BoG warns public over issuance of dud cheques

The Bank of Ghana says it will ban customers caught issuing dud cheques for three consecutive times, from accessing new credit facilities from the banking system for a period of up to three (3) years.

This was contained in a notice to Banks, Specialised Deposit-Taking Institutions (SDIs) and the Public, communicating its revised sanctions relating to the offence.

According to the Central Bank, it has observed with grave concern, the high issuance of dud cheques by some customers of banks and SDIs, a development which has consequential effects on the acceptance of cheques for transactions.

“Banks, Specialised Deposit-Taking Institutions (SDIs) and the Public are reminded that under section 313(A) of the Criminal Offences Act, 1960 (Act 29) as amended, it is an offence punishable by a fine and/or imprisonment of up to five (5) years for any person to issue a dud cheque.

“To further discourage the issuance of dud cheques, the Bank of Ghana (BoG) introduced additional measures through notice number BG/GOV/SEC/2005/5” part of the statement reads.