The Ministry of Foreign Affairs and Regional Integration (MFA) has refuted a statement by Hon. Samuel Okudzeto Ablakwa, in which he claimed to have exposed and prevented the purchase of the Oslo Chancery at an inflated price of US$12.2 million, describing the statement as both misleading and untrue.
Accordingly, the Ministry noted that following the Government of Ghana’s decision to open a Resident Diplomatic Mission in Norway, the Ministry dispatched a team to carry out the requisite preparations for the Mission’s establishment
Furthermore, the Ministry stated that this involved a trip to Norway to, among other tasks, scout out suitable properties for rent or purchase to serve as the Chancery Building and Ambassador’s Residence.
“The team, in its report to the Ministry, recommended that a technical team undertake an inspection of the identified properties. In order to trigger the laid down procedure towards the acquisition of the property that would be recommended by the technical team, expression of interest in the identified properties was made by officials of the Ministry”.
Ministry of Foreign Affairs and Regional Integration
Moreover, the Ministry stated that during the property procurement process, it adhered to certain procedures, including commissioning a local attorney to conduct a comprehensive due diligence report on the property’s ownership and any potential liabilities or encumbrances associated with it.
The Ministry further stated that it reviewed and considered a draft Sale Agreement Contract, and subsequently engaged in negotiations to finalize the purchase price.
The Ministry stated that it went through the approval process, which involved submitting reports to the Public Procurement Authority (PPA) and the Ministry of Finance and obtaining the PPA’s approval which empowered the Ministry to move forward with accepting an offer to purchase a property.
Furthermore, the Ministry indicated that the property for the Chancery building was acquired for a sum of 100 Million Norwegian Kroner, equivalent to approximately USD 12 million at the 2018 exchange rate.
As such, the Ministry stated that the selling price of 100 Million Norwegian Kroner was explicitly stated in all publicly available documents, brochures, and marketing materials issued by the property’s sellers, and was also openly disclosed to the general public and all interested parties who visited the property.
Transparency in Property Pricing
Furthermore, the Ministry pointed out that publicly listing property prices is a common practice in most developed countries, and highlighted that during the court proceedings, all parties involved consistently referenced the same figure of 100 Million Norwegian Kroner as the selling price.
As such, the Ministry clarified that it never provided formal acceptance of the offer from the sellers, a fact repeatedly asserted by the Ministry throughout the prolonged legal battle with the sellers, which spanned four years.
Moreover, the Ministry noted that its position was vindicated by the District Court of Oslo in Norway, which ruled in its favor on December 16th, 2021, dismissing the sellers’ claim of a binding contract and fully exonerating Ghana from any contractual obligations.
Accordingly, the Ministry stressed that it would have required the necessary approvals from the Public Procurement Authority (PPA) and the Ministry of Finance to validate its acceptance, and without these approvals, it was not empowered to convey acceptance.
As such, the Ministry contended that since the necessary approvals had not been obtained, no valid acceptance was possible, and consequently, no legally binding contract existed.
“Unsurprisingly, an Appeal by the Sellers of the property against Ghana was also dismissed by the Court of Appeal on 22nd November 2022. The Supreme Court of Norway on 20th March 2023 unanimously decided not to repeal the Appeal Court’s ruling in the dispute between Sellers and Ghana, thus bringing closure to this matter”.
Ministry of Foreign Affairs and Regional Integration
Accordingly, the Ministry declared that any claims or insinuations suggesting corrupt activities by officials are not only inaccurate but also a deliberate distortion of the truth, and any attempts to create such an impression are entirely misleading.
As such, the Ministry expressed strong disapproval of Hon. Samuel Okudzeto Ablakwa’s comments, deeming them unacceptable and inappropriate.