Witness denies defence claims on rice importation case

Accra, June 17, GNA - A Police investigator on Thursday denied claims by Colonel Alex Johnson (Rtd), Counsel for Daniel Charles Gyimah that his investigations on the 15,000 metric tonnes (300,000 bags) of rice importe d from India was not complete.

Mr Godfred Agyepong, said even though he started the initial investigations on the matter, later one Duga was added to the team. Mr Agyepong said he finished with his part of the task and the other

investigator could be invited to explain his part of the investigations. This came up during cross-examination by Colonel Johnson, when he po sed a question to Mr Agyepong, fourth prosecution witness whether their investigations on the matter was complete. Akwasi Osei-Adjei, ex- Minister of Foreign Affairs and Regional Integration and Gyimah, former National Investment Bank (NIB) boss are standing trial in connection with the importation of the rice from India. They are facing eight counts of conspiracy, contravention of provisi ons of the Public Procurement Act (PPA), use of public office for profit, stealing and wilfully causing financial loss to the State to the tune of 1,408,590 dollars (GH¢1,524,952). The accused persons have pleaded not guilty to the charges and the court presided over by Mr Justice Bright Mensah has admitted them to GH¢200,000 bail each with two sureties.

The sureties are to have immovable property and their title deeds deposited at the Court's Registry. Mr Agyepong, admitted that the rice had been insured by the importer s before its arrival in the country, but could not tell whether the insuran ce also covered the 2,081 missing bags of rice. When asked whether he took any statement from former President John Agyekum Kufuor, Dr P.K. Kuranchie, current NIB boss who was then a board member of the bank and Mr Ampratwum, former Ghana's Deputy High Commissio ner to India.

Witness said though he was not able to do so, he took a statement fr om an official from the Ministry of Foreign Affairs and Regional Integration .. The facts are that sometime in February 2008, former Minister of Tra de and Industry, Mr Joe Baidoo-Ansah initiated importation of the rice from India.

In a letter dated February 13, 2008, the former Minister requested t he Government of Ghana through the High Commission of India in Ghana, to buy

100,000 metric tonnes of 25 per cent to 35 per cent broken rice. The rice was expected to arrive in Ghana by May 2008 "to help curb t he severe increase of price of staples in Ghana" and the designated consigne e was Ghana National Procurement Agency. Mr Baidoo-Ansah in another letter dated April 10, 2008 addressed to the Minister of External Affairs of India, referred to an earlier meeting hel d between former President Kufuor and Indian Minister of Commerce. He indicated in the letter that "severe food situation is looming in

Ghana" and sought to procure from the Indian Government 300,000 metric tonnes of low grade white 25 per cent broken rice for shipment to Ghana b y June 2008.

However, in April 2008, Osei-Adjei took over the efforts of Mr Baidoo-Ansah and nominated NIB as the sole consignee. Gyimah represented his bank, negotiated terms of the contract with State Trading Corporation of India through Ghana High Commission in India .. Osei-Adjei instructed Ghana's High Commissioner in India to sign the

contract on behalf of Government of Ghana. The contract was executed and 15,000 metric tonnes of 25 per cent broken rice was shipped by Amira Foods Limited of India, a private shippi ng company and on February 18, 2009, the consignment arrived at Tema Harbour .. Initially, exportation of the rice to Ghana was supposed to be a gra nt but later turned into commercial transaction noting that Gyimah approache d Citibank to issue Letters of Credit to cover value of the consignment. On arrival of the rice, efforts by management of NIB to obtain impor t tax exemption from Ministry of Finance and Economic Planning, to clear th e rice were turned down owing to the commercial nature of the contract and in addition, the ministry was not involved in the transaction. The rice has ever since been in Customs Excise and Preventive Servic e (CEPS) bonded warehouse.

However, after taking stock of the consignment, 2,997 bags of rice w ere found missing and the remaining quantities were in varying states of not being suitable for consumption. Prosecution said management of NIB was making efforts to sell the ri ce through tender. It said investigations conducted by the BNI revealed that provisions of the PPA were not followed and the missing 2,997 bags had been diverted fo r sale elsewhere for huge private profit.