DIC Can’t Account For GH¢15m

Reports indicate that the Divestiture Implementation Committee (DIC) has failed to account for GH¢15,211,418.41 being revenue accrued from the sale of six firms.

The amount is the total revenue accruing to the government and which should have been lodged into the Consolidated Fund by the DIC.

A source at the Audit Service revealed to The Ghanaian Times that the DIC used the proceeds in running its secretariat as recurrent expenditure.

“They have always argued that they are not adequately resourced to carry out their functions,” the source said, in a comment on the Auditor-General’s report on the DIC.

The revenues from the firms not accounted for by the DIC, are Zoomlion acquiring the Ghana Consolidated Diamond Company Limited at US$ 2,700,000 equivalent of GH¢8,100,000 as at then; PSC Tema Shipyard investing in the Tema Shipyard and Dry Dock an amount of US$2,257,438, equivalent of GH¢ 6,772,314, and Phyto-Riker’s investment of GH¢14,300 into GIHOC Pharmaceuticals.

Others are Crystal TV’s GH¢102,584.35 investment in Crystal Ads, as well as its GH¢222,220.06 investment in Coastline TV.

According to the source, the Controller and Accountant-General, wrote a letter to the Executive Secretary of the DIC for a management response, but it was not forthcoming.

The money still remains unaccounted for by the DIC, despite a letter   from the Auditor-General, Richard Quartey, to the Controller and Accountant-General and the Ministry of Finance to ensure that they are lodged into the Consolidated Fund.

According to the Auditor-General, non payment of the divestiture proceeds into the Consolidated Fund contravened regulation 10 of the Financial Administration Regulation 2004.

The regulation states: “Receipts into the Consolidated Fund shall be broadly classified as follows (a) Public moneys which include (i) revenue-tax, tax revenue and grant, (ii) Other receipts –the product of borrowing, repayment of government loans and advances, sale of government securities, sale of government equity investments, sale of other government assets and (b) Trust moneys which are deposits, special and trust funds.

By Salifu Abdul-Rahaman

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