5.

Membership of the Scheme is open to a bank and a specialised deposit- taking institution but this is subject to clause 55 (3).

Clause 6 provides for the issue of a certificate of membership by the Board to a bank or a specialised deposit-taking institution that is a member of the Scheme.

Clause 7 deals with cessation of membership.


On the occurrence of an insured event, the Bank of Ghana is to immediately inform the affected bank or specialised deposit-taking institution in writing of the revocation of the licence issued by the Bank of Ghana to that bank or specialised deposit-taking institution and request that bank or institution 31 i GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 to surrender its licence to the Bank of Ghana.
The Bank of Ghana is required after the surrender of the licence to inform the Corporation, in writing, of the revocation and surrender of the licence and appoint a receiver or liquidator for the bank or specialised deposit-taking institu- tion.

The Corporation is subsequently required to promptly commence the reimbursement of compensation to the insured depositors.

The effect of cessation of membership is provided for in clause 8.
The establishment of the Deposit Protection Fund and Reserve Fund is dealt with from clause 9 to 13.

Clause 9 provides for the establishment of a Deposit Protection Fund.

The object of the Fund is set out in clause 10 and the sources of money for the Fund are provided for in clause 11.

The Fund constitutes the assets of the Scheme.

Clause 11 provides that the Fund is to be managed by the Corporation.

The Reserve Fund is provided for in clause 13.


The Corporation is to establish and operate a Reserve Fund into which the Corporation is to transfer the net operational surplus of the Corporation for each year.

The Board may withdraw moneys from the Reserve Fund to meet the obligations of the Scheme if the moneys in the Deposit Protection Fund are not sufficient to meet those obligations.
The Board may also with- draw moneys from the Reserve Fund to satisfy the recurrent expenditure of the Corporation for the year as well as to make payments in respect of depreciation of assets, contribution to staff pension and for any other contingency but the total withdrawal for these purposes in any case shall not exceed twenty-five percent of the net operational surplus paid annually into the Reserve Fund.
Furthermore, the Board may also withdraw money from the Reserve Fund if moneys in the Deposit Protection Fund are not sufficient to meet the obligations of the Scheme to insured depositors.

Clause 14 to 22 deals with insurable deposits, premium and payment of compensation.

Insurable deposits are provided for in clause 14.

Clauses 15, 16 and 17 deal with initial premium, annual premium and differential premium respectively.

The announcement of payment of compensation is provided for in clause 18.
Where an insured event occurs, the Corporation is to announce the modalities for payment of compensation for insured deposits and subsequent developments after commencement of payment of compen- sation, by a publication on the website of the Corporation, in a newspa- per of national circulation and on television and radio.
32 ii GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 Clause 19 deals with claim for payment of compensation and clause 20 deals with payment of compensation to depositors.

Coverage limits are provided for in clause 21.

An insured depositor is, on the occurrence of an insured event, entitled to reimbursement of the insured deposit from the Corporation.
However where the amount of compensation paid by the Corporation to an insured depositor is less than the amount credited to the depositor at the bank or specialised deposit-taking institu- tion on the date of occurrence of the insured event, that depositor may claim the difference of the amount from the liquidator or receiver of the bank or specialised deposit-taking institution.

Periodic reporting is provided for in clause 22.


A bank or specialised deposit-taking institution is to submit to the Corporation, information, data statements and reports in a form and manner determined by the Corporation.

The establishment, object and functions of the Deposit Protection Corporation are dealt with in clause 23 to 33.

Clause 23 provides for the establishment of the Deposit Protection Corporation.
The object of the Corporation is to manage the Scheme efficiently and effectively towards the attainment of the objects of the Scheme, clause 24.
The functions of the Corporation are provided for in clause 25 and include requiring each member of the Scheme to submit to the Corporation information or data relating to its operations, setting the coverage limits for insured de- posits, cooperating with the Bank of Ghana in exchanging information relevant to the attainment of the objects of the Scheme and collaborating with international deposit insurance bodies.

Clause 26 deals with the governing body of the Corporation.
The governing body is a Board and the functions of the Board are provided for in clause 27.

Clause 28 deals with the tenure of office of members of the Board.

A member of the Board appointed otherwise than by reason of the office of that member is to hold office for a period not exceeding three years and is eligible for re-appointment but a member is not to be appointed for more than two consecutive terms.

Meetings of the Board are provided for in clause 29.
The Board is to meet at least once every three months for the despatch of business at times and in places determined by the chairperson.

Disclosure of interest is provided for in clause 30.

Clause 31 deals with the establishment of committees.

33 iii GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 Clause 32 provides for the Board to appoint consultants to carry out any of its functions under the Bill.
Clause 33 provides for members of the Board and members of a committee of the Board to be paid the allowances approved by the Minister.

Clause 34 to 40 deals with the administration and staff of the Corpo- ration.

The appointment of the Chief Executive Officer is provided for in clause 34.

Clause 35 provides for the functions of the Chief Executive Officer.

The appointment of other staff is provided for in clause 36.

Clause 37 provides for the Secretary to the Board.


The business premises of the Corporation is dealt with in clause 38.

The Corporation is to situate its Head Office in the capital city of Ghana but may open offices in other parts of the country and appoint agents and correspondents.

Clause 39 deals with information access, use and exchange.
The Corporation and the Bank of Ghana are to enter into an agreement which is to be reduced into writing in the form of a Memorandum of Under- standing which is to provide for the undertaking of examination on behalf of the Corporation, the exchange of information with respect to problem banks and specialised deposit-taking institutions, the sharing of information and data and for any other matters considered necessary by the Corporation.

Clause 40 deals with confidentiality.


Clause 41 to 48 deals with financial provisions.

The sources of funds for the Corporation are provided for in clause 41 as consisting of capital contributions from the Government and the Bank of Ghana, grants received from the Government and donors, borrowings including issuance of securities and other revenues payable to the Corporation in accordance with the Bill.

Clause 42 deals with investments.


The Board is to formulate an investment policy to guide the deployment of the resources of the Fund.

The target size of the Fund “A” and the Fund “B” is dealt with in clause 43.

Clause 44 deals with financial reporting and external auditing.

The Corporation is to maintain accounts and records in accordance with International Financial Reporting Standards to reflect its operations and financial condition.
34 iv GHANA DEPOSIT PROTECTION BILL, 2015 GHANA DEPOSIT PROTECTION BILL, 2015 Clause 45 deals with annual reporting and other reports.

Financial planning and budgeting is provided for in clause 46.

Not later than the 31st of October of each year, the Board is to cause to be prepared, estimates of revenue and expenditure for the Corporation for the ensuing year.

Clause 47 provides for emergency or extraordinary funding.

Accounting and book-keeping is provided for in clause 48.
The Corporation is to organize its policies, accounting and book-keeping in accordance with International Financial Reporting Standards.

Miscellaneous provisions are dealt with in clause 49 to 56.

Clause 49 deals with administrative sanctions.

The administrative sanctions provided under the Bill are not to preclude the application of other sanctions or criminal penalties as provided for under any other enactment.

Clause 50 provides that the Corporation is exempted from the payment of income tax.
Clause 51 deals with protection from liability and indemnification.

Public information is dealt with in clause 52.

A bank or a specialised deposit-taking institution is to openly display and make available brochures, leaflets and other educational materials to explain the Scheme and its operations.

A bank or specialised deposit-taking institution which does not comply with the provision is liable to pay an administrative penalty of not more than the monetary equivalent of one thousand penalty units.
The penalty for non-payment of premium is dealt with in clause 53.

A bank or a specialised deposit-taking institution that fails to pay a premium as specified under clauses 15, 16 and 17 is liable to pay to the Corporation an administrative penalty of not more than the monetary equivalent of five thousand penalty units.

Clause 54 deals with Regulations.

Clause 55 deals with the interpre- tation of words used in the Bill.

Finally, transitional provisions are dealt with in clause 56.

HON.
HON.

SETH TERKPER Minister responsible for Finance Date: 27th April, 2015.

35 v