The Ghana Revenue Authority (GRA) has said it followed due process in procuring the services of Strategic Mobilization Ghana Limited (SML).
GRA’s assertion follows recent media reports suggesting that SML was involved in a shady deal that has resulted in the government paying “hundreds of millions” to it without doing any work.
“A year-long investigation by Evans Aziamor-Mensah, Adwoa Adobea-Owusu and Manasseh Azure Awuni of The Fourth Estate, however, revealed that the company, with the help of a section of Ghana’s media, had made false and unsubstantiated claims of its operations that have served as the basis for the payment it received.
“It appears the Ministry of Finance and the GRA were aware the claims were false, for some officials of the GRA said they had confronted the company about its claims of savings and volumes on two separate occasions.
“The company also tried to justify why it receives up to GH₵24 million monthly payments from the government of Ghana in a questionable contract it signed with the Ministry of Finance and the Ghana Revenue Authority (GRA),” investigative website The Fourth Estate reported.
However, a statement issued by GRA on Wednesday (20 December), said the SML contract, which is performance-based will inject efficiency in revenue assurance services.
“GRA restate that the consolidated contract which is a risk-reward contract seeks to bring efficiency in Revenue Assurance Services provided to GRA. SML per the contract is required to provide resources for the execution of the contract. By implication, if there is no value addition, SML is not paid. In short, the principle of risk and reward is the fulcrum of the contract,” it said.
“The Contract is for five (5) years and is performance-based and approved under Section 40 of the Public Procurement Act, Act 663, 2003. The Board and Management www.gra.gov.ghaffirm that all legal and proper processes were followed in procuring the services of SML.”
“SML solely financed the capital expenditures and cutting-edge technology that is employed in the monitoring and auditing services provided to GRA in the Downstream Petroleum Sector,” the GRA added.
Below is the full statement:
Reporting by Fred Dzakpata in Accra
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