We followed due diligence in GH¢2.5m investment with Brooks Assets – TTU
The management of Takoradi Technical University (TTU) has said it followed due diligence in the investment of a total of GH¢2.55million with Brooks Assets Management Limited.
It has also rejected claims that the entire investment done in 2016 with three months maturity period had been lost adding GH¢375.000 had so far been received from the company while efforts were being made to retrieve the rest.
“All procedures and guidelines governing investments of university funds were followed. At no material time did the university engage in any fraudulent activity or illegality with respect to the said investment,” a statement issued by Mr Kow Payin Nketsia-Richardson, Public Relations Officer yesterday, said.
The statement comes on the back of reports that the university management had been found wanting for allegedly investing nearly GH¢3 million which has gone bad. It was also alleged that the management took a unilateral decision.
However, according to the statement, thorough search was done at Securities and Exchange Commission (SEC) and National Pensions Regulatory Authority (NPRA), to confirm the legal status of Brooks’ assets before the investment.
Additionally, it said management presented to TTU’S Finance Committee an investment proposal intended to generate additional income to supplement school fees and Internally Generated Funds (IGF).
The proposal, it said, was discussed at a Meeting of the Finance Committee on September 15, 2016, accepted and recommended to the University Council for consideration and approval.
The proposal was approved later by the council with further directive that 70 per cent of the funds be invested with investment banks and 30 per cent with commercial banks.
However, the statement said after the investment was done, Brooks failed to honour payments of principal and interest on the investments when the maturity dates were due.
After several unsuccessful attempts to retrieve the money, management dragged the company to the Sekondi High Court in July 2018 and won the following month.
The Chief Executive Officer (CEO) of Brooks, Mr Ben Kujar, according to the statement, met officers of the university at meeting in Accra, where he arranged with them to assign his buildings to the university in lieu of the debt, explaining that his company had made investments in a third-party real estate company.
“This arrangement however failed because another creditor had earlier attached the said properties by a court process,” the statement said.
While the matter was in court, it said the Economic and Organised Crime Office (EOCO) initiated investigations into the matter with the CEO of Brooks currently assisting EOCO in its investigations.
“Management is seriously pursuing personalities and properties of Brooks Assets Management Limited in order to retrieve the outstanding funds,” the statement said.
For the past five years, it said the university had been audited by the Auditor General and that none of the reports had revealed any malfeasance or financial impropriety.
BY TIMES REPORTER