Private legal practitioner, Jonathan Amable, has filed an injunction application at the Supreme Court, seeking to immediately halt the government’s borrowing activities on the treasury bills market.
The plaintiff, as outlined in the writ obtained by Citi Business News, is demanding that the government and its agents cease issuing treasury bills to finance state activities.
Amable argues that the government’s failure to seek parliamentary approval for such borrowings violates provisions in the 1992 Constitution.
He further warns that if the action is not halted, it could have severe repercussions on the economy.
The defendant in the case is the Attorney General of the Republic of Ghana. The injunction application also calls for the Supreme Court to declare the actions of the Ministry of Finance and the Bank of Ghana as unconstitutional.
“That the consequence of the relevant borrowing contracts being conducted without the requisite parliamentary approval makes them liable to be declared void for unconstitutionality and such a consequence will be made more dire by the fact that the holders of the offending debt instruments include banks, savings and loans companies micro-finance companies, asset management companies, insurance companies, pension funds and ordinary Ghanaians.
Accordingly, the unconstitutional conduct of the state potentially jeopardises the entire Ghanaian financial sector and hard-earned capital of the investing public”, the application read in part.
