Mills` anti-fraud war moves to Ashanti SFO PROBES ROTTEN DEALS AT KMA

Mrs. Betty Mould-Iddrisu, Attorney-General and Minister of Justice

THE SERIOUS Fraud Office (SFO) in Kumasi has launched investigations into bizarre contracts entered into by the Kumasi Metropolitan Assembly (KMA) and individual private developers.

The investigations would border on award of contracts and issue of leases to developers by the KMA, which resolved at a General Assembly meeting to review and regularize “dubious” contracts and agreements by previous administrations.

The regularization and review of contracts are premised on the fact that most of the contracts and agreements, including Build Operate and Transfers (BOT) had not followed due process and that about 90% of KMA contracts and agreements are in breach of the procedures, and stand the chance of being abrogated.

The position of the Assembly is on the strength of the Local Government Act 462 of 1993 and sections of the Standing Orders of the Metropolitan/Municipal and District Assemblies (MMDAs).

Section 4 (i), Act 462, which dwells on the incorporation of the Assembly states that “Each District Assembly shall be a body corporate with perpetual succession and a common seal, and may be sued in its own name”.

Section 64 of the Standing orders provides that “For the purpose of sealing contracts, bye-laws, agreements and other formal documents, the Common Seal, shall be cast in brass metal in round or oval shape,” while Section 66, sub-section 2, points to the role of the Presiding member and the Secretary of the Assembly, thus “The Presiding Member and the Secretary of the Assembly shall by their signatures, authenticate the affixing of the Common Seal”.

The Chronicle is informed that the Assembly is contemplating revoking a Memorandum of Understanding (MoU) single handedly entered into by the former Chief executive, Mr. Maxwell Kofi Jumah and All State Construction, in which a public land was leased to one Nana Asante for 40 years because it (MOU) was administered outside the Assembly and the legal framework.

The Chronicle has, however, gathered that efforts by the state investigators have hit the rock, as management of the KMA is not co-operating with the SFO, after it called for the probe.

The KMA has refused to furnish the SFO with the necessary documents to enable the investigators to proceed with the probe.

Mr. Wiliam Nutakpor, Head of the SFO confirmed that his outfit had initiated enquiries into a complaint by the KMA. Unfortunately, he said, the management of KMA, as complainant, is not co-operating with the investigators.

Nana Asante confided in The Chronicle that he has valid documents for holding onto the land in dispute, and that he had already been quizzed by the SFO to that effect. He could, however, not produce a copy of the said documents because they were in the custody of a secretary who had traveled outside the country.

Nana Asante said while waiting for the return of his secretary he had applied to the KMA for a copy of the necessary documents to defend his claims.

But it looks like the SFO would not make any headway in their mission, because not only has the KMA been unable to furnish Nana Asante with a copy of the required documents, management had also refused to comply with the orders of the SFO to provide them with the necessary details for the investigations.

The Metro Co-coordinating Director, Mr. Edward Gym, speaking through the Public Relations Officer, Mrs. Jemima Nancy Asare, told The Chronicle that the KMA had not asked for such a probe in the first place, against hard evidence collaborated by the SFO boss.

The feet dragging attitude of the management of KMA in the past three weeks seems to give credence to rumours doing the rounds that some of the staff have been bribed to keep quiet over the issue. The KMA boss, Mr. Sarpong, who until May this year was the Regional Director of the SFO, has expressed his surprise at the “wild” allegations which he described as outrageous.

Nana Kofi Senyah, the Presiding Member of KMA, has also called for an in-depth investigation into the allegations.

Meanwhile, Mr. Andrew Asiamah, the Metro Development Control officer of KMA has denied any such contract between the KMA and All State Construction.

According to him, the KMA had facilitated the issue of a building permit to All State Construction by the Kumasi Planning Committee (KPC), which he said was technically and legally wrong.

He said when the KPC initially raised the question of ownership of the said land lying opposite the Kumasi Children's Hospital at Adum, the KMA, per the then MCD, one Mr. A.A Ampong, indicated in a letter that the KMA had entered into an MOU with All State Constructions.

A check at the legal department of KMA also proved that no lease stands in the name of the said land in dispute. The only available document can only pass as a tenancy agreement or a Memorandum of Understanding, our source disclosed.