Ghana News & Trends

GRA-SML Deal: Akufo-Addo told to set up a 3-member team to study the KMPG report and suggest way forward

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President Nana Addo Dankwa Akufo-Addo has been called upon to establish a 3-person implementation team to examine the KPMG report on the deal between the Ghana Revenue Authority (GRA) and the Strategic Mobilisation Limited (SML), in the spirit of transparency.

The team is tasked with providing recommendations on disgorgement, civil penalties, and potential criminal prosecutions.

Ghanaian Professor Kwaku Asare, based in the United States, highlighted the need for further action to be taken following the release of the presidency’s statement on the KPMG report.

He pointed out that the report reveals numerous violations of the Public Procurement Authority (PPA) and GRA Acts.

The statement issued by the president acknowledged that no technical needs assessment was conducted before engaging SML, although it was not legally required.

Subsequent reports by industry bodies and auditors highlighted potential revenue leakages and under-declarations. Despite seeking approval from the PPA multiple times to engage SML, the GRA proceeded to work with SML through a subcontract with West Blue, eventually extending their services.

KPMG’s report also revealed discrepancies in the approval process, with certain contracts lacking the necessary PPA approval and parliamentary oversight. The pricing model used for the contracts, based on a variable fee structure, was also called into question, as such services are typically priced using a fixed fee model.

Prof Asare emphasized the importance of full transparency and accountability in handling the situation, calling for the immediate release of the KPMG audit and the formation of a team to provide clear recommendations on the way forward.

The aim is not to witch-hunt but to ensure the protection of public funds and uphold good governance practices.

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