GRA appeals to Akufo-Addo to allow installed SML system to run until investigations are over

The Ghana Revenue Authority has requested President Akufo-Addo’s approval for the implementation of the Strategic Management Ghana Limited system to improve revenue assurance and control.

The GRA in a statement said the “system will continue to record data real-time until your further directive after the conclusion of the investigation.”

This was contained in a rejoinder to the President dated January 16, 2024, and signed by the Commissioner General of GRA, Rev. Dr Amishaddai Owusu-Amoah.

According to the GRA, the rejoinder was sent to the President following concerns raised by SML about operation ramifications and disruptions that would arise from the intended suspension of operations.

“Having carefully reviewed the concern and based on our own understanding of the contracts and the deliverable, we are of the opinion that the system that has been installed to enhance revenue assurance, for control purposes, and also to aid with the ongoing investigation could with your kindest permission be allowed to run,” portions of GRA’s letter said.

President Akufo-Addo suspended the GRA/ SML contract on January 2 and appointed KPMG to audit the contract and submit a report in two weeks.

The GRA said although the operations have been suspended and no payment would be made on the contract until the president’s directive, “We can confirm that the suspension to all intents and purposes will lead to revenue losses.”

President Nana Addo Dankwa Akufo-Addo asked KPMG to audit the contract between the Ghana Revenue Authority (GRA) and the Strategic Mobilisation Ghana Limited (SML).

The firm was given two weeks to conclude it’s work and submit it’s report and recommendations to the president.

This was contained in a press statement issued by the Director of Communications at the presidency Eugene Arhin on Tuesday January 2.

The terms of reference the press release said are: “i. conduct an audit to ascertain the rationale or needs assessment performed prior to the contract approval by GRA, and assess how the arrangement aligns with specific needs; ii. assess the appropriateness of the contracting methodology, verifying compliance with legal standards and industry best practices in the procurement process for the selection of SML;

iii. evaluate the degree of alignment between current activities and the stipulated contract scope, identifying any deviations; iv. evaluate the value or benefit that SML has so far offered to the GRA through this engagement; v. review the financial arrangements, including pricing structures, payment terms and resolution of any financial compliance issues; and vi. submit a report on your findings on the above, together with appropriate recommendations.”

It added: “President Akufo-Addo has tasked KPMG to complete the assignment in two weeks.”

“The President has directed the Ministry of Finance and GRA to provide KPMG with whatever assistance they will require for conduct of the audit, and has also directed the Ministry of Finance and the Ghana Revenue Authority to suspend the performance of the contract, pending the submission of the audit report, including any payments presently envisaged under its terms,” the statement concluded.