The Securities and Exchange Commission (SEC) has dismissed claims that the GH¢5.5 billion approved by Parliament in 2021 to settle owed customers of defunct fund management companies was meant for only defunct Gold Coast Management which are now Black Shield customers.

This comes after clients of Black Shield Fund Management had suggested that funds approved by the House were to be disbursed to specific fund investors.

But the Commission in a statement issued explained that the approved funds was meant for all investors whose funds were locked-up after the regulator undertook a clean-up exercise which saw the revocation of licenses for some 47 fund management companies.

“The update received by the SEC from the implementing agencies of the Bailout is that so far, GH¢4.6 billion has been allocated as follows: GH¢3.1 billion to Amalgamated Fund Tier 1 payments and GH¢1.45 billion assigned to Amalgamated Fund Tier 2 payments,” the Commission noted.

“This disbursement includes the partial bailout program which entailed the payment of a sum of up to GH¢50,000 to clients of Black Shield/Gold Coast and other companies who had not received Winding up orders from the Court by October 2020 but whose claims had been validated. The total amount paid to Black Shield clients in the partial bailout is GH¢1.34 billion covering a total of 73,541 investors. Out of this amount, a total amount of GH¢757,539,141 has been used to fully settle 61,734 customers of Black Shield”, SEC added.

SEC further added that all investors whose claims were validated have been contacted by the Amalgamated Fund and GCB Capital Limited for further action.

The Commission however assured customers of Black Shield Fund Management of its ongoing compliance measures.

The regulator for the securities market, SEC had earlier revoked the licenses of some 53 fund management companies during a clean-up exercise.

The exercise, according to SEC was necessary to protect investors funds and safeguard the integrity of the securities market after it determined various financial infractions.

Meanwhile, customers of Black Shield Fund Management have vowed to protest their displeasure in order to retrieve their locked-up funds.

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