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Ambulance Scandal: Ablakwa Fires Back at Service Ghana Auto Group

Evans Junior Owuby Evans Junior Owu
August 3, 2024
Reading Time: 5 mins read
Evans Junior Owuby Evans Junior Owu
in General News
0
Health Minister Blames Local Contractors for Agenda 111 Delays

Samuel Okudzeto Ablakwa, the Member of Parliament for North Tongu Constituency

Samuel Okudzeto Ablakwa, the Member of Parliament for North Tongu Constituency, has issued a fiery response to a statement released by Service Ghana Auto Group Limited (SGAGL).

The North Tongu lawmaker, who has been vocal about the Ambulance transaction, alleging corruption, nepotism, and procurement infractions, in an indicting statement, described Service Ghana Auto Group Limited’s earlier statement as “preposterous and most offensive”.

“Even though none of the directors of Service Ghana Auto Group Limited could muster the courage to boldly put a name to their statement, I deem it necessary in the interest of public accountability to respond as follows: I strongly condemn the use of threats by Service Ghana Auto Group Limited and their disgusting attempt to gag Ghanaians, particularly Members of Parliament and the media”.  

Samuel Okudzeto Ablakwa, MP North Tongu Constituency

The Chairman of the Assurance Committee of Parliament strongly asserted that such tactics are futile in the face of legitimate demands for transparency and accountability regarding the use of $108 million in public funds.

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According to Honorable Ablakwa, these funds were used in an opaque manner to procure ambulances, a process which he describes as fraught with irregularities.

“SGAGL is well advised to desist from issuing empty and pathetic threats as nothing will stop our democratic and patriotic resolve in the spirit of transparency, probity and media freedoms — which are all guaranteed under the 1992 Constitution, to demand full accountability in this matter. We cannot be intimidated by their bogus threats”.

Samuel Okudzeto Ablakwa, MP North Tongu Constituency

Politically Exposed Persons and Familial Ties

A significant part of the North Tongu Member of Parliament’s statement focused on Stephen Okoro, a key director of SGAGL.

He contended that Service Ghana Auto Group Limited’s statement deliberately failed to respond to the politically exposed status of its key director, Stephen Okoro who is not only a close business partner of the President’s daughters but has familial relation with the first family.

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Honorable Ablakwa pointed out Mr Okoro’s close business and familial ties to President Akufo-Addo’s daughters, suggesting that these connections have unduly influenced the procurement process.

He argued that politically exposed persons, like Stephen Okoro, should be subject to greater scrutiny to prevent corruption and ensure fairness in public procurement.

Questionable Consortium Claims

Furthermore, the National Democratic Congress Member of Parliament, Honorable Ablakwa challenged SGAGL’s claim that it participated in a competitive procurement process as a consortium of seven companies since November 2018.

He provided evidence from the Registrar of Companies showing that SGAGL was incorporated only on April 24, 2020, after the said procurement process.

Additionally, Ablakwa pointed out that most companies in the purported consortium were hastily incorporated in 2017 and lacked any prior experience in ambulance procurement or maintenance.

“None of the companies had any expertise or track record in procuring and servicing ambulances. The evidence speaks for itself: BEFT Engineering was incorporated on April 20, 2017, primarily to carry out construction, renovation, civil engineering works and electrical engineering works; Elok Consult was incorporated on July 25, 2017, to carry out management consultancy, civil works, roads, and building construction;

“Prestige Era Company Limited was incorporated on April 19, 2017 with its objects being to carry out general supply, road and building construction, oil and gas products dealer, transport and haulage. None of these companies had expertise in ambulance procurement and after-sales maintenance. This must explain why the Auditor-General exposed SGAGL for using staff of the National Ambulance Service for their maintenance contract”.

Samuel Okudzeto Ablakwa, MP North Tongu Constituency

Inflated Costs and Misleading Statements

In his detailed rebuttal, Honorable Ablakwa exposed discrepancies in the costs of the ambulances procured by SGAGL.

He revealed that payment vouchers from the Ghana Integrated Financial Management Information System (GIFMIS) show varying costs for ambulances of the same specifications, with some payments significantly exceeding the $133,000 per ambulance claimed by SGAGL.

“The official payment vouchers obtained from GIFMIS also expose another blatant fabrication — the payments these 7 companies received were for 4X4 Mercedes Benz Sprinter 316 CDI Ambulance Vehicles and not a varied inferior 4X2 as claimed in SGAGL’s statement. Another case of financial loss to Ghana”.

Samuel Okudzeto Ablakwa, MP North Tongu Constituency

Honorable Ablakwa thus accused the SGAG of reckless and unconscionable inflation of prices, leading to a financial loss of over $29 million to the state.

Auditor-General’s Findings

Moreover, Honorable Samuel Okudzeto Ablakwa supported his claims with findings from the Auditor-General’s Performance Audit Report on Fleet Management of the National Ambulance Service.

The report, he noted sets the unit cost of a new, fully equipped ambulance at $80,000, far below the prices charged by SGAGL.

He also highlighted that the Auditor-General identified numerous violations of Public Procurement Authority (PPA) regulations by SGAGL, further discrediting their compliance claims.

After-Sales Service and Spare Parts Deal

In addition, Honorable Ablakwa criticized the after-sales service and maintenance agreement signed by SGAGL, noting inconsistencies in the dates and details provided by the company and the Ministry of Health.

He also condemned the exorbitant $34.9 million spare parts deal, describing it as a “sweetheart deal” that lacks parliamentary approval and further illustrates the pervasive irregularities in the ambulance procurement process.

In concluding his response, Honorable Ablakwa reaffirmed his commitment to cooperating with the Office of the Special Prosecutor and leading efforts in parliament to address the alleged malfeasance in the ambulance procurement transaction.

He vowed to continue pursuing justice and ensuring that all involved parties, especially politically exposed persons, are held accountable and that public funds are fully recovered.

READ ALSO: MTN Ghana Calls for Collaboration Amongst SMEs and Key Players

Tags: Ambulance ScandalNepotismOffice of the Special Prosecutor (OSP)Samuel Okudzeto AblakwaService Ghana Auto Group LimitedStephen Okoro
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