Assembly Bulldozes Sekyedumase Rural Bank Despite Court Case

The Asokore Mampong Municipal Assembly has allegedly demolished a 33-year-old branch of Sekyedumase Rural Bank at Aboabo despite an ongoing court case between the two parties, with the bank’s lawyer describing the exercise as unlawful and a disregard for the judicial process.

The demolition has left the bank’s building and physical assets in ruins, although management has assured customers that no money or customer data has been lost.

Legal counsel for the bank, Dr. Dickson Osei, said the bank had secured an ex-parte interlocutory injunction in June 2026 restraining the Municipal Assembly and its private contractor from interfering with the property.

He therefore questioned why the Assembly proceeded with the demolition while the matter remained before the court.

According to him, the case is expected to resume on October 12, 2026, when the court reconvenes after the legal vacation to hear two applications pending before it.

‘NO EVICTION NOTICE’

The bank’s Chief Executive Officer (CEO), Michael Padmore, said management was never served with an official eviction notice before the demolition.

He said the bank had been engaging the Assembly for about five months in an attempt to resolve issues surrounding the property.

“We were never served with any eviction notice. We have been fully cooperating with the Assembly for months. Since the matter is already before a court of law, our legal team and Board of Directors will advise on our next steps,” Mr Padmore stated.

BANK CLAIMS OWNERSHIP

Dr. Osei dismissed claims that the demolished facility belonged to the Assembly or the community.

He said the local community gifted the land to the bank more than 33 years ago, after which the bank constructed the facility with its own resources.

He explained that when the Assembly began discussions on a proposed market redevelopment project, the bank offered two alternatives.

It proposed that the existing bank structure be incorporated into the proposed 24-hour economy market project or that it be given adequate time to relocate after obtaining the necessary regulatory approvals.

Dr. Osei said relocating a financial institution was different from relocating a market stall because approval from the Bank of Ghana and ARB Apex Bank was required.

“The bank put up this structure by itself 33 years ago; it does not belong to the Assembly,” he stated.

“If you want a financial institution to move, you talk to them. You cannot simply use brute force.”

MILLIONS IN ASSETS LOST

Mr Padmore confirmed that the demolition destroyed the branch building and physical assets worth millions of Ghana cedis.

He, however, said the exact value of the loss was yet to be determined as an official valuation was ongoing.

He assured customers that their funds and personal information remained secure because the bank’s digital infrastructure and customer database were intact.

“Fortunately for us, the customer database is completely intact. The physical structure and equipment are gone, but no customer’s money or data has been compromised,” he assured.

Dr. Osei said the bank’s injunction application was granted ex-parte in June, after which the Assembly was served with notice.

He said the Assembly subsequently filed a separate application, to which the bank had responded with an affidavit in opposition.

“There are currently two applications pending before the court,” he said.

The lawyer warned that the demolition did not bring the legal dispute to an end, stressing that the court could order the Assembly to reconstruct the facility or pay substantial compensation for the property, equipment and other damages.

“Demolishing the building does not end the matter,” Dr. Osei cautioned.

“Depending on what the court decides, the Assembly could be ordered to rebuild the entire facility from scratch or pay massive financial compensation for the property, equipment and damages caused.”

BANK ACTIVATES CONTINUITY PLAN

Meanwhile, Sekyedumase Rural Bank has activated its Business Continuity Plan to ensure uninterrupted services to customers in Aboabo and surrounding communities.

Staff of the demolished branch have been temporarily reassigned to neighbouring branches, while loan repayments and other banking transactions continue.

Mr Padmore said the bank was also working with the Bank of Ghana and ARB Apex Bank to secure approval for a temporary operating space at Aboabo.

He said the move would allow the bank to continue serving customers in the community where it had operated for more than three decades.