8 financial 'controversies' under the NPP government

The incumbent government has come under intense scrutiny and probe as its tenure continues to be characterised by questionable deals.

Since 2021, the government has faced severe backlash due to the numerous taxes that Ghanaians have had to pay.

Most Ghanaians are of the view that there is financial mismanagement happening at the helm of affairs leading to the current economic crisis. The government has also embarked on projects that Ghanaians have deemed unnecessary some of which have not seen the light of day. This article explores 8 of the controversial deals the government has embarked on as well as happenings that have bewildered Ghanaians.

1. TOR-Torentco deal

Amidst calls for the revival of the Tema Oil Refinery, there were reports of its lease to a group under the name Torentco Asset Management for $22 million.

The Refinery will be leased to TAM for 6 years where Torentco would be allowed to refine up to 8 million barrels of oil a year by paying $1 million every year as annual rent.

The group was required to pay an additional rent amount of $1.067 million per month.

Three members of the consortium – Torentco, ENTPP &Litwin were reported to have no credibility. The deal has since not been finalised.

2. SML $100 million deal

A documentary by an Accra-based media outfit in 2023 showed that Strategic Mobilisation Ghana Limited (SML) was awarded a 10-year government contract.

SML said the facts of the documentary were untrue, asserting that the duration of the contract was, in fact, five years.

In a released statement, SML categorically denied receiving $100 million annually from its contract, labelling such claims as "purely a figment of the author’s imagination and not factual."

3. National Cathedral

The National Cathedral was initially estimated to cost Ghana $100 million, which was further revised to $150 million and later $200 million.

However, Member of Parliament for North Tongu Samuel Okudzeto Ablakwa asserted that the project will cost Ghana $1 billion.

4. $15 million spent on feeding athletes at the All-African Games

The Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, presented documents to the Parliamentary Select Committee on Sports and noted that $15 million was spent on feeding athletes for just 18 days. However, the Local Organizing Committee refuted the claims.

5. Sale of SSNIT Hotels

The Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, again alleged that six hotels belonging to SSNIT are being sold to the Minister of Food and Agriculture, Bryan Acheampong.

In a post shared on social media on Friday, 17 May 2024, the MP claimed that documents he had intercepted showed that negotiations to sell 60% of the shares of the six SSNIT hotels to the minister’s Rock City Hotel Limited were far advanced.

The North Tongu legislator stressed that the sale of state properties to government officials constitutes an abuse of power and should not be permitted.

The six SSNIT hotels were: Labadi Beach Hotel, La Palm Royal Beach Hotel, Elmina Beach Resort, Ridge Royal Hotel, Busua Beach Resort, and Trust Lodge Hotel.”

The sale was discontinued after the public’s outrage.

6. Deal awarded to Frontiers for Covid testing at the airport

The COVID-19 testing deal at Kotoka International Airport (KIA) in Ghana became a topic of significant controversy. According to a report, Frontiers Healthcare Services Limited, the company contracted to conduct COVID-19 testing at KIA, earned over $87 million from the testing services, while the government of Ghana received less than $7 million. The contract was awarded to Frontiers on August 31, 2020, and testing began the very next day.

There were allegations that the procurement process was not competitive and that established institutions like the Noguchi Memorial Institute for Medical Research were side-lined.

7. GH¢68 million spent on printing of WASSCE past questions

The government of Ghana spent GH¢68.5 million on photocopies of past questions for WASSCE candidates in 2020 and 2021. According to the Ministry of Education, GH¢33.6 million was spent for that purpose in 2020 and more than GH¢34 million in 2021.

8. Bank of Ghana lost GH¢60 million in 2022

In 2022, the Central Bank lost GH¢60.8 million. The Bank attributed the loss to the debt restructuring activities of the government.

SSD/ADG

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