Managing Director of PMMC, Kwadwo Opare Hammond has asserted that Menzgold’s 10 percent interest in gold investment is the highest in the world and not feasible in the long term.
Mr. Hanmond who was speaking to Joy News said that interest in gold deposits worldwide range from one to two percent therefore any gold dealing firm that goes way beyond that is questionable and not sustainable.
Elaborating further on his comment, Mr. Hammond told Israel Laryea that gold is one of the commodities on the world market that has quite low interest of less than 3 percent and hence the 10 percent given by Menzgold raises suspicions about the activities of the firm.
He further advised that the activities of Menzgold are scrutinized as gold dealings alone cannot guarantee 10 percent interest per month, suggesting that the company may be going the DKM way where interest exceeding the national rate were given to customers, resulting in the collapse of the bank.
He argued that after over 3 decades in the commodities market, he was willing to bet everything he had on it that Menzgold 10 percent interest per month goes beyond just gold business and something else may be going on there.
On the issue of the license he also disclosed that the license of Menzgold had been revoked by PMMC about two years ago over suspicious dealings and as such had no authority to engage in the gold dealing business.
Lawyer for Menzgold Mr. Akuffo however denied this claim and challenged Mr. Hammond to bring documents that proved that Menzgold had its license revoked.