Gov’t Blows GhC800k On Ghana Gas Audit

By on

The private firm which conducted forensic audit and investigations into the operations of Ghana National Gas Company (GNGC) charged a staggering GhC825,000.

The Economic and Organised Crimes Office (EOCO) engaged Morrison and Associates as technical consultants following a complaint filed by the Ministry of Energy on the operations of Ghana Gas.

“GNGC will be responsible for the payment of your fees. You are therefore advised to negotiate and agree on your fees with the management. Audit fees will be payable only on the conditions and in the manner specified below:

  • ¼ of fees is to be paid on commencement of the audit;
  • ¼ of fees is to be paid on production and submission of draft report for consideration by the management of GNGC;
  • ½ final payment of the fees is to be paid when the report has been approved and signed and copies made available in accordance with the Terms and Reference,” a letter to the private audit firm from EOCO boss KK Amoah and dated October 19, 2017 stated.

“You may be required to appear before a Court of competent jurisdiction to explain your findings arising out of your investigations,” the EOCO letter served notice.

Starrfmonline.com is in possession of a letter from Morrison & Associates directed to the CEO of Ghana Gas dated November 9, 2017 detailing the payment plan which totaled GhC825,000.

“Our discounted professional fee for the engagement is Eight Hundred and Twenty-Five Thousand, Ghana Cedis (GHC825,000) exclusive of all indirect local taxes and is payable in three installments as specified in the terms of our appointment by the Economic and Organised Crime Office.

  • ¼ (GhC 206, 250) to be paid on commencement of the audit;
  • ¼ (GHC206,250) on submission of the draft report;
  • ½ (GHC 412,500) final payment on submission of approval and signed report,” the letter to Ghana Gas specified.

It added: “The fee is also exclusive of all reimbursable expenses which include, but not limited to, transportation, accommodation and per diem expenses for any work required to be carried out outside Accra.”

The audit which indicted the CEO of Ghana Gas Dr. George Sipa Yankey and some board members covered the period between January 1, 2009 to June 30, 2017.

The Audit

The report uncovered a whopping US$137,861,127.15 at Ghana National Gas Company during the erstwhile administration of John Mahama.

It detected that helicopters purchased from China National Aero Technology Import and Export Corporation (CATIC) by Ghana Gas “have never been used for purpose of its purchase.”

According to the audit report in possession of Starrfmonline.com, as a result of the situation, a whopping amount of $54,800,000 has gone down the drain as “financial loss to the state.”

The report which covered the board chairmanship tenure of Dr. Kwesi Botchwey also has it that equipment for the helicopters worth $5,958,366.76 “were not delivered even though it was part of the contract price.”

It added: “Abnitio training cost not fully utilized for its intended purpose” amounts to US$300,000, making a total of US$61,058,366.756.

Other members of the board cited in the report are: Mr. Eric Yankah, Thomas Manu, Dr. Valerie Sawyerr and the former CEO George Sipa-Adjah Yankey.

The report which has been submitted to President Akufo-Addo and his cabinet also detected procurement breaches worth US$34,451,650.22 and US$42,351,110.17 in contracts with Memphis Metropolitan Limited and Kingspok Company Limited respectively.

The report of the Cabinet sub-committee which was responsible for coordinating forensic audits and investigations has been submitted to the Economic and Organised Crime Office (EOCO) for investigations.

 

Source: Starrfmonline.com

ABOUT: Ellsamwise King

[email protected]

A Civil/Structural Engineer & Freelance Blogger, Journalist, Social Media Mogul, Digital Marketer, Entrepreneur, and Philanthropist. CEO of Skyline Consortium & 9189 Media Consult and Co-Founder of Team Sarkodie. An alumnus of Prempeh College where he read General Science. He holds a first degree in Bachelor of Science from the Kwame Nkrumah University of Science and Technology. His mentors are Alvar Alto, Rupert Murdoch, Piers Mogan, Mensa Otabil, Bernard ElBernard Nelson-Eshun. Blogs for; http://www.233times.com | www.paemuka.com | http://www.playmusicgh.com | http://www.muzikiq.com | http://www.brandsaid.biz . Social Media Manager for Eon3 Group | BrandsAid | Kings Crown Media | Carabao Africa Ghana & Africa | Calvary Temple - ICGC | Team Sarkodie | Muzik IQ | Kwaw Kese Please inquire more via Email: [email protected] | [email protected] Instagram & Twitter: @wise_tskd Facebook: Ell Samwise LinkedIn: EllSamwise King Dogbe

view all posts by: Ellsamwise King  

ABOUT 233TIMES

233times.com is a Ghanaian media house which serves as a major source of exclusive interviews ,music and video downloads, news and more.

233times.com reports on major events,news covering entertainment, politics, sports, etc from within Ghana, Africa and beyond.

We have a platform for the amateur artistes to portray their staggering talents ...more...

WE ON SOCIAL MEDIA. FOLLOW US

facebook twitter youtube google plus linkedIn

To advertise with us or make enquiries, please visit 233times.com/advertise or call +233249455142 (Selorm), +233248185848 (Nana Kwesi)