SML-GRA Brouhaha: Prof. Kobby Mensah demands evidence of prior objections to deal
Prof. Kobby Mensah, a respected political marketing lecturer, has raised questions about the hitherto silent stance of stakeholders on the contract between Strategic Mobilisation Ghana Limited (SML) and the Finance Ministry, as well as the Ghana Revenue Authority (GRA).
Addressing concerns voiced against SML’s capabilities, particularly the argument that a timber merchant may lack qualifications for the IT sector, Prof. Mensah emphasizes the need for comprehensive clarity. He argues that the mere diversification of businesses should not be a sole disqualifying factor, emphasizing the necessity for answers to lingering questions.
“According to the documentary, most of the stakeholders who spoke against the SML deal are saying those activities that SML is carrying out are being done already? If this assertion is true why then did they allow the contract to go on without speaking out against it? What evidences are available to show that they raised objections? How do we tell that questions are not being raised now because someone is interested in it?
“The idea that a Timber Merchant can’t go into IT business is not sufficient to discredit SMLs competencies because businesses diversify, and entrepreneurs or investors are not known to hold competencies in the businesses they venture into before they do so. There are so many unanswered questions that we need clarity on”, he stated.
This discourse follows Prof. Ransford Gyampo’s caution against allowing anti-corruption efforts to be fueled by animosity and misinformation. While advocating for scrutiny of SML’s activities, Prof. Gyampo highlights the importance of discerning the motives behind such investigations to avoid inadvertently hindering local initiatives beneficial to the nation.
There’s absolutely nothing wrong with raising queries about the activities of SML and calling for investigations. But we must be sure of the motives of those of us leading the crusade. It must only be the desire to gate-keep and fight corruption, or else we shoot ourselves in the foot by killing local initiatives and destroying what can potentially be beneficial to us as a nation,” Prof. Gyampo stated.
In response to allegations, SML clarified that its contract spans five years, not the speculated ten, and disputed claims of a substantial annual payment of $100 million. The company challenges any presentation of a 10-year contract and asserts that the 5th PPA Board approved a five-year duration.
Known as the Electronic Metering Management System (EMMS), the SML Ghana system digitizes the entire process chain by providing an end-to-end audit and assurance to GRA in the downstream petroleum sector.
The organization currently has two main divisions with its Tema office specializing in the audit of downstream petroleum products, while the Osu office deals mainly with trade transaction pricing and business process audits.
A report by the Fourth Estate raised questions about the contract’s validity, with Finance Minister Ken Ofori-Atta expanding it and estimating a potential cost of $100 million to the state over the next decade.
Under the terms of the contract, SML is tasked with monitoring and reporting fuel product diversion and dilution, as well as overall noncompliance in the petroleum industry.
This responsibility was previously carried out by the National Petroleum Authority (NPA).
Following this, the Minority in Parliament has called for a full-scale parliamentary probe into the contract between the government and the private entity.
The aim is to safeguard billions of cedis that might have been lost in the downstream petroleum sector.
