PART 1: How Amity Bank That Was Created By A Group Of Anglophone Cameroonians, Ended Up Becoming An Affiliate Of An Ivorian Bank

Amity Bank Cameroon was created in 1990 by a group of Anglophone Cameroonians, who were economic operators. It was the outcome of a Commercial Bank Project; an initiative of Lawrence Tasha, a son of the Nso land in Bui Division, Northwest Region.

Lawrence Tasha, a BOBAN, is a professional banker, who lived and worked in the United States of America for some years.  He later returned to Cameroon, and worked at an American bank in Douala for sometimes. When he left the bank, he nurtured an idea to get a group of serious and interested Anglophone economic operators, to create an Anglophone Bank. Since Cameroon Bank, Cambank, which was the Pride of the Anglophones, disappeared in the very vicious way in which it was made to crumble, there was no other commercial bank in the country which the Anglophones could pride themselves of.

After designing the Bank Project, one of the first Anglophone personalities that Lawrence Tasha first contacted, was HRM Nfon V.E Mukete of Kumba. He travelled to Kumba and met Chief Mukete, a giant economic operator. Remember the famous Mukete Plantations.  Chief Mukete first hesitated, but at the end of the day decided to come onboard the bank project, and so bought some shares.   A few other persons in the Southwest Region also bought shares. In the Northwest Region, Tasha succeeded to get a number of economic operators like Bobe Francis Yong, to come onboard the bank project.

 Enter Isa Bongam – The Contractor

But the money that Tasha raised for the bank project from the shares bought by the personalities he contacted in the Northwest and Southwest Regions, as well as the shares that he bought himself, was seemingly not quite enough to start the bank project. Apparently the Anglophone personalities that Tasha met, had some apprehensions about the chances of the bank project to succeed, and so did not want to put in much, as compared to their individual financial capacities.

Then there was this well –known, allegedly rich but controversial Anglophone Contractor, Isa Bongam.  Lawrence Tasha knew Bongam was a controversial personality, but finally had to turn to him to be able to raise enough money for the bank project to start. Bongam bought shares for 170 million FCFA (one hundred and seventy million francs CFA). That was big money in 1989 – 90, that is, before the devaluation of franc CFA. Bongam was the highest shareholder, some say majority shareholder in the Bank Project, and thus had the right to the post of Board Chair of the new financial institution.   

 Amity Bank Cameroon Goes Operation

And so the bank project initiated by Lawrence Tasha, materialized in 1990 with the creation of the Anglophone bank baptized, AMITY BANK Cameroon S A.  It should be noted that S. A is, ‘Societe Anonyme’, which in English is PLC (Public Liability Company). So Amity Bank was created as a public liability company. Isa Bongam was the Pioneer Board Chair, while the initiator of the project, Lawrence Tasha, a professional banker, was the Pioneer General Manager. On paper the headquarters of Amity Bank was in Bamenda, but the operational headquarters which in fact was the real headquarters where the General Manager was operating, was in Douala.

Amity Bank Cameroon took off well and rapidly established itself as the new Pride of the Anglophones. In the first three years the bank was growing in leaps and bounds. But it did not take long for a situation of friction to start appearing between the Board Chair, Isa Bongam, and the General Manager, Lawrence Tasha.  In his typical way, Isa Bongam was throwing his weight around the place as the majority shareholder of Amity Bank Cameroon, and as somebody who could do and undo.     

 Bongam Put In 170 Million FCFA, And Borrowed 150 Million FCFA

But what Bongam who was bluffing as the majority shareholder of Amity Bank did not tell the public, was that, after buying shares for 170 million FCFA and becoming the highest or majority shareholder of Amity Bank, he turned around and negatively exploited his position of Board Chair to forcefully borrow as much as 150 million FCFA from the young financial institution.

Amity Bank which took off with a bang was able to continue waxing on strong because many people, especially Anglophones, quickly developed interest in the bank. Many people opened accounts in the new financial institution, and the money in their savings and deposit accounts, also helped the bank in the issue of liquidity.  

 Main Cause Of The Conflict That Sparked Off Between Bongam  And Tasha

It was the issue of the big loan that Bongam took and would not repay, and yet continued boasting around that he was the majority shareholder of Amity Bank, that sparked the conflict between him and Lawrence Tasha, who was the General Manager of the bank.  Tasha was indignant that Bongam took such a big loan from the young financial institution, would not repay, but yet continued shouting at the management of the bank, saying how he was the majority shareholder, and so on.

At one point, an infuriated and disgusted Tasha, bluntly told Bongam that having put in 170 million FCFA into Amity Bank as shares, and then having turned around and withdrawn 150 million FCFA, what he had left as shares in the bank was 20 million FCFA. Tasha declared that Bongam was thus no longer the highest or majority shareholder of Amity Bank, and thus could not continue to occupy the post of Board Chair. Note should be taken that Tasha used the word, Withdraw, and not the word, Borrow. Bongam insisted that he borrowed the 150 million FCFA from the bank, and that it had nothing to do with his shares.  That was however the fact. But Tasha on his part considered that the 150 million FCFA that Bongam took as loan from the young financial institution, and more so would not repay, was a withdrawal from his shares.  Tasha argued, and rightly too, that if all the other shareholders had behaved the way Bongam did, by buying shares and turning around to borrow almost the amount they put into the bank project, the bank would not survive for one year. That was true.

Tasha Becomes Board Chair And General Manager Of Amity Bank

Lawrence Tasha also argued that considering the amount of shares he personally bought in the Amity Bank Project, he had thus become the highest shareholder and thus the new Board Chair of the bank. Tasha thus declared himself the Board Chair and General Manager of Amity Bank, or what the Francophone call, President – Directeur General, PDG.

Isa Bongam cried foul, and vowed that Tahsa would only succeed to do that over his corpse. He insisted that he remained the majority shareholder and thus Board Chair of Amity Bank.  The fight between Bongam and Tasha over Amity Bank sparked off. It was to be a very big, a very bitter, a very destructive and protracted conflict that caused so much damage to Amity Bank.

 The Alleged Devaluation Mafia

It should be noted that either by design or coincidence, this issue came to a head after the devaluation of the franc CFA in January 1994. Bongam and his supporters alleged that as the General Manager of Amity Bank, Lawrence Tasha was privileged to get a hint  that  the devaluation of the franc CFA was about to take place. They alleged that Tasha played a fast one by rapidly and secretly shipping abroad a huge amount of money from Amity Bank, and that immediately after the devaluation in January 1994 the money returned to the country, doubled. The General Manager of one other financial institution in the country was also alleged to have done the same thing.

Bongam and his supporters claimed that Tasha unscrupulously used his position as General Manager of Amity Bank, to exploit the devaluation of the franc CFA to make big money for himself. They alleged that was how Tasha “suddenly became a millionaire”, to the point of claiming that he had become the majority shareholder of Amity Bank.  Tasha on his part rejected the accusation as rubbish.

Uncertainty And Certainty

However it remains uncertain till date, whether the allegation that Tasha secretly shipped out money from Amity Bank before the devaluation, and brought it back double after the devaluation, is true or false.  Such an act is prohibited by Law, and the Cameroon Government, the Central Bank and other institutions related to the devaluation operation, were supposedly very vigilant against such a malpractice.  However, The Mentor does not rule out the possibility that what Bongam and his camp accused Tasha to have done with the devaluation might have been true. Just that there was never any evidence, apart from the accusation or rumour. There is no doubt that if Bongam had any concrete evidence, he would have wasted no time to drag Tasha to court for the illegal or criminal act.

Whatever the case, while the allegation that Tasha shipped out money from Amity Bank a few days before the devaluation remains uncertain, what is certain is that Bongam bought shares in the Amity Bank Project for 170 million FCFA, turned around and borrowed 150 million FCFA, and would not repay. That at one point Tasha argued or considered that Bongam had withdrawn 150 million FCFA from the 170 million FCFA he put in as shares, and thus was no longer the majority shareholder of Amity Bank. What is also certain is that Bongam rejected Tasha’s argument, and the two got into a big fight over Amity Bank.  What is also certain is that the conflict was not in the interest of Amity Bank, and that it caused much harm to the financial institution.