The opposition National Democratic Congress Member of Parliament for Bawku Central in the Upper East Region, Mahama Ayariga has filed a suit in the Supreme Court of Ghana against Finance Minister Ken-Ofori Atta over the establishment of the Ghana Financial Stability Fund (GFSF).

In a writ filed at the Supreme Court which invoked the original jurisdiction of the Supreme Court under Rule 45(1) of C.1 16, the Bawku Central Member of Parliament argued that the establishment of the Ghana Financial Stability Fund (GFSF) by Ghana’s Minister of Finance, Mr Ken-Ofori Atta was done without parliamentary approval.

According to him the conduct of the Finance Minister is a clear violation of the Constitution of Ghana, hence he is requesting the court to order the Finance Minister, Mr Ken-Ofori Atta and the Ministry of Finance to establish the Fund through an ‘express’ ratification and approval of the Parliament of Ghana.

He noted that, such an order must instruct the Finance Minister to outline clear legal stipulations regarding its administration and mechanisms for the disbursement of the funds as well as the procedures for the recovery of the fund by Articles 93(2), 108, 175, 176, 178 and 179 of the 1992 Constitution of the Republic of Ghana.

“Declaration that the establishment of the Ghana Financial Stability Fund (GFSF) through administrative fiat issued by the Ministry of Finance and Economic Planning is illegal and unconstitutional, as it violates the provisions of articles 175, 176, 178, and one 179 of the 1992 Constitution of Ghana”
Mahama Ayariga, MP Bawku Central

Again, the Lawmaker and private legal practitioner also urged the court to make a declaration that the Ministry of Finance’s use of ‘opaque’ and ‘unscrutinized’ mechanisms for the administration and disbursement of funds from the Ghana Financial Stability Fund, without the required approval of Parliament of Ghana is an affront and deliberate disrespect for the 1992 constitution of Ghana, as stated under provisions of Articles 175, 176, 178, and 179.

Furthermore, Mr Ayariga prayed to the court to make a declaration that any support or involvement by Ghana’s international financial partners, the International Monetary Fund (IMF) and the World Bank in the establishment or operation of the Ghana Financial Stability Fund without the compliance of the constitutional provisions stated in Articles 175,176, 178, and 179 of the 1992 Constitution of Ghana would be a violation by the Finance Minister.

MP Urges Court To Prohibit The Operational Framework of GFSF

Moreover, the opposition Member of Parliament urged the court to make a declaration that the mechanisms provided for in the Operational Framework of the Ghana Financial Stability Fund for the withdrawal and recovery of funds would be an attempt to evade legal and constitutional scrutiny in clear violation of Article 93(2) and 108 and hence the court should declare it as invalid.

More so, Mr Ayariga asked the court to make an order to injunct the Ministry of Finance from implementing or utilizing the country’s current ‘Operational Framework’ of the Ghana Financial Stability Fund for the administration, disbursement, withdrawal, or recovery of the funds as according to him it is ‘illegal and ‘unconstitutional’

Additionally, the Bawku Central Legislator urged the courts to make an order to direct the Ministry of Finance to adhere to the constitutional requirement for establishing public funds as provided in the 1992 Constitution of Ghana, particularly in any future establishment or operation of the Ghana Financial Stability Fund.

Meanwhile, Mr Ayariga had earlier criticized the Minister of Finance for establishing the Ghana Financial Stability Fund and called on the World Bank and the International Monetary Fund (IMF) to withdraw their support for the fund.

In a letter written to the two financial institutions, the MP asserted that the International Monetary Fund (IMF) and the World Bank would be acting in clear violation of the 1992 Constitution of Ghana if they lent their support to the arrangement under the Ghana Financial Stability Fund without parliamentary approval.

“I write to request the World Bank (WB) and the International Monetary Fund (IMF) country offices in Ghana not to lend your support to the unconstitutional and illegal attempt by the Minister of Finance and Economic Planning (Mr. Ken Ofori Atta) to establish a Ghana Financial Stability Fund (GFSF) using mere guidelines and putting it under the administration of an illegal and unconstitutional body known as Ghana Amalgamated Trust Plc (GAT) based on opaque and legislatively unauthorized management and disbursement mechanisms.”
Mahama Ayariga, MP Bawku Central