Abuga Pele, the former National Coordinator of the Ghana Youth Employment and Entrepreneurial Agency (GYEEDA), was sentenced alongside the Chief Executive Officer of Goodwill International Group, Philip Assibit, to a combined jail-term of 18 years on various counts, including willfully causing financial loss to the state.

[contextly_sidebar id=”q3ZiiK8QdvQcAWXG72W3mIHsssiJPQPm”]In the scandal that hit the now Youth Employment Agency (YEA), some companies including Zoomlion Ghana Limited, RLG, Asongtaba Cottage Industry Limited and Better Ghana Management Services Limited, among others were contracted to render services under various modules for the GYEEDA programme.

It subsequently emerged that monies were paid to these companies who were awarded the contracts through sole sourcing for no work done.

Speaking on Citi FM’s News Analysis Programme, The Big Issue, Mr. Ayariga said the awarding of all contracts through competitive bidding processes will tackle the canker associated with sole sourcing.

“President Akufo Addo is against sole sourcing. He campaigned against sole sourcing but reducing sole sourcing is not enough. I think we should abolish it entirely,” he indicated.

Ayariga threatens suit

Mr. Ayariga, on the show, also indicated that he will next week start a chain of events that may result in an injunction at the Supreme Court against the operations of a number of state agencies.

Mr. Ayariga has said he will move against every state agency exercising “unfettered discretionary power without clear non-discriminatory non-arbitrary regulations approved by Parliament governing the exercises of their discretionary power.”

He asserted that all these agencies must provide a road map to close all these loopholes or face being dragged to the Supreme Court.

“I shall in the coming week write to each and every agency of government concerned and demand that the regulations be brought to Parliament within 30 days otherwise I will proceed to the Supreme Court to seek an injunction against all that they are doing in violates of the law.”

‘Jail-term’

Abuga Pele was handed a four and six-year sentence which will run concurrently, meaning he will spend six years behind bars.

Assibit, on the other hand, got sentences of 12 and four years on different counts, also to run concurrently, meaning he will be in jail for twelve years.

The court also ordered the state to recover all assets and money belonging to the state from the convicts.

Delivering her judgment, Justice Efia Serwaa Botwe said the prosecution succeeded in proving their case by producing enough evidence.

She also added that the defence and the accused person, on whom a lot burden of proof was laid, failed to prove their innocence in the matter.

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By: Marian Ansah/citifmonline.com/Ghana
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“When I heard the comparison between the NDC and the NPP in terms of procurement figures, I wasn’t particularly sure what the basis of the comparison was,” Mr. Cudjoe noted on The Big Issue.

[contextly_sidebar id=”XyWePxz0zDTNEddLGnWiTfQJAPTydjsp”]He also downplayed the significance of the reduction in sole-sourced contracts because there was still a lack of transparency as far as citizens were concerned.

President Nana Akufo-Addo, speaking to the Media in January, first revealed that his government had saved about GHc 782 million from sole sourcing and restricted tendering processes within its first year in government.

He was keen to note that this was in sharp contrast to the zero savings made from sole sourcing in 2016 under the National Democratic Congress.

The drop in sole-sourced contracts is noted to be 37 percent from 2016.

He reiterated this point during his State of the Nation address where he outlined that 394 sole sourcing requests were made in 2017, out of which 223, representing 56.6 percent, were approved, and 171, representing 43.4 percent, were rejected.

No change from NDC era

Despite President Akufo-Addo’s assertions, Mr. Cudjoe expressed some misgivings with the fact that goods were still being sole-sourced as he asked “whether we would ever do anything significantly different from what we have seen in the past.”

“Even if there was 90 percent approval of sole sourcing under NDC and we now have 50 percent approval under the NPP, the point I am trying to make is that there is no basis for this kind of comparison because, first of all, we don’t even get to see, as ordinary people, what exactly is being procured,” he said.

Per the IMANI Africa President’s understanding, sole sourcing “must be rare” thus, leading him to wonder whether the over 200 approved sole-sourcing requests were “from Mars.”

“If you look at the functions of various public agencies, those that are executing projects, what are they buying? Roofing sheets, cement, branding buses? What is so special about the [agreements sole sourced]?”

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By: Delali Adogla-Bessa/citifmonline.com/Ghana

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This, it believes, will help address corruption and the inflation of contract sums.

[contextly_sidebar id=”hnmT7KrecgiE2adDmV1OWsZ2poicAyoh”]Last Wednesday, President Akufo Addo announced that government had reduced the reliance on sole sourcing contracts.

Comparing his first year in office to the final year of the Mahama government in 2016, President Akufo-Addo noted that, in the year 2016, the Public Procurement Authority had “622 sole source requests. 577 of that number were approved and there were 25 rejections.”

“There were 592 requests made for restricted tenders, and 587 were approved and there were five rejections. A grand total of zero savings were made through the procurement process,” he outlined.

“But in 2017, 394 sole sourcing requests were made out of which 223 were approved and 171 were rejected. There were 346 requested for restricted tenders and 167 were approved and 179 were rejected,” the President stated.

Speaking on Eyewitness News, however, the Institute’s President, Collins Agyemang Sarpong said though government had taken measures to ensure a reduction in sole sourcing, there is still more room for improvement.

He explained that government can successfully ensure a drastic reduction in sole sourcing if a concerted effort is made.

“We think that sole sourcing and restrictive tendering should come down further. We need to bring it down. I think it is still higher. It should be reduced to barest minimum. If next year we hear it has been reduced to let’s say 10 percent, I know we are getting there.”

‘Stop inflating project costs’

Mr. Agyemang also called on professionals and practitioners involved in the procurement sector to desist from manipulating figures to favour cronies.

“What we have seen is that most professionals and practitioners within the procurement sector apply procurement without going through the proper processes-competition, they won’t. Some will just even change the quotations just to favour their cronies or the people that they want to give contracts to from which the ethical point we think is wrong so therefore we are calling on professionals to do according to the dictates of the profession,” he said.

GIPS had earlier indicated that Ghana lost GH¢ 100 million through various unethical procurement practices in 2015.

The Auditor General’s annual reports have in the past also noted that about 80 percent of procurement malpractices results from the sole sourcing of projects.

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By: Marian Ansah/citifmonline.com/Ghana

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The figure dropped from 622 requests in 2016 to 394 requests in 2017. This means there was a 228 drop in the number of sole sourced contracts applied for within the one year period.

President Akufo Addo disclosed this during his encounter with journalists at the Flagstaff House on Wednesday, January 17, 2018.

In his view, this is an indication of his government’s commitment to sanitize the Public Procurement system and give value for money.

Of the number applied for, 577 representing 98% were approved with 29 of them rejected.

In 2017, government approved 223 or 56.6% out of the 394 sole sourcing requests presented to it.

On the other hand, 171 of the requests representing 43.6% were rejected.

Restricted contracts drop by 42%

Meanwhile in 2016, the erstwhile NDC government approved 587 or 99.15% of all restricted tenders that were requested for.

This translated into zero savings on the requests put forward.

In 2017 however, restricted tenders also declined by 246 or 41.5%. The figure went down to 346 from 592 requests.

The President also indicated that, the decision by the NPP administration has led to government saving 145 million cedis, 142 million dollars, €1.8m and £23,400.

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By: Pius Amihere Eduku/citibusinessnews.com/Ghana

The post Sole sourcing contracts reduced by 37% in 2017 appeared first on Citi 97.3 FM - Relevant Radio. Always.

The contracts were eventually approved retroactively by the Authority.

[contextly_sidebar id=”FeEDNuLW2W5505B6snb02VtgW0nqjc1W”]He said the threat of the armyworms required that the Ministry had to act with urgency, which explains why they had to bypass the Procurement Authority processes.

“We were under an emergency situation so everybody was running helter-skelter to ensure that we were not threatened by the fall armyworms the way it was going. So that is why the ministry engaged all the chemical sellers,” he stated on Eyewitness News.

Dr. Bambangi reiterated the defense he made in Parliament when the Ashaiman Member of Parliament, Ernest Norgbey, questioned the legality of the retrospective approval.

“We have a legal adviser in the ministry, and if it is not founded in law, he wouldn’t have advised the ministry to go that way… we applied to the Public Procurement Authority and if it was not founded in law, they wouldn’t have approved it.”

Sole-sourcing has been noted as a conduit for corruption, which the governing New Patriotic Party has criticized vehemently in the past, and even put in place a Minister of Procurement for the first time.

Dr. Bambangi however assured that, there was nothing shady underneath the deal for the chemicals.

He noted that “everybody agreed it [the armyworms] was a threat to food security if we didn’t control it well… It is not as if we purchased from one chemical dealer. We purchased from 12 chemical dealers.”

In all, 12 companies were assembled by the government to supply the insecticides to fight the armyworms, but without a competitive bidding process.

Legality or retrospective approval

A lecturer at the University of Education, B.B. Bingab, indicated that there was no aspect of the law that allowed for retrospective approval.

The closest aspect of the law, which Dr. Bambangi alluded to in his defense, is section 40(1) (c) of the Public Procurement Act, 2003 (Act 663).

It states that “a procurement entity may engage in single source procurement under section 41 with the approval of the board… where owing to a catastrophic event, there is an urgent need for the goods, works or technical services, making it impractical to use any other methods of procurement because of the time involved in using those methods.”

Dr. Bingab admitted the lack of any lawful avenue for retrospective action, but noted that “there are certain instances where a decision has to be made bearing in mind the repercussions of not taking that decision.”

In this instance, where a state of emergency was called over the impact and threat of armyworms, the lecturer noted that retrospective approval may have been justified.

“In the event that if you don’t take that decision [immediately], it makes no meaning to eventually get the approval you need, then you have got to act… to wait till the final decision will suggest that even the request you are making will be in vain.”

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By: Delali Adogla-Bessa/citifmonline.com/Ghana

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Responding to questions on the matter, a Deputy Minister of Agriculture, Dr. Sagre Bambangi, disclosed that the Ministry only roped in the Public Procurement Authority after the GHc 9 million arrangements for the insecticides had been made.

[contextly_sidebar id=”stfDiP3UIPEW5Ow4LBTBvhoqtErKc21q”]”The Ministry having secured the above facility, consequently requested for a retrospective approval from the Public Procurement Authority, for an emergency supply of insecticides to control the fall armyworms.”

“The Public Procurement Authority granted the request of the use of Single Source Procurement Method, to engage various supplies to undertake the procurement of insecticide in accordance with section 40(1) (c) of the Public Procurement Act, 2003 (Act 663),” Dr. Bambangi said.

The section in question, however says nothing about retrospective approval as it notes that: “a procurement entity may engage in single source procurement under section 41 with the approval of the board… where owing to a catastrophic event, there is an urgent need for the goods, works or technical services, making it impractical to use any other methods of procurement because of the time involved in using those methods.”

The Ashaiman Member of Parliament, Ernest Norgbey, highlighted this fact, as he questioned the legality of the retrospective approval.

But the Deputy Minister responded by saying that “if it were wrong, the Public Procurement Authority would not have done same.”

The Ministry of Agriculture collaborated with UN Food an Agriculture Organisation and Centre for Agriculture Biosciences International, for the recommended insecticides registered in Ghana, and also registered for the control of fall armyworms in Brazil, USA and other African countries.

After the recommendations, the Minister invited companies which had registered with the Environmental Protection Agency (EPA), and appealed to them to supply on credit.

In all, 12 companies were assembled by the government, but not in a competitive bidding process, to supply the insecticides to fight the armyworms, due to the urgent nature of the situation.

The NPP administration  has repeatedly criticized the previous administration for engaging in all forms of sole-sourcing contracts which did not ensure value for money, and in most cases breached Public Procurement regulations.

They have thus pledged to ensure that such reckless sole-sourcing contracts are not the order of the day.

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By: Duke Mensah Opoku & Delali Adogla-Bessa/citifmonline.com/Ghana

The post GHc9m chemicals deal sole-sourced ‘without approval’ – Minority appeared first on Citi 97.3 FM - Relevant Radio. Always.

The Deputy Minister for Roads and Chairman of a committee set up to rationalize the number of roads under construction, Kwabena Owusu Aduomi made the revelation on Tuesday when he presented his report to the Minister.

He said over 540 road projects were opened to just a selected number of contractors for bidding.

[contextly_sidebar id=”cOTeRpXCwG9jyD85xfGhyVineBi6cp91″]“What we realized was that more than 90% of road projects were restricted tendering. Restricted tendering is more of sole sourcing or few contractors being selected to bid for a project,” he said in a Citi News interview.

Mr. Aduomi said his committee in the report recommended that going forward; the ministry must open up the tendering process to cover all eligible contractors in the country and not just a privileged few.

“Our recommendation is that so far as we have a number of contractors who are eligible to execute such projects should be allowed to bid and the ministry should do open tendering so that all those eligible contractors who by our classification should be able to do such a project should be allowed to bid.”

He said this should be done by advertising the project in the newspapers so as to make the process transparent while “the lowest evaluated bidder” is selected.

“…The lowest evaluated bidder is not the one with the lowest amount, the lowest evaluated bidder is the one whose cost or the sum he or she wants to charge is acceptable to the employee and also has the necessary resources both human and logistics and the experience to do that work,” he added.

The governing New Patriotic Party (NPP) had always accused the Mahama government of having voracious appetites for sole sourcing of contracts which they claimed were inflated at times.

The NPP argued that, sole sourcing allowed corruption, and benefited a privileged few in the Mahama government adding that an Akufo-Addo government will eschew such practice.

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By: Philip Nii Lartey/citifmonline.com/Ghana

The post ‘90% of Mahama road contracts awarded by restricted tender appeared first on Citi 97.3 FM - Relevant Radio. Always.

[contextly_sidebar id=”00xwwHhJJGyK1OWU5yRRUowcfVOUForA”]According to him, public procurement has been strengthened with the inception of new structures such as the Due Diligence Unit, Procurement Audit Unit among others at the Procurement Authority to enhance value for money in all public sector transactions.

Speaking at a Special training session on the Public Procurement Act, Dr Bawumia urged public procurement officials to exhibit the highest standards of integrity.

“Over the years we have all been witnesses to how aspects of fiscal governance in the country has not been carried out with the expected discipline and dedication for good outcomes. We have seen and heard of incidents of abuse of the procurement processes especially the reliance or the influence of sole sourcing.Sole sourcing is actually quite legal and there are circumstances under which it is necessary and it should not be abused.  I also wish to recognize the good work the Public Procurement Authority is doing especially in the introduction of the current interventions at the PPAs such as the establishment of the due diligence unit and the soon to be rolled out key government procurement system.”

Dr Bawumia in the run up to last year’s elections chastised the then Mahama Administration for allegedly ripping the State off through dubious sole-sourced contracts.

He argued that, sole sourcing allowed corruption, and benefited a privileged few in the NDC government.

A few months after the New Patriotic Party took over the helm of affairs, Dr. Bawumia pledged to cut down on sole sourcing by introducing the public procurement act to ensure value for money.

MP calls for more power for procurement authority

The Deputy Majority Leader of Parliament, Adwoa Safo, had earlier also called for the amendment of the public procurement act to give the Procurement Authority, the powers to conduct value for money auditing on sole-sourced projects.

She described as sad, revelations by the Auditor General’s annual reports that 80 percent of the procurement malpractices are centered on sole sourcing.

“From 2012 to 2014 when I was on the public accounts committee, about 80% of their recommendations to parliament were procurement malpractices… So I think that if the law is there, you need also a policy direction. And I think that, that is the first step that the president has given us in his state of the nation address.”

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By: Marian Ansah & Duke Mensah Opoku/citifmonline.com/Ghana
Follow @EfeAnsah

The post We’ll resolve procurement infractions – Bawumia appeared first on Citi 97.3 FM - Relevant Radio. Always.

The Deputy Minority Leader, James Kludze Avedzi, had argued that government’s decision to totally forgo sole-sourcing in awarding government contracts might delay critical projects since sole-sourcing has its own benefits.

[contextly_sidebar id=”TB9HoA0XOAvL5I60cbM7d032gU1BL1Ie”]Mr. Avedzi revealed that going through the normal tendering process, could take weeks and in some cases months, which might lead to unnecessary delays.

“…Anything you want to procure, you have to go through these processes and sole sourcing is going to make governance so difficult for them…I wish them well; but I have my doubts and I believe that it is going to put them in a tight corner, and it will even have negative effects on this country,” Mr. Avedzi explained.

But speaking on Eyewitness News, Mr. Akoto Osei rubbished these suggestions, saying government should shun the idea of resorting to sole sourcing, since it does not encourage quality and competition.

“I don’t know why Ghana should be an exception. The regimes make sole sourcing an exception not the norm. Governments everywhere go through competitive bidding and it doesn’t delay the process and programmes of governments everywhere so I don’t know why Ghana should be an exception.”

“We don’t give value for money and that is why it is only an exception. When it becomes the norm then you know government is being cheated and that is why we go for competitive bidding. Good governance requires competition.”

MP calls for more power for procurement authority

The Deputy Majority Leader of Parliament, Adwoa Safo, had earlier called for the amendment of the public procurement act to give the Procurement Authority, the powers to conduct value for money auditing on sole-sourced projects.

She described as sad, revelations by the Auditor General’s annual reports that 80 percent of the procurement malpractices are centered on sole sourcing.

“From 2012 to 2014 when I was on the public accounts committee, about 80% of their recommendations to parliament are procurement malpractices… So I think that if the law is there, you need also a policy direction. And I think that, that is the first step that the president has given us in his state of the nation address.”

–
By: Marian Ansah/citifmonline.com/Ghana
Follow @EfeAnsah

The post Sole-sourcing hinders competition – Akoto Osei appeared first on Citi 97.3 FM - Relevant Radio. Always.

The New Patriotic Party (NPP) administration accused the Mahama administration of having a voracious appetite for sole sourcing of contracts which were inflated at times.

[contextly_sidebar id=”oMSP346ww8LUzJt640uAXE8TiinVqfSF”]The NPP argued that, sole sourcing allowed corruption, and benefited a privileged few in the Mahama government adding that an Akufo-Addo government will eschew such practice.

But according to the Former Chairman of Parliament’s Finance Committee, this choice of the government may delay critical projects since sole-sourcing has its own benefits.

This he said is because going through the normal tendering process could “sometimes take up to about six months with the minimum being three months.”

“So anything you want to procure you have to go through these processes and its going to make governance so difficult for them. And because that is what have been saying let me not have anything against that. I wish them well but I have my doubts and I believe that it is going to put them in a tight corner and it will even have negative effects on this country,” he added.

MP calls for more power for procurement authority

The Deputy Majority Leader of Parliament, Adwoa Safo, had earlier called for the amendment of the public procurement act to give the Procurement Authority, the powers to conduct value for money auditing on sole-sourced projects.

She described as sad, revelations by the Auditor General’s annual reports that 80 percent of the procurement malpractices are centered on sole sourcing.

“From 2012 to 2014 when I was on the public accounts committee, about 80% of their recommendations to parliament are procurement malpractices… So I think that if the law is there, you need also a policy direction. And I think that, that is the first step that the president has given us in his state of the nation address.”

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By: Godwin A. Allotey/citifmonline.com/Ghana

The post Abandoning sole-sourcing will ‘cripple’ Akufo-Addo’s gov’t – Avedzi appeared first on Citi 97.3 FM - Relevant Radio. Always.