Single Largest Shareholder Of CAL Bank Calls For MD's Removal

The single largest individual shareholder of CAL Bank, Afari Donkor, is calling for the removal of the Managing Director of the bank, Frank Adu Jnr. Mr Donkor who has 11% shares in the bank, has called for an Extraordinary General Meeting (EGM) to be held on the 5th of June to carry out a number of transactions including ousting the MD. Mr Donkor’s proposal comes on the heels of the resignation of a director, Alhaji Asuma Banda and the board chairman, Mr George Okoh. Mr Donkor who is Ghana’s Ambassador to China is a founding father of the bank and was at point barred from sitting on the board of any financial institution. The decision has however been reversed. He sought to be represented on the board of directors of the bank but later rescinded that decision after the issue was dragged in court for months and later settled out of court. Mr Donkor, the second largest shareholder, is also calling for an increase in the bank’s stated capital to Gh¢100m through a rights issue instead of the Gh¢200m that was proposed at the bank’s AGM. He is also pushing for the appointment of three new directors including himself and the appointment of a new managing director and chairman. Confirming the reports, lawyer for Mr Donkor, Nana Asante Bediatuo, in an interview with Joy News, said his client was convinced after a careful study of the situation that Mr Adu Jnr must be given the boot. He said at the centre of his client’s proposal is an apparent under-performance of the bank under the current MD.