GRi in Court Ghana
09 - 10 - 2001
Quality
Grain received 13 million dollars without approval
Tribunal to commence trial of Selormey on October 29
Dodoo's
case adjourned to October 23
Land
guards threaten businessman with toy pistol
Accra
(Greater Accra) 09 October 2001-The government granted 13 million dollars loan
to the Quality Grain Company in 1996 without Parliamentary approval, an
official of the
Serious
Fraud Office (SFO), on Monday told the Fast Track Court.
The court
is trying six persons including two former Ministers of State charged with
conspiracy and wilfully causing financial loss to the state by causing the
transfer of more than 20 million dollars into the accounts of the company in
the United States.
Mr
Theophilus Cudjoe, Deputy Executive Director (Investigations) of the SFO,
giving evidence for the prosecutions, said Kwame Peprah, former Finance
Minister and the third accused, signed the agreement on the loan.
Led in
evidence by the Director of Public Prosecutions (DPP), Mr Osafo Sampong, the
witness said the other signatories to the agreement were Ms Juliet Woodard, a
director and secretary of the company and an official of the South Trust Bank
of the US.
Mr Cudjoe
said the loan was unlike a seven million-dollar loan approved by Parliament for
the same company.
The other
accused persons are, Ibrahim Adam, former Minister of Food and Agriculture
(MOFA), Dr Samuel Dapaah, Dr George Yankey Nana Ato Dadzie and Kwesi Ahwoi, all
high-ranking government officials in the previous administration.
They have
all pleaded not guilty and each of them is on a self-recognisance bail.
Mr Cudjoe
said in August, 1998 he started investigations into the operations of the
company and found out that it was registered as a limited liability with the
name: Quality Grain Company, Ghana Limited with three directors including Ms
Woodard, who was also the secretary. The other two directors were a Ghanaian
and a foreigner.
Witness
said investigations showed the government had 24 per cent of the shares in
company that was registered in July 1995 and that it never held a meeting until
he submitted his report in 1999.
Mr Cudjoe
said he contacted the Ghana Investment Promotion Centre (GIPC) where
investigation showed that the company, which was a foreign one, had not
registered with the Centre.
Witness
said he enquired from Dr George Sipa Yankey, who was then Head of the Legal
Department on payment of loans at the Ministry of Finance and he provided
documents covering the seven million-dollar loan and a feasibility report on
the company's rice project at Aveyime in the Volta Region.
He said he
contacted Dr Dapaah, who initially did not cooperate with the investigations
until he applied for court summons to compel him to appear before the SFO.
Mr Cudjoe
said due to Dr Dapaah's attitude in September 1998, the matter ended at the
office of the former Vice President, Professor John Evans Atta Mills who
advised him (witness) to "cool down".
Witness
said he submitted a report and an executive summary of the investigations to
Professor Mills, who directed that a committee be formed to deliberate on the
findings.
He said Ms
Woodard, Dr Dapaah, Dr Yankey and himself were members of the committee that
met twice.
Witness
would tender documents on the minutes of the meetings at the next adjourned
date. Hearing continues on Tuesday.
GRi…/
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Tribunal to commence trial of Selormey on October 29
Accra
(Greater Accra) 09 October 2001-A Circuit Tribunal would, on October 29
commence hearing a case in which Victor Selormey, former Deputy Finance
Minister, has been charged with causing loss, by carelessness, to public
property.
This was
after Prosecution Deputy Superintendent of Police Patrick Sarpong prayed the
court for a date to enable Mr Johnny Quarshie Idun, counsel for the accused, to
study the facts of the case.
Selormey is
alleged to have caused the transfer of 68,000 dollars to Leebda Corporation of
USA as consultancy fees and also transferring 45,000 dollars to Lexdev International
for the purchase of a vehicle.
Selormey
has pleaded not guilty and has been granted 100 million cedis bail by the
tribunal, chaired by Mr Ziblim Imoru.
Prosecution
said in February 1998 Selormey caused the Metropolitan and Allied Bank, Ghana,
to transfer 45,000 dollars to Messrs Lexdev International, USA, also known as
Leebda Corporation owned by Dr. Frederick Owusu Boadu, a friend.
The money
was for payment of a vehicle bought by the state under the Trade and Investment
Programme (TIP) but the invoice quoted 38,301 dollars as the total cost of the
vehicle together with all other expenses including freight.
The accused
nevertheless caused 45,000 dollars to be transferred for the purchase of the
vehicle.
Between
August and December 1998, the prosecution said, Selormey again caused the
transfer to the same company 68,000 dollars as payment of consultancy fees.
The
government, at that time had wanted to study how to make the private sector competitive
through legislative and administrative reforms.
The
prosecution said the accused quickly and quietly contracted Lexdev, also known
as Leebda to prepare a consultancy contract without allowing any government
representative to see the contract that normally should have been studied by
the legal department of the ministry.
The case
was detected in April this year when the accused was out of office and a report
was made to the police for investigation.
The
investigations revealed that Selormey was careless in over paying for the
vehicle as well as paying for what he termed, ''consultancy fees'' for
preparation of a contract when no work was done.
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Accra
(Greater Accra) 09 October-A Tribunal hearing a case in which Dr Robert Dodoo,
a former Head of the Civil Service charged with carelessly causing loss of 70
million cedis to the state, on Monday adjourned to October 23 because of
prosecution's absence.
Police
Inspector Paul Frimpong, who held brief for Chief Inspector Kofi Adu said he
(Chief Inspector Adu) was in another court.
Dr Doodo is
alleged to have signed for the release of 70 millions cedis to a contractor who
absconded without executing the installation of two passenger lifts at the
Civil Service Annex in Accra.
William
Kofi Partey, a sub-contractor of Elevator Engineering Limited, who received the
money but failed to execute the job, has fled the country.
Dodoo has
pleaded not guilty and has been granted 50 million cedis bail with one surety
by the tribunal, chaired by Mr Ziblim Imoru.
In 1992 the
Greater Accra Regional Tender Board awarded a 600 million-cedi contract to
Charkson Construction Company to construct a two-storey building as an Annex to
the main office of the Head of the Civil Service.
Shortly
after Dr Dodoo had assumed office, he signed a letter requesting the Minister
of Finance to release 70,822,500 cedis to Elevator Engineering Company limited.
The money
was paid to the contractor on the strength of the letter. The prosecution said
Dr Dodoo has, however, indicated his willingness to refund the money to
government chest since Mr Partey has fled the country.
GRi…/
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Accra
(Greater Accra) 09 October 2001-Two land guards who allegedly threatened a
businessman with a toy pistol and succeeded in collecting 500,000 cedis and a
bottle of schnapps at Weija have been remanded in prison custody on Monday by a
circuit tribunal in Accra.
Abdul
Fatawo, 32, pleaded not guilty to extortion, possessing Indian hemp, resisting
arrest and threat of death. Baba
Ntawor, 24, also pleaded not guilty to extortion, possessing fireman without
authority and resisting arrest. They will reappear on October 15.
Chief Inspector
Benedicta Akolgo told the tribunal, chaired by Mrs Elizabeth Anderson Yebuah
that on September 29 this year when the complainant, Mr. Johnny Charway and his
workers, were digging the foundation of his building on his plot of land at
Weija the accused emerged from a nearby bush and asked them to stop work.
They asked
Mr Charway to give them 500,000 cedis before they would allow him to continue
working. Prosecution said Mr Charway, out if fear agreed to give them the money
the next day and lodged a complaint with the police. On September 30, at about
12 noon, the police accompanied the Mr. Charway to the site and arrested the
accused persons.
When the
police searched them they found a wrapped cement paper containing dried leaves
suspected to be Indian hemp in Fatawo's pocket.
Accused
however mentioned one Osumanu as the one who engaged them as land guards to be
collecting digging fees from land developers on behalf of the Chief of Gbawe.
GRi…/
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