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SML Saga: CDD-Ghana Fellow Calls for Accountability and Transparency

Evans Junior Owuby Evans Junior Owu
June 2, 2024
Reading Time: 3 mins read
rofessor Stephen Kweku Asare

rofessor Stephen Kweku Asare

Professor Stephen Kweku Asare, a Democracy and Development Fellow at the Ghana Centre for Democratic Development, has raised deep concerns regarding the lack of action on multiple violations uncovered by the KPMG’s audit report on the Strategic Mobilization Ghana Limited contract with the Ghana Revenue Authority.  

In a scathing critique, the renowned good governance advocate bemoaned the waning public interest in the KPMG’s audit report highlighting significant breaches of the country’s laws and other statutory regulations.

“We are done with talking about SML and have moved on. Yet, we have an audit report that tells us there are multiple violations of the Procurement Act, GRA Act, and other laws. We are told that Board approvals were not obtained on some key contracts and there is no value for money on several contracts”.

Professor Stephen Kweku Asare, Democracy and Development Fellow, Ghana Centre for Democratic Development

Professor Asare noted that the findings in KPMG’s audit report on the controversial contract suggest systemic flaws in the procurement processes and a worrying disregard for established legal frameworks.

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He emphasised that one of the most alarming revelations is the lack of parliamentary oversight on multi-year contracts involving billions of dollars.

He added that the omission by government officials undermines the principles of transparency and accountability and poses significant risks to the country’s financial health and governance structures.

The Democracy and Development Fellow at the Ghana Centre for Democratic Development strongly criticized the prevalent approach of engaging in brief discussions about the controversial matter without tangible action.

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Ken and Sotthie 1
Ken Ofori Atta, Former Finance Minister and Christian Sottie, Managing Director SML

No Action and Talk Only

He argued that the superficial engagement, which he termed “no action and talk only”, effectively protects those responsible for these violations and perpetuates a culture of “impunity, kleptocracy, and financial mismanagement”.  

Instead, Professor Stephen Kweku Asare advocated for good governance, an effective and more efficient way of addressing the alarming nature of the violations in the report.

He underscored that such an approach demands rigorous enforcement of accountability measures, including the disgorgement of all illegal profits, imposition of civil penalties, and pursuit of criminal prosecutions against those involved.

Additionally, Professor Asare called for the immediate dismissal of public officials who facilitated these unlawful actions and a comprehensive restructuring of the implicated public entities to prevent future occurrences.

“The GOGO way is founded on the principle that no company, irrespective of its value or ownership, should benefit from illegal activities or misconduct”.

Professor Stephen Kweku Asare, Democracy and Development Fellow, Ghana Centre for Democratic Development

He emphasized that such an approach is not a witch-hunt or anti-entrepreneurship, but a necessary pursuit of transparency, accountability, rule of law, and the protection of the public purse.

He contrasts this with the “no action and talk only” approach, which he argued promotes opacity and impunity, leading to the further depletion of public resources.

Professor Asare cautioned that failing to take decisive action not only shields the wrongdoers but also erodes public trust and encourages further violations.

Professor Stephen Kweku Asare, a Democracy and Development Fellow at the Ghana Centre for Democratic Development concluded his statement with an appeal for collective action to safeguard the country’s financial integrity.

He added “If you say a prayer this morning, say one for the public purse too,” underscoring the critical importance of protecting public resources for the sustainable development and prosperity of the country.

READ ALSO: ANC Loses Parliamentary Majority for First Time Since Apartheid

Tags: accountabilityCenter for Democratic Development (CDD-Ghana).GRAProfessor Stephen Kweku AsareSMLSML Saga
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