The government of President John Dramani Mahama has declared a decisive crackdown on individuals responsible for abuse of public funds following the completion of a major audit into government arrears.
The administration says it will no longer tolerate fraudulent claims, weak financial controls, or attempts by public officials and contractors to exploit the country’s financial management system.
The warning was issued in Parliament by Deputy Minister for Finance Hon. Thomas Ampem Nyarko while presenting the concluding remarks of the arrears audit report on behalf of Finance Minister Dr Cassiel Ato Forson.
According to the Deputy Minister, the audit uncovered a deeply troubling pattern of abuse within the country’s public financial management structure, revealing practices that had allowed large sums of public money to be exposed to potential fraud.
“In conclusion, Mr Speaker, this audit has exposed a rotten system designed to fleece the people of Ghana. It reveals not just lapses in our public financial management architecture, but a pervasive and systemic plunder of the public purse.”
Deputy Minister for Finance Hon. Thomas Ampem Nyarko
He explained that the findings revealed a culture in which some public officials and contractors treated state funds as personal entitlement rather than a public trust.
Nationwide Verification of Government Arrears
The arrears verification exercise was initiated by the Ministry of Finance after concerns emerged about the size and legitimacy of financial claims submitted by ministries, departments and agencies.
During the mid year review of the 2025 national budget, Finance Minister Cassiel Ato Forson informed Parliament that the government had launched a comprehensive audit to verify the authenticity of arrears accumulated as of the end of 2024.
The exercise was conducted by the Ghana Audit Service with technical support from international auditing firms Ernst & Young and PricewaterhouseCoopers. Auditors reviewed claims submitted to the Ministry of Finance in the form of unpaid invoices, interim payment certificates and bank transfer advisers.
In total, claims amounting to GH¢68.7 billion were submitted for validation. Out of this amount, GH¢50.5 billion consisted of unpaid invoices and interim payment certificates while GH¢18.3 billion represented bank transfer advisers awaiting settlement.
The verification process sought to determine whether these claims represented legitimate government obligations or irregular requests for payment.
Audit Uncovers Systemic Irregularities
Presenting the final remarks of the report, the Deputy Minister for Finance, Hon. Thomas Ampem Nyarko, said the audit revealed several fraudulent practices embedded within the financial system.
He said investigators discovered instances of fabricated claims, the recycling of previously paid invoices, and the use of forged stores receipt advice to justify payment requests.
These practices, he explained, created opportunities for individuals to attempt to draw money from the public purse through falsified documentation. The Deputy Minister described the situation as evidence of systemic abuse of the country’s financial management structures.
“This audit reveals a culture marked by the fabrication of fictitious claims, the resubmission of recycled invoices, the forgery of stores receipt advice, and the treatment of public funds as personal entitlement rather than as public trust”.
Deputy Minister for Finance Hon. Thomas Ampem Nyarko
Government Rejects Culture of Waste
In view of the above, the Deputy Minister for Finance strongly asserted that Mahama’s government is determined to break with past practices that allowed financial indiscipline to thrive within public institutions.
According to the Deputy Minister, the administration of President John Dramani Mahama will not accept a system that forces taxpayers to bear the cost of fraudulent claims.
“The President Mahama administration refuses to accept this rotten system. We refuse to normalise waste, and we refuse to ask the Ghanaian people to pay for fraud.”
Deputy Minister for Finance Hon. Thomas Ampem Nyarko
The Deputy Minister for Finance said the government intends to implement stricter financial oversight measures to prevent the recurrence of such irregularities.
As part of the government’s response, he disclosed that the Ministry of Finance has formally referred the audit findings to the Office of the Attorney General and the Ministry of Justice of Ghana for further investigation and possible prosecution.
The Deputy Minister indicated that individuals found to have abused their positions or manipulated financial records will face legal consequences. “Those who abused their offices, colluded with contractors, falsified records, or attempted to loot the public purse through the back door will be held to account,” he stated.
The move signals a stronger enforcement approach aimed at holding both public officials and private contractors responsible for financial misconduct.
New Controls to Protect Public Funds
The Deputy Minister for Finance, Hon. Thomas Ampem Nyarko, also announced that the Ministry of Finance is rolling out new measures intended to strengthen financial discipline within government institutions.
According to the Deputy Minister, the Ministry will introduce stricter verification procedures for all payment requests submitted by ministries, departments and agencies. He explained that government institutions will no longer be allowed to commit public funds without proper budgetary approval and documentation.
“Going forward, no payment will be made without full verification, no commitment will be entered into without budgetary allocation, and no officer, regardless of rank, will be shielded from accountability”.
Deputy Minister for Finance Hon. Thomas Ampem Nyarko
The Deputy Minister concluded that the audit represents a turning point in the country’s efforts to restore discipline in public financial management. He said the government intends to use the findings as the basis for a broader reform of financial control systems across state institutions.
According to Hon. Thomas Ampem Nyarko, the goal is to rebuild trust in government financial management and ensure that public resources are used responsibly.
“This moment marks a decisive break from the past. It is a reset of public financial management and a declaration that discipline has returned to the centre of fiscal and economic governance.”
Deputy Minister for Finance Hon. Thomas Ampem Nyarko
He added that the Ghanaian people expect accountability in the management of national resources and that the government is determined to meet that expectation with decisive action.
