GTBank shut down as workers picket branch for illegally withholding N706m salaries

GTB MD, Agbaje

It was an embarrassing scene of confusion and complete shut down in Ondo State by angry workers on Tuesday, who disrupted business activities at the Guarantee Trust Bank Plc branches in Akure, the state capital, for allegedly withholding the sum of N706m meant for their January salary and allowances.

Information pieced together by SHOWBIZPLUS from The Punch revealed that the workers, who invaded the premises of the bank in Alagbaka area of the town as early as 8 o’clock in the morning, barricaded the entrance and denied customers access into the bank.

In their hundreds, the workers  promised to report at the bank premises on a daily basis until the bank reversed its decision to withhold the money.

Chairman of the Joint Negotiation Committee in the state, Comrade Oluwole Adeleye, said that the state government had transferred the sum of N706m into the staff matters account of the bank meant for workers’ salary, but the bank refused to release the money.

He said the bank premised its decision not to release the money on the grounds that some workers in the state still owed the loans granted to them by the bank since 2008, which was guaranteed by the state government.

The chairman said the leadership of the JNC approached the bank to appeal to its management and to know the number of the defaulting workers as an arrangement was being made to surcharge the debtors and remit the money to the bank.

He, however, said the bank went ahead to deduct the money from the staff matters account meant for the workers’ salaries, but the leadership of the union knew about it after the request was made to transfer the money to another bank as the state government had directed that all workers’ salaries must be paid centrally.

The state government, while preparing the January salary, urged the GTBank to transfer the sum of N706m to another bank to enable the government to pay the workers.

He noted that the state Accountant General had also written the bank on the matter and was surprised that the bank failed to inform both the leadership of the JNC and the state government before deducting the money.

Meanwhile, GTBank in a statement made available to our correspondent, said the Ondo State Government guaranteed a facility to a related party in April 2008 and the bank only exercised its rights under the terms of the agreement by setting off outstanding sums against the state government funds with the bank.

The bank further reiterated that it was not holding on to any civil servants remunerations and had  acted in conformity with the highest corporate governance standards in a professional and transparent manner.

Mr. Segun Agbaje is the MD/CEO of the embattled bank