The Accra High Court’s Commercial Division has made a significant ruling against First Atlantic Bank, ordering the financial institution to compensate a customer over GH¢10 million for improperly tendering bonds without the customer’s permission. The judgment, delivered on December 12, 2025, underscores the bank’s failure to uphold its fiduciary responsibilities.
In the case titled VIHAMA ENERGY COMPANY LTD & ANOR v. FIRST ATLANTIC BANK, the court found that the bank had acted negligently in managing the customer’s investment. The plaintiff, Vihama Energy, argued that the bank tendered their bonds into the Domestic Debt Exchange Programme (DDEP) without any consent, which was confirmed by the court’s findings.
The awarded compensation includes approximately GH¢28.4 million for the financial losses incurred due to the unauthorized tendering of the bonds, along with GH¢2 million designated as exemplary damages. Additionally, the court mandated that First Atlantic Bank pay GH¢100,000 to cover litigation costs incurred by the plaintiffs.
Justice Sedina Agbamava, presiding over the case, rejected the bank’s defense that regulatory pressure necessitated their actions. The court emphasized that the unilateral decision to tender the bonds constituted a severe breach of trust and duty, as there was no legal basis or agreement permitting such actions.
According to court documents, Vihama Energy and its representative, Sebastian Asem, had secured a loan from First Atlantic Bank, backed by Government of Ghana Bonds. The plaintiffs maintained that they had fulfilled all obligations related to the loan, and at no point did they authorize the bank to tender their bonds. The judge noted a lack of evidence supporting the bank’s claim that the plaintiffs had defaulted, highlighting that the bonds retained their full value during the dispute.
As a result of the court’s ruling, the bank is now liable not only for the substantial financial compensation but also for the breach of trust that has led to a critique of its operational practices. This case sets a precedent for accountability among financial institutions in Ghana, emphasizing the importance of consent and proper management of client investments.
