An investment banker has been accused in a court in Ghana of dishonestly obtaining cash for letters of credit (L/C) that should have been used to finance a sugar deal.

Moses Moss Rich is charged with defrauding by false pretences and forgery of documents.

Allegations

The court head that Moss Rich, who has pleaded not guilty to both charges, allegedly received 182,500 Ghanaian cedi (GH¢182,500 - US$100,000) from chartered accountant, William Quartey.

The accountant claims that the investment banker received these funds to help procure L/Cs for Quartey to purchase 25,000 tonnes of sugar worth US$9 million.

Diverted funds

The court in the Ghanaian capital of Accra heard that the money received by Moss Rich was diverted to banker's account at Stanbic Bank.

These funds were allegedly then transferred into the accounts of two private companies, Finance Asia Limited and Shoba.

L/Cs rejected

After these transfers, prosecutors allege that forged documents were used to support L/Cs issued to the supplier's bank in Spain by Dubai Bank Kenya (DBK).

The court heard that the L/Cs should have by issued by Standard Chartered Bank while those issued by DBK were rejected.

The case continues. Moss Rich has been remanded in custody.

This article represents the views of the author and not necessarily those of the ICC or any of the other partners in DC-PRO.