SML denies 10-year government contract for revenue assurance services

Strategic Mobilisation Ghana Limited (SML) has refuted claims that it has been awarded a 10-year contract duration by government for oil revenue assurance and auditing services at the depots.

In a statement issued by the firm, it insisted that its contract was for a duration of 5 years instead of the 10-year figure detailed in an investigative documentary conducted by an Accra-based media outfit.

The company also denied claims of raking $100 million per year for the contract and further challenged the media outfit to produce any contractual evidence supporting the assertion of a 10-year agreement.

"The documentary represents a set of misrepresentations, false claims, and a general lack of understanding of the entire operations of the company. We challenge Fourth Estate to produce any contract anywhere that is for a 10-year period. The 5th PPA Board at its 46th Board meeting in a letter referenced PPA/CEO/09/2286/23 approved a contract duration of five (5) years," the statement read.

“Again, it’s not true that SML takes $100 million annually from its contract. The Upstream operations of the company have not yet begun, and no revenue has been realized. No monies have been paid to SML; the $100 million per year payment to SML that has been alleged is purely a figment of the author’s imagination and not factual,” it added.

SML further clarified that its engagement with the Ghana Revenue Authority (GRA) is based on a "risk-reward contract," emphasizing that GRA does not make any financial commitment in the investment chain, and SML is not exempted from duties and taxes.

“GRA invests nothing in the entire investment chain. There is no cost commitment from the GRA. SML is not exempted from the payment of duties and taxes,” the firm stated.

According to the company, “it is aware of the heightened efforts by the Cartel in the oil ring whose illegal trade is being collapsed and is fighting to undermine Government’s fight against illegalities in the petroleum sector.”

Meanwhile, the allegations contained in the investigative documentary has led to calls by the Minority in Parliament for the immediate suspension of the contract between the Finance Ministry and SML for revenue assurance services.

Read the full statement by SML below:



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