{"id":130644,"date":"2015-07-02T06:29:28","date_gmt":"2015-07-02T06:29:28","guid":{"rendered":"http:\/\/4cd.e16.myftpupload.com\/?p=130644"},"modified":"2015-07-02T06:29:28","modified_gmt":"2015-07-02T06:29:28","slug":"cp-judgment-debt-betty-mould-praised-kufour-govt-indicted","status":"publish","type":"post","link":"https:\/\/citifmonline.com\/2015\/07\/cp-judgment-debt-betty-mould-praised-kufour-govt-indicted\/","title":{"rendered":"CP Judgment debt: Betty Mould praised, Kufour gov’t indicted"},"content":{"rendered":"
A leaked report of the Judgment Debt Commission is accusing the erstwhile Kufour administration of engaging in needless \u201cfeet-dragging\u201d in the payment of a legitimate judgment debt due construction firm Construction pioneers(CP) leading to the figure ballooning from some 27million euros to 162 million euros.<\/p>\n
According to the Commission \u201cA review of the GoG\u2019s role in the resolution of the CP saga between 2001 and 2008 shows that as at 18th<\/sup> October 2002, the total outstanding claim of CP against the State had been computed at DM 55, 092,544.65<\/strong> and GHc2, 747,165.78<\/strong>, which is the total equivalent of Euro 27, 547,272(\u20ac27, 547,272<\/strong>).\u201d<\/p>\n However, \u201cas of 28th<\/sup> February 2009, the ICC awarded claim in favour of CP in addition to undisputed but unpaid Certificates had been computed at Euro 162, 609,600.89 (\u20ac162, 609,600.89)<\/strong>, which was accruing interest at the rate of \u20ac12, 787.19 <\/strong>a day\u201d.<\/p>\n Thus to the commission if the Kufour administration was minded to settle the debt as of 2002 when it stood at some 27 million euros it would not have ballooned to 162million as of 2009.<\/p>\n Most of the feet-dragging \u201cin payment and hence the astronomical increase in the debt of both this CP issue and indeed other judgment debts\u201d have, in the Commission\u2019s view, \u201ccontributed to the eventual high bill in foreign exchange terms for the State\u201d.<\/p>\n This they attribute to the distrust between incumbent governments and their predecessors \u201cMost current political incumbents are completely distrustful of the intentions of their predecessors in such matters as contracts that, they cannot see their way out of the debts partially or fully either technically or professionally.\u201d<\/p>\n In the opinion of this Commission, if there is no satisfactory evidence that can stand up in court, politicians must learn; \u201cto cut the losses and count the gains\u201d. \u201c<\/em>All Governments; past, present and possibly future ones, need to watch this unhealthy practice carefully and put a stop to it\u201d.<\/p>\n The cost to the country of \u201cthis pettiness is too high\u201d. In the long run, it continues \u201cnothing by way of even a small fraction of the debt is reduced. It is rather increased through compounding accrued interest on principal and on loss of profit through effluxion of time to the hurt of the State\u201d.<\/p>\n The commission was particularly worried about the NPP government\u2019s failure to pay especially when earlier \u201c incumbent Attorney-General and Minister of Justice Hon Paapa Owusu Ankomah, had admitted that the Government had a bad case in the dispute with CP.<\/p>\n His successor Hon Joe Ghartey also held the same view and strongly urged the then Government to arrange an immediate payment of the outstanding debt.\u201d So also had the then\u201dMinister for Roads and Transport Dr. Richard Anane added his voice to the immediate payment to CP of this over-hanging debt\u201d. These debts were, however, not paid until there was a change of government in January 2009.<\/p>\n The report however commended the former attorney general Betty Mould Iddrissu for\u00a0 negotiating down the 163million euros to 94 million euros \u201cThis decision by the then Attorney-General and Minister of Justice Betty Mould-Iddrisu, which recommended and insisted that the awards which she had managed to negotiate downwards from about 163 million Euros (\u20ac163 million)<\/strong> to 94 million Euros (\u20ac94 <\/strong>million) should be satisfied and paid by the State was, in the opinion of this Commission, one of the best decisions that could be taken in the interest of the State.<\/p>\n The negotiated settlement agreement brokered by Betty Mould-Iddrisu required that the negotiated amount of \u20ac94 million<\/strong> be paid quarterly to CP.<\/p>\n The Commission subpoenaed the Central Bank (BoG) to testify on the payments so far made to CP as a result of the negotiated settlement.<\/p>\n The Officer who represented the Bank of Ghana at the Commission was Mr. Eric K. Hammond who said he was a Chief Manager at the Bank.<\/p>\n He presented documents to the Commission on all payments made to CP arising from the negotiated settlement and the dates of payment. The schedule was as follows:-<\/p>\n <\/p>\n\n