Accra, Feb. 18, GNA- The Public Accounts Committee of Parliament has recommended that Mr. Joe Dankwah, the District Chief Executive of the Wenchi District in Brong Ahafo be reprimanded for 'unilaterally awarding a contract without recourse to the assembly."
It has also called for a review of the institutional structure of the local government system to strengthen the role of the Presiding Member and the assembly in the financial transactions of districts in order to check arbitrariness and abuse of positions by District Chief Executives (DCEs).
Mr. Alban Bagbin, Chairman of the Committee and Minority Leader said new DCEs should be taken through orientation course on practices, procedures and management of the local government system to ensure that they follow due processes in the discharge of their duties. The Minority Leader said this in Parliament on Wednesday when moving a motion for the adoption of the Report of the Public Accounts Committee on the award and execution of the contract for the renovation of the official residence of the DCE.
Presenting the findings of the Committee's report, Mr. Bagbin said the proper procedure was not followed in awarding the contract. "The contract was not submitted to the District Tender Board for consideration. ...the committee may not be able to indicate authoritatively the amount that constituted financial loss to the state in this matter. The Committee can say without hesitation that there were some financial irregularities in the award, execution and payment of the contract," The Minority Leader added.
According to Mr. Bagbin, on May 16, 2002, the Speaker, Mr. Ala Adjetey, permitted the Member of Parliament for Wenchi West, Mr. Johnson Asiedu Nketia to ask the Brong Ahafo Regional Minister the circumstances surrounding the award, execution and payment for the contract for the renovation of the bungalow for occupation by the Wenchi DCE.
"The response by the Regional Minister did not satisfy members of the house....the Chairman of the Public Accounts Committee accordingly sought leave from the Speaker, for the Committee to investigate the matter and report to the house," Mr. Bagbin said.
Mr. Bagbin said a sub-committee of the Public Accounts Committee went to Wenchi and took evidence from the DCE, some members of the assembly, the district finance officer and some members of the tender board with additional evidence from the Regional Minister. Giving the facts of the case, the Minority Leader said the official residence of the Wenchi DCE was said to be in a state of disrepair and "unfit for occupation...".
He said the DCE therefore decided to reside at a hotel and later at a guesthouse pending the renovation of his official residence while instructing the then district co-coordinating director to take steps to renovate the bungalow for his occupation.
According to the Public Account Committee's Report, the estimated cost of the renovation of the residence was 73.5 million cedis but because of the unavailability of funds, it was awarded to a contractor willing to pre-finance the project.
The Report said the contract was accordingly awarded to Messrs Kwagyeboat Company Limited by the DCE.
This was done without reference to the District Tender Board and in contravention of the decision of the executive committee that the contract be executed through direct labour., it added.
It said the contractor, a constituency chairman of the NPP, mobilised materials for the project but the contract was later abrogated upon the instructions of the Regional Minister.
According to the report, the Public Accounts Committee in its findings observed that the contractor commenced work upon verbal instructions from the DCE and there was no written contract between the assembly and the contractor or between the DCE and the contractor.
The Report said the Committee noted that the materials mobilised for the project were not passed through the stores and vouchers submitted, "were noted to have been forged".
It said the committee further observed that an amount of 25 million cedis paid to the contractor was not commensurate with the actual work executed.
Alhaji Mohammad Mumuni, NDC-Kumbungu in seconding the motion for the adoption of the committee's report, said it was a disturbing report and there should be proper orientation for DCEs to show them where efficiency begins and where corruption ended.
He said since the Wenchi DCE solely took charge of awarding the contract, there was the need to clearly define the roles of Presiding Members and DCE's so that too much power was not invested in DCEs to give them "wide discretions which could lead to malfeasance.
Capt. Nkrabeah Effah-Dartey, Deputy Minister of Local Government, commended the committee for its work and said the high profile media attention given the case tilted towards portraying the NPP government as indulging in "economic malfeasance," however the committee's report has brought everything out.
Mr. Kwadwo Adjei-Darko, Minister of Local Government said they were working on a package to provide in-service training for staff at the district level.
Niibii Reginald Ayi-Bonte, NPP-Odododiodooo, said some of the staff at the district level were clearly incompetent and therefore could easily ill-advise DCEs.