Friday, 29 May

Attorney-General sues J.A. Plantpool over alleged excess payment under DRIP contract

News
J.A PLANT POOL GHANA LIMITED

The Attorney-General has initiated legal action against J.A. Plantpool Ghana Limited and its Executive Chairman, Joseph Siaw Agyepong, seeking the recovery of US$2 million over what the State describes as an overpayment linked to the District Road Improvement Programme (DRIP).

The suit, filed at the High Court in Accra, alleges that the company received funds beyond the actual value of equipment supplied under a procurement agreement worth approximately US$178.7 million.

According to the statement of claim, the contract, signed in February 2024, covered the supply of 2,420 earth-moving machines under the government’s DRIP initiative.

However, the Attorney-General argues that while the agreement quoted a total contract value of US$178,704,739.50, the actual arithmetic value of the equipment listed in the contract schedule amounted to US$176,704,739.50, leaving an unexplained difference of US$2 million.

The State contends that the disputed amount had no contractual justification and was paid without any corresponding goods or services being delivered.

Court filings indicate that the agreement was executed between the Office of the President, the District Assemblies Common Fund, and J.A. Plantpool through a single-source procurement arrangement approved by the Public Procurement Authority in January 2024.

The Attorney-General further alleges that the inflated contract figure formed the basis for payments made under the arrangement, including mobilisation funds and other transfers processed through OmniBSIC Bank.

The suit also claims that Joseph Siaw Agyepong, who signed and supervised the contract on behalf of the company, either knew or reasonably ought to have known about the discrepancy in the figures.

According to the filing, both the company and its Executive Chairman continued to retain the disputed US$2 million despite the alleged inconsistency.

The State is therefore asking the court to order the defendants, jointly and separately, to refund the amount together with interest at the prevailing commercial rate until the full payment is made.

The Attorney-General is also seeking any additional relief the court may deem appropriate.

Court documents further indicate that the National Intelligence Bureau has been instructed to take steps toward charging directors of J.A. Plantpool in relation to the matter.

Source: Classfmonline.com/Zita Okwang