Widespread irregularities ‘mar’ assemblies’ audits- Ga West MCE, others to refund judgment debts
The Auditor-General has recommended that the Municipal Chief Executive (MCE), Municiapl Coordinating Director (MDC) and the Municipal Finance Officer (MFO) of the Ga West Municipal Assembly be held liable for the payment of GH¢282,722.50 judgement debt incurred by the assembly.
“We recommended that the MCE, MCD and the MFO should be held liable to pay the avoidable cost of GH¢282,722.50 for negligence of duty,” the acting Auditor General, Mr Johnson Akuamoah Asiedu, stated in the 2019 audit report of the District Assemblies.
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The debt was incurred due to the failure of the assembly to pay an outstanding amount of GH¢279,000.00 out of a contract sum of GH¢469,000.00 to Duratech Signs Limited for the supply and installation of 700 street signposts with lettering and 1,000 house numbering plates for property numbering in the municipality.
That resulted in the award of a judgment debt of GH¢282,722.50 against the assembly by the court.
Response
When the Daily Graphic contacted the Chief Executive, Mr Clement Nii Lamptey Willkinson, and the Municipal Finance Officer, Mr Daniel Nelson Dei, who were not in office when the contract with Duratech was signed, they said the assembly had already paid part of the debt as directed by the court.
A management letter by the Auditor General directed the assembly to make prompt payments for contracts and supplies.
The response by the assembly, read in part “your recommendations would be strictly adhered to”.
Procurement irregularities
The report stated that some of the assemblies across the country breached the procurement rules.
The breaches include uncompetitive procurement resulting in a GH¢115,667.70 loss, unaccounted fuel supply of GH¢110,007.20 and a loss of GH¢16,605.00 at stores.
The irregularities have become a common occurrence at the district assemblies as they either involve management personnel themselves or management’s failure to sanction offenders.
“We recommended compliance with the relevant laws and recovery of the amounts involved,” the Auditor General stated.
Payroll forgery
On payroll irregularities, the report cited the Komenda Edina Eguafo Abirem (KEEA) for paying a Senior Internal Auditor of the assembly, Mr Kwamena Mensah-Adams, who had been on interdiction since May 2014 for alleged forgery, an amount of GH¢53,153.40 as half salaries for 51 months (October 2015 to December 2019) after he had jumped bail.
Miss Emily Osei Agyemang of the Kwadaso Municipal Assembly in the Ashanti Region was also paid an amount of GH¢15,291.89 over and above her actual salary of GH¢10,216.64.
This occurred as a result of the failure of the assemblies management to electronically validate their payroll monthly to block the names of persons not entitled to salary and/or followed up on all unearned salaries to be refunded into the Government designated Salary Suspense Account.
“We recommended recovery of the unearned salaries from the beneficiaries or the management of the Assemblies involved to be held liable for the payment of the amount of GH¢439,234.50,” the Auditor General stated.
Abandoned projects
On contract irregularities, the Techiman Municipal Assembly was cited for abandoning two projects after spending an amount of GH¢244,541.70 on them.
Three assemblies made a total payment of GH¢1,479 million on four completed projects but failed to put them to use.
Contracts not done
The Asutifi North Assembly also paid an amount of GH¢222,028.73 to two contractors, including GH¢21,409.68 for portions of works not executed.
The Akrofuom District Assembly awarded a contract of GH¢30,480.00 to M/S Muryan Company Limited to construct culverts between Okyerekrom and Kokotenten, out of which GH¢17,000.00 was paid but site inspection revealed that the culverts have not been constructed.
“We recommended to the management of the assemblies to prioritize completion and use of the projects by providing funds for the outstanding works to be undertaken for the benefit of the communities,” the report stated.
“We further recommended recovery of the total amount of GH¢38,409.68 from the three contractors for no work done,” the report added.