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Ronor Motors CEO implicated in GHS9m GRA procurement scandal

NewsRonor Motors CEO implicated in GHS9m GRA procurement scandal

Ghanaian car dealership Ronor Motors and its CEO have been implicated in a GHS 9 million procurement scandal involving the Ghana Revenue Authority (GRA).

According to a report by the Commission on Human Rights and Administrative Justice (CHRAJ), the former GRA Commissioner-General, Reverend Dr Ammishaddai Owusu-Amoah, oversaw ‘irregular and fraudulent’ contract awards to Ronor Motors Ghana Ltd, Telinno Ghana Ltd, and Sajel Motors and Trading Company Ltd for supplying vehicles and logistics.

The report highlighted that Ronor Motors failed to pay a 12.5% VAT amounting to GHS 3,890,040.00, along with other levies, and had not filed any returns as of October 2022.

CHRAJ’s investigation follows a petition received in 2022 filed by the Movement for Truth and Accountability (MFTA).

The report noted that the contracts were inflated, fraudulent, duplication, and, in some cases, nonexistent contractors.

According to CHRAJ, despite the last-minute attempt by the petitioners to withdraw the complaint, they proceeded with the investigation, which revealed a financial loss to the state amounting to USD 826,551 round about GHS 8,971,933.43).

The CHRAJ report concluded that the former GRA boss presided over fraudulent and irregular contract awards to three companies.

The companies have been listed to us: Ronor Motors Ghana Limited, Telinno Ghana Limited, and Sajel Motors and Trading Company Limited.

CHRAJ also found that the companies involved were not tax compliant at the time, adding that two of the companies, Telinno Ghana Limited and Sajel Motors and Trading Company Limited, could not be traced.

CHRAJ has also referred the former GRA boss for prosecution after their probe found him culpable of procurement breaches in a vehicle supply contract.

Rev Ammishaddai Owusu-Amoah has been accused of corruption, fraud, and procurement breaches resulting in a financial loss of GHS 8,971,933.43 to the state.

CHRAJ has also banned the former GRA boss from holding any public office for five years

Also, CHRAJ has urged the Board of the Public Procurement Authority to prohibit Sajel Motors Ltd and Telinno Ghana Ltd from engaging in any future business with the state.

They further urged  PPA to ensure strict enforcement of the Public Procurement Regulations, 2022 (L.I. 2466).

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