Eleven aggrieved contractors of the Affordable Housing project at Effiduase, a suburb in the Eastern Regional capital Koforidua, have threatened to file a lawsuit against government over re-awarding the contract to different contractors without paying them for their work done on the project since 2007.
The affected eleven contractors are; Kwality construction Investment Ltd, Josam Company Ltd, Osajoe Enterprise, Udaway Company Limited, Okoampa Ltd, Malkana Enterprise, Bomaf Ventures ,Umaco Ltd, Soadjei Construction ,Kwadjei Construction and Agya Agyena Ltd .
The reliefs being sort by these contractors are; Payment of retention, payment of additional works after last payment certificate, compensation, damages, interest on payment and punitive cost.
A letter of notice of intention to take legal action written to the Minister of Works and Housing, Atta Akyea and State Housing Company, by Lawyer of the aggrieved contractors which has gotten into the media space explains that, about 18 contractors signed an agreement with the Ministry of Works and Housing individually on July 10, 2007 to commence work on the Affordable Housing Project in Koforidua Effiduase, an intervention by then John Agyekum Kufuor led administration to provide cost-effective housing projects to Government workers.
The aggrieved contractors say they embraced the project with avidity and worked to reach various stages of completion. However, due to inability of the Ministry to supply the needed materials for the project, same was stalled, having sunk in their own resources to reach the present stage of the project.
The contractors said, “not long ago at site meeting in Koforidua with the President of the Republic and subsequently, in another meeting with the Deputy Minister of the Ministry in Accra, my clients were given assurance to exercise patience as the Government was sourcing for funds to continue with the project, but nothing was heard on the matter again.”
The letter continued that “surprisingly, however, it has come to the notice of my clients that the project has been re-awarded to the state Housing Company without any notice or reference to my clients.”
Some of the contractors told the media that their properties have been seized by their bankers to offset unpaid loans as a result of their locked up funds.
These contractors recounted their ordeals as some say this locked up funds have ruined their families as they have lost their source of livelihood.
According to these affected contractors, one of them is currently bedridden as he is battling with stroke and has no money to pay for proper medical attention.
In 2005, President John Agyekum Kufuor commenced the Ghana Affordable Housing Project, with affordable housing units to be constructed in Asokore Mampong, Kpone, Borteyman, Koforidua, Tamale, and Wa. This project was to provide Ghanaians, most especially government workers affordable, decent homes to live in as they work.
This project received a lot of praise from individuals and civil societies but after the exit of the J A Kufour led administration in 2009, the project almost became a white elephant.
It wasn’t until recently that the project was given life again, with the Akufo-Addo led administration, through SSNIT, approved GHc257 million to complete the Asokore-Mampong Housing Project. The Asokore-Mampong facility has been completed and commissioned by the President on November 5, 2020.