Regional Minister Explains ?2bn Scandal

WESTERN REGIONAL Minister, Joseph Boahen Aidoo, said on Tuesday that the recent heavy security presence in Prestea, a migrant mining town in the region was to restore law and order in the area following a standoff between security personnel and local residents.

He said this was not in anyway to protect his alleged interest in the ongoing surface mining taking place in the area as being reported in the press.

Answering questions on his alleged involvement in a ?2 billion bribery scandal and his role in the surface mining taking place in Prestea at the meet the press series in Accra, Mr. Aidoo said the issue of surface mining in Prestea has come as a result of the chief and people of the migrant mining town's refusal to allow Bogoso Goldfields Limited (BGL), a company which has been given a permit to carry out surface mining in the area to operate.

Flanked by the Ministers for Information, Jake Obetsebi Lamptey, Women and Children's Affairs, Hon. Gladys Asmah and his Deputy Mrs. Sophia Horner-Sah, Aidoo said while the people are fighting BGL not to carry out surface mining in their area, they themselves are engaged in "galansey" surface mining in the very area where they are preventing BGL from operating.

He explained that reinforcement of troops were send to Prestea when police detailed in the area to maintain law and order were overrun by the youths of the village who had been instructed by their chief to go ahead and do their galamsey operations.

According to Mr. Aidoo, the chief of Prestea was said to have caused an announcement in the town to the effect that he had not given BGL any piece of land to undertake surface mining and allegedly urged his people to go ahead and engage in their galamsey operations.

He said as soon as this announcement was made, the people -men, women and children mobilised their baskets, buckets, sucks, tipper trucks and whatever they could lay their hands on, moved to the site and started their operation carrying the tailings to their homes, grinding them and throwing toxic waste into the air.

Yet the people would not allow BGL in Prestea to undertake the surface mining operations.

The regional minister said the chief is said to be selling land at two to ?5 million per plot.

On the ?2 billion alleged bribery saga, Aidoo said it was a loan facility he contracted with Tarkwa Goldfields Limited to be given to the entire community through the emergency social relief fund.

Mr. Aidoo further said the paper which made the allegation did not bother to cross-check the facts, which he said was unfortunate, because he did not personally benefit from the ?2 billion loan as was reported. But rather ensured that the amount was given to the people for their social and economic enhancement.

He said that the whole episode began when the people at Atuabo were being resettled. He said government then went through some resettlement agreement with Tarkwa Goldfields and that was six years back.

Mr. Aidoo said initially there was problem because they did not want to agree on certain terms but eventually about 95% of the people agreed, and were resettled with all the benefits as defined in their collective agreement. And they were given new houses, and compensation.

The 5% of the population who did not agree with the term Tarkwa Goldfields offered, said later that their buildings were sitting on gold.

Later the case was sent to court and Tarkwa Goldfields had to give in and strike an agreement with the 5%. That was last year. When they finally agreed to move, they were given compensation, which in relative terms was higher than what the previous people received.

This, he said, prompted the 95% who had moved earlier, to come back to Goldfields that if there had been some differences then they should also be entitled to that difference.

Aidoo said the matter was brought to his attention and he set up a committee to examine it and report to him.

The committee recommended that since the 95% of the people had already committed themselves to the previous arrangement, it was a contract binding on them.

This brought tension which was resolved by the managing director of TGL who said he was prepared to compromise.

Aidoo said this led him to ask the Managing Director of TGL, who said his management was prepared to support any social development project that would benefit everybody but not compensation that will benefit individual pockets.

Aidoo said he told the managing director that the people had applied to his office for the government emergency social relief fund but the government had no money, and asked him if his company could assist.

It was in response of this request that the company agreed to offer the ?2 billion loan to assist the entire community in their business projects.