The need for value for money in government is a crucial aspect of responsible public financial management.
It ensures that limited resources are utilized efficiently and effectively to deliver quality public services and achieve desired outcomes.
Value for money promotes transparency, accountability, and fiscal sustainability, ultimately building trust between citizens and the government.
Accordingly, Hon. Samuel Okudzeto Ablakwa has raised concerns about the government’s financial prudence and prioritization of national interests, questioning whether its actions truly serve the best interests of the country.
Ablakwa revealed that Ken Ofori-Atta, the former Finance Minister, approved a staggering US$34,904,505.00, by a letter dated February 9th, 2024, to be paid to the discredited Service Ghana Auto Group Limited for the procurement of spare parts for the 307 ambulances purchased by the government in 2019.
Ablakwa pointed out that, on the same day, February 9th, 2024, Ken Ofori-Atta, directed the Controller and Accountant-General to release an additional US$10 million, equivalent to GH₵ 120,711,000.00, in a move that raised further questions about the government’s financial management.
“My impeccable tracking of this transaction confirms that the Controller and Accountant-General processed and released the GH₵ 120,711,000.00 on February 23, 2024 which was promptly received in the accounts of Service Ghana Auto Group Limited”.
“An analysis of this dubiously outrageous transaction valued at US$34,904,505.00 for spare parts for 307 ambulances, actually translates into US$113,695.456.00 per ambulance. Instructively, checks from many Mercedes Benz ambulance dealers across the world show that US$113,695,456.00 is far more than the value of a considerable number of modern fully equipped new ambulances”.
Hon. Samuel Okudzeto Ablakwa
Hon. Ablakwa expressed dismay and questioned why Ken Ofori-Atta would approve a dubious and exorbitant deal worth US$113,695,456.00 for spare parts when, for the same amount or even less, he could procure brand new, fully equipped, state-of-the-art Mercedes Benz ambulances, suggesting a potentially gross misuse of public funds.
He noted that further parliamentary oversight reveals that Service Ghana Auto Group Limited was incorporated on April 24, 2020.
As such, Ablakwa indicated that Service Ghana Auto Group Limited was therefore incorporated more than a year after the 307 new ambulances were commissioned by President Akufo-Addo on January 28, 2019.
“Typical of how this incurably corrupt government operates, the company was handpicked without a competitive procurement process”. – Hon. Samuel Okudzeto Ablakwa
Prioritizing Value for Money in Government Spending
Moreover, by prioritizing value for money, governments can maximize the impact of every money spent, reduce waste and inefficiencies, and allocate resources to the most impactful programs.
This approach enables governments to deliver better services, stimulate economic growth, and foster a sense of responsible stewardship.
Hon. Samuel Okudzeto Ablakwa vehemently criticized the government for its apparent negligence and lack of transparency in conducting this transaction, suggesting a complete failure to perform adequate due diligence and prioritizing vested interests over public welfare.
He questioned the true intentions behind the Akufo-Addo/Bawumia government’s procurement of ambulances, wondering if the goal was genuinely to save lives or if the acquisition was merely a pretext to line the pockets of corrupt politicians and their cronies, masquerading as a legitimate government transaction.
“Deeper parliamentary oversight through GIFMIS assessments also confirms that even before this US$34.9million scandalous Ken Ofori-Atta/Agyeman-Manu send-off package, Service Ghana Auto Group Limited has received a colossal GHS115,342,573 in payments for shoddy servicing of the ambulances between 2020 and 2023”.
“This means, so far, Service Ghana Auto Group Limited alone will be making a mind-boggling GH₵ 653 million from these ambulances. This figure is more than double of how much the ambulances cost us in 2019. (Prevailing exchange rate of US$54million which was the cost of the 307 ambulances in 2019.)”
Hon. Samuel Okudzeto Ablakwa
Ablakwa questioned how a government claiming to protect public funds could award a US$34.9m contract to Service Ghana Auto Group Limited despite an audit report exposing inflated invoices and no value for money in a previous GH₵115m deal.
He highlighted that this company was previously exposed in a viral video for misusing an ambulance sent for servicing, instead using it to transport cement, revealing their unscrupulous practices.
Ablakwa noted the irony that a government eager to convict Minority Leader Ato Forson for alleged financial loss of €2.37m in the ambulance trial is now responsible for a real financial loss of over US$34.9m in another ambulance deal, showcasing reckless and criminal extravagance.
“I intend to formally petition the Office of the Special Prosecutor this week for his office to conduct criminal investigations into this sordid affair. Stinky create, loot, and share shall be fearlessly defeated!”
Hon. Samuel Okudzeto Ablakwa
As such, value for money is essential in government to ensure that public resources are used wisely, and citizens receive the best possible services and outcomes.
By adopting a value-for-money approach, governments can demonstrate their commitment to transparency, accountability, and fiscal responsibility.