The Supreme Court has suspended the enforcement of a Court of Appeal judgment that restored the licence of GN Savings and Loans Company Ltd, pending the outcome of an appeal filed by the Bank of Ghana.
A five-member panel of the apex court, chaired by Chief Justice Paul Baffoe-Bonnie, on Tuesday granted an application for a stay of execution, ruling that there are substantial legal issues that must first be determined before the Court of Appeal’s decision can take effect.
The Court of Appeal had, in a unanimous decision delivered in May, overturned an earlier High Court ruling that upheld the revocation of GN Savings and Loans’ licence by the Bank of Ghana. The decision effectively reinstated the company’s licence.
The appellate court also directed the receiver to hand over possession, management and control of the company’s assets and operations to its shareholders.
However, the Bank of Ghana challenged that decision at the Supreme Court, arguing that the Court of Appeal’s orders should not be enforced until the final determination of its appeal.
In granting the application, the Supreme Court held that it was appropriate to suspend the execution of the Court of Appeal’s orders while the appeal is pending.
Meanwhile, in a related development, the Court of Appeal on June 16 struck out a separate application seeking to stay the execution of its own ruling directing the receiver to return control of the company’s assets and operations to its shareholders.
The Supreme Court’s latest decision means the restoration of GN Savings and Loans’ licence and the transfer of control back to its shareholders will remain on hold until the appeal is fully heard and determined.
