Social Security and National Insurance Trust (SSNIT) has sued Intercity STC for failing to pay the required trust contributions for more than 5,000 workers across the country.
According to reports, Intercity STC owes SSNIT a total of GHC3, 503, 743. A breakdown of the figure shows that the transport company has SSNIT contribution arrears of about GHC 1.3 million whereas the remaining of about GHC 2.2 million is accumulated penalty on delayed payment.
Allegations leveled against Intercity STC, the nation’s premier transport company, indicates that it failed to pay the contributions from September 2019 to May 2020.
The accused has been hit with two charges which are; the failure to pay the contributions and the failure to pay penalty on delayed payments, contrary to Sections 83 (1)(d)(h) of the National Pensions Act, 2008 (Act 766) as amended by section 7 of the National Pensions (Amendment) Act, 2014 (Act 883).
The case which was filed at the Accra District Circuit also saw the names of four directors namely Samuel Oppong, Nana Akomea, Jaezi Orleansi-Lindsay and Eva Mens.
The Prosecuting Officer, Mary Ann Kumi Bediako, told the court that the accused were served with a demand notice on July 19, 2020 but failed to comply.
She said she had no option after the grace period passed but to proceed with legal action and criminal summons for the accused to answer the charges.
Meanwhile, the accused did not appear in court but their lawyer was present when the case was called.
Counsel for the accused, Felix Nortey, invoked Section 70, Act 30 of the Criminal Offences Act and pleaded with the court to excuse the directors because they also work with other government institutions and cannot be present always.
Mr Nortey also prayed the court to be granted permission to negotiate with SSNIT to deal with the debt.
The presiding judge over the case, Her Honour Ama Hathia Manu, demanded for a representative, preferably a management member to be present before any considerations for excuse for the directors.
The case was then adjourned to September 19, 2020.
Meanwhile, Intercity STC is expecting a COVID-19 bailout from the government, part of which is expected to be used to clear the arrears.
The COVID-19 pandemic affected operations of the company during the partial lockdown in April, 2020. The firm ceased operations temporarily during the three-week period when movement was restricted in Accra, Kumasi, Tema and Tamale.
STC is a Ghanaian joint state and privately-owned transport company which operates, transport services, courier services, driver training as well as vehicle valuation, vehicle testing, and maintenance.
Over the years, the company has gone through changes and operation challenges and is now known as the Intercity STC Coaches Limited since October 2003. It was first called the State Transport Company Limited until it was incorporated in June 1995 under the Ghana’s Companies Act 1962 (Act 179).
It runs services beyond Ghana to neighbouring countries such as, Togo, Cote D’voire and Burkina Faso.