|
Getting your Trinity Audio player ready...
|
President Nana Addo Dankwa Akufo-Addo has taken swift action by ordering the immediate suspension of the revenue assurance contract between the Ghana Revenue Authority (GRA) and Strategic Mobilization Ghana Ltd (SML).
The suspension is accompanied by the appointment of the reputable Audit, Tax, and Advisory Services firm, KPMG, to conduct an immediate audit of the transaction.
In a statement released on January 2, signed by the Director of Communications at the Presidency, Eugene Arhin, the President highlighted the specific focus of the audit. The contract between GRA and SML was intended to enhance revenue assurance in the downstream petroleum sector, upstream petroleum production, and the minerals and metals resources value chain.
Also Read: Auntie Muni, Popular Waakye Seller in Accra, Passes Away at Age 72
President Akufo-Addo has set a deadline for KPMG to complete its audit report within two weeks and to provide him with appropriate recommendations based on their findings. Meanwhile, the Ministry of Finance and the GRA have been directed to suspend the performance of the contract until the audit report is submitted.
The move comes in response to concerns raised following an investigative report by the Fourth Estate in December 2023, which alleged discrepancies in the contract details. SML has since refuted claims of a 10-year contract duration, asserting that it is a 5-year contract. The company also denied allegations of receiving $100 million annually from the contract.
The Ghana Revenue Authority had previously defended the legitimacy of the contract, stating that the procurement process followed the appropriate procedures and was approved under Section 40 of the Public Procurement Act, Act 663, 2003.
In light of the controversies and the Finance Committee of Parliament’s recommendation on December 23, 2023, to suspend payments under the government’s contract with SML from 2024 pending a parliamentary probe, President Akufo-Addo’s decisive actions demonstrate a commitment to transparency and accountability in governmental transactions.
The committee emphasized the necessity for parliamentary approval under the Financial Management Act, prompting the GRA to be notified about the statutory requirement.
