Seth Terkper, a former finance minister, testified before the Economic and Financial Court in Accra that he instructed Dr. Cassiel Ato Forson, his deputy at the time, to write to the Bank of Ghana and request that Letters of Credit be established in favor of Big Sea General Trading Ltd of Dubai for the supply of 30 ambulances to Ghana.
Mr. Terkper, who appeared as the key witness for the defense in a case brought against Minority Leader Dr. Cassiel Ato Forson and two others, testified before the court presided over by Justice Afua Serwaa Asare Botchwey that Dr. Forson had been given permission at a special management meeting he presided over at the Finance Ministry to request the establishment of the Letters of Credit.
“In order to ensure the execution of a contract between the Government of Ghana and Big Sea for the supply of 200 ambulances, the meeting was prompted by a legal opinion they obtained from the Attorney General and the Ministry’s Legal Department. This was done to prevent the payment of a judgment debt in the event that Big Sea sued the government due to protracted delays and violations of the contract.” said by Mr. Terkper.
He disputed assertions made by the Attorney General that Dr. Forson was responsible for the LCs being set up without justification or consent.
Two counts of intentionally causing the state to suffer financial damage by establishing Letters of Credit in favor of Big Sea for the delivery of ambulances “without due cause and authorization” have been brought against Dr. Ato Forson.
n his witness statement, Mr. Terkper went on to explain that he had received a 2014 opinion from the Attorney General stating that failing to carry out the contract with Big Sea would result in judgment debt.
The AG’s decision, according to Mr. Terkper, was unequivocal that “all governmental approvals had been obtained” for the contract, and it was binding on all government entities involved in the deal.
He added that the LCs in question were set up on a “approval basis,” meaning that the Ministry of Health had to sign off on the paperwork from Big Sea attesting to the shipment of the ambulances before approving the Bank of Ghana to pay Big Sea in accordance with the LC. If they were satisfied that Big Sea had complied with all requirements, they would then proceed to authorize the Bank of Ghana to do so.
He argued that the establishment of the LC, which fell under the purview of the Finance Ministry, was distinct from payment, which required Ministry of Health approval, and he questioned how the Ministry of Finance could be held accountable for any flaws in the ambulances when the Ministry of Health was in charge of determining their state and condition.
The importation of the 30 ambulances that are allegedly substandard is the subject of trials for Dr. Ato Forson, Dr. Sylvester Anemana, a former Chief Director of the Ministry of Health, and businessman Richard Jakpa.
Source: Ghana360news.com