Forty (40) members of the Woodworkers Association of Ghana (WAG) in Ashanti, who benefited from the Government's Macro Finance and Small Loans Scheme (MASLOC) have refused to pay back the loan.
Out of the total of GH¢16,000.00 they received in 2007, GH¢15,003.00 is still outstanding.
Mr Kwame Bour, Ashanti Regional Chairman of the Association of the Small-Scale Industries (ASSI), said efforts at retrieving the money had not been successful.
He warned of legal action against the defaulters if they continued to be recalcitrant.
Mr Buor was speaking during the election of new regional WAG officers at Akyawkrom in the Ejisu-Juaben Municipality on Thursday.
The loans were expected to have been repaid within a period of one year.
Mr Bour said the scheme was set up as a revolving fund to support the wood workers to expand their businesses and that it was not a gift.
The Chairman said ASSI was working closely with the National Board for Small-Scale Industries (NBSSI) to build the capacity of WAG members.
Nana Amono Atrue I, National Organizer, spoke of the need to acquire more land for afforestation.
He advised them to meet their tax obligations to help the nation raise more revenue for development.
Mr Kwadwo Twumasi was elected the new Regional Chairman, with Justice Effah, as his Vice, Theophilus Kpegah, Secretary, and Emmanuel Kwadwo Logah, Treasurer.