fbpx

‘Loot And Share’ Shatters Ghana’s Venture Capital Trust Fund

‘Loot And Share’ Shatters Ghana’s Venture Capital Trust Fund

The Venture Capital Trust Fund (VCTF) in Ghana is under immense financial strain as a result of alleged mismanagement and misappropriation of funds by one of its former bosses, Daniel Duku.

The Venture Capital Trust Fund (VCTF) was established in 2004 through an Act of Parliament (VCTF Act 680), to provide low-cost financing to small and medium enterprises so as to enable them expand and create wealth and jobs.

In order to maintain a transparent system and prevent corrupt practices by management, the law establishing the fund does not allow for direct equity investment in or provision of debt to any company.

From Ghana Web.

The Venture Capital Trust Fund (VCTF) is under immense financial strain as a result of alleged mismanagement and misappropriation of funds by one of its former bosses, Daniel Duku.

A source told the B&FT that a total disbursement of GH¢18.5million, done between 2010 and 2015, when Daniel Duku was CEO of the fund, could not be traced, and that interest on the money had shot it up to over GH¢40million.

The source indicated that when Mr. Duku took over in 2010, there was GH¢37million in the accounts of VCTF but as at the time he was leaving office in 2015, only GH¢3million was left.

The Venture Capital Trust Fund (VCTF) was established in 2004 through an Act of Parliament (VCTF Act 680), to provide low-cost financing to small and medium enterprises so as to enable them expand and create wealth and jobs.

In order to maintain a transparent system and prevent corrupt practices by management, the law establishing the fund does not allow for direct equity investment in or provision of debt to any company.

Read more at Ghana Web.