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in General News

NSA Busts Payroll Fraud In Service Scheme

Lilian Ahedorby Lilian Ahedor
May 15, 2025
Reading Time: 5 mins read
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NSA case halted over new findings

National Service Authority

Ghana’s National Service Authority (NSA) has uncovered a major payroll fraud in the Birim North District of the Eastern Region, exposing a deeply rooted scheme that has defrauded the state of thousands of cedis. 

According to a formal statement issued by the NSA, the scheme was unearthed through a whistleblower collaboration and implicated two senior district officials — the District Manager and the Management Information Systems (MIS) Manager.

During a meeting held earlier this week, the two officials were confronted with concrete evidence linking them to the payroll fraud. 

Following further discussion, both individuals reportedly admitted to their roles in the misconduct. In light of these admissions, the Authority has interdicted the two officers pending further investigations.

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“Preliminary findings indicate that the two managers intentionally validated and processed monthly allowances for at least 29 individuals for the 2024/2025 service year and 49 service persons in the 2023/2024 service year who were either on ‘Study Leave with Pay’ or already in full-time employment, misrepresenting them as regular National Service Personnel.” 

National Service Authority (NSA)

According to the Authority, this recent revelation is part of a larger systemic payroll fraud that has plagued the Authority for years. 

National Service Authority asserts verifying National Service Personnel
National Service Personnel

“We are aware this is a broader canker within the National Service Authority nationwide,” the statement warned, highlighting the nationwide scope and depth of the fraudulent practices.

Payroll Fraud Exposes Deep-Rooted Corruption

The Authority further disclosed that ongoing reforms aimed at cleaning up the National Service enrolment process have revealed a troubling pattern. 

Some individuals currently working in permanent positions such as teachers, nurses, midwives, customs officers, and employees in ministries, departments, agencies, and the private sector have managed to fraudulently enroll in the National Service Scheme.

These individuals, despite receiving full-time salaries, reportedly concealed their employment status in order to register as regular service personnel — a direct violation of public service laws. 

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NSA uncovers payroll fraud
National Service Personnel

By doing so, they gained access to monthly service allowances, defrauding the state under the guise of fulfilling their mandatory National Service obligations.

“Such individuals are allowed to register and serve to fulfill legal obligations under the National Service Act: however, these persons are not regular National Service Persons, so they are not entitled to monthly service allowances.” 

National Service Authority (NSA)

It was emphasized that this ineligibility is clearly stated in appointment letters and enrolment documentation.

Despite these rules, the Authority revealed that certain employees colluded with District, Municipal, and Metropolitan Managers — sometimes without the knowledge of central NSA staff — to alter their status in the system. This manipulation enabled them to receive both their regular salaries and National Service allowances unlawfully.

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This practice, the Authority stressed, is not only unethical but illegal. It constitutes a breach of the Public Services Commission Act, 1994 (Act 482), especially Section 12, which requires public officers to act with honesty, integrity, and accountability. 

The dual payments also amount to unlawful enrichment and misappropriation of public funds.

“This conduct contravenes the ethical and legal standards required of public officers,” the statement read. “It will be addressed with the full weight of applicable laws.”

NSA Warns Of Severe Penalties

To combat this payroll fraud, the National Service Authority (NSA) is now introducing stricter verification processes. 

All enrolment records will be cross-checked against the Controller and Accountant-General’s Department (CAGD) employment database to detect any duplication of payments or identity misrepresentation. 

CAGD to help curb payroll fraud
Controller & Accountant General’s Department (CAGD)

The Authority noted that this is part of its broader commitment to sanitizing the National Service system and restoring public trust.

The NSA also issued a stern warning to its staff: any officer found to be involved in this scheme will face immediate dismissal. 

Public servants who are complicit risk termination from their existing roles, prosecution, and permanent disqualification from future employment in the public sector.

“As part of this ongoing exercise, all culpable individuals who are part of this practice and are rumored to be in their thousands Nationwide are directed to immediately cease submitting their monthly allowance forms to the NSA offices for payment and are further directed to report voluntarily to the NSA Regional Offices by 23rd May, 2025 for rectification of their status in the NSA System.”

National Service Authority (NSA)

Failure to comply, the Authority cautioned, will result in the public exposure of offenders. 

“Their names and photographs will be published without recourse to them,” the statement warned, adding that all cases will be referred to appropriate law enforcement agencies for further action.

The NSA emphasized that the ongoing enforcement operation serves as a strong warning to all individuals engaged in the fraudulent scheme.

According to the Authority, both the National Intelligence Bureau and whistleblowers have been discreetly observing the activities of these individuals for several months.

Reassuring the public, the NSA concluded that its strengthened internal controls are designed to root out fraud, no matter how long ago it occurred. “Anyone who attempts to defraud the system shall be found out, shamed, and held fully accountable.” 

READ ALSO: Qatar, US Sign Deals To Boost Defence And Trade Ties

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Tags: Ghana NewsNational ServiceNSANSA GhanaPayroll Fraudpublic sector
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