SML Scandal: Special Prosecutor Makes 5 More Arrests Over Alleged Corruption
- The special prosecutor has arrested five more persons as part of the probe into the SML scandal, as events surrounding the case continue to unravel
- The scandal involves suspected corruption between the Ghana Revenue Authority (GRA) and Strategic Mobilisation Ghana Ltd (SML)
- A story from the Fourth Estate investigation first brought the alleged corruption by SML to light
The Office of the Special Prosecutor has arrested five more persons as part of its ongoing investigation into suspected corruption in the revenue assurance contracts between the Ghana Revenue Authority (GRA) and Strategic Mobilisation Ghana Ltd (SML).
The latest arrests included former appointees and associates of SML.
Source: Facebook
According to a statement, these included the CEO of SML, Evans Adusei; Philip Mensah, former Deputy Commissioner (Legal) at GRA, now serving as Legal Consultant to SML; Kofi Nti, former Commissioner-General of GRA; and Joseph Kuruk and Faustina Adjorkor, both officials of the Public Procurement Authority.
Three of the individuals were detained overnight after failing to meet bail conditions, while all five were subsequently granted bail.
These latest arrests follow the earlier arrest of other former top GRA officials by the special prosecutor.
They include Rev. Dr. Ammishaddai Owusu-Amoah, former Commissioner-General of GRA, Isaac Crentsil, former Commissioner of Customs, now the General Manager at SML, and Christian Tetteh Sottie, former Technical Advisor at GRA, now Managing Director of SML.
The special prosecutor’s probe focuses on the legality of the contracts awarded to SML, the procurement processes involved, and the financial implications for the state. As part of its probe, it even raided the SML offices.
Earlier in June, the Importers and Exporters Association of Ghana called on President John Mahama to immediately terminate the SML contract.
The association's Executive Secretary, Samson Asaki Awingobit, has maintained that the contract undermines good governance and called for a full public disclosure of all payments made to SML since 2018.
Awingobit noted to YEN.com.gh that he was invited to aid the special prosecutor's investigations.
"I was officially invited by the OSP, and I went there to help them in their investigations. After oral conversations, the OSP requested a written statement, which I did," he noted.
About the SML scandal
A Fourth Estate investigation first questioned the impact of SML, leading the firm to admit that it was not performing the advertised services that claimed to tackle under-reporting, diversion and dilution.
The investigation also questioned malfeasance in the procurement process to award SML the contract.
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The company has disputed the findings, saying it was given a five-year contract instead.
SML further challenged claims that it takes $100 million annually from its contract.
In January 2024, then-President Akufo-Addo commissioned KPMG to investigate the contract following an exposé by the Fourth Estate, which questioned the impact of SML in the downstream petroleum sector despite being awarded a 10-year $100 million contract.
The audit findings prompted the need to review the revenue assurance contract, highlighting areas for improvement to enhance its effectiveness.
Following the audit, the GRA terminated two contracts with SML; the Audit and External Verification Service Contract (AEVS) with SML.
OSP questions Rev Dr Owusu-Amoah and others
The three former GRA officials currently in the NIB custody were questioned by the OSP upon their arrest.
Some of them reportedly transitioned from the GRA to SML and played critical roles in securing and managing the contracts.
According to a report by Manasseh Azure Awuni, Dr Isaac Crentsil, who served as the GRA’s Commissioner of Customs when the SML contract was signed, now works as the General Manager at SML.
He held the role of Commissioner of Customs from 2017 to 2019 before being seconded to the Ministry of Finance as a technical advisor until he retired from the GRA in September 2022.
Before he was appointed Commissioner, Dr Crentsil led the Post Clearance Audit Unit of the Customs Division from 2015 to 2017.
Mahama promises to scrap shady SML contract
YEN.com.gh reported that President John Mahama pledged to cancel the controversial SML contract at the GRA upon winning power.
Mahama described the deal as corrupt and said it would not have a place under his government.
Proofreading by Samuel Gitonga, copy editor at YEN.com.gh.
Source: YEN.com.gh
