The Bulk Oil Storage and Transportation (BOST) Company, has found its way back into the news again after it made the headlines in 2017 over it sale of contaminated fuel under Managing Director (MD) Alfred Obeng Boateng.
It new management, has been hit with a fresh scandal involving a contract awarded by its predecessor headed Edwin Provencal at an initial cost of Five Million Six Hundred and Fifty-Three Thousand, Four Hundred and Fifty-Five Ghana Cedis, Sixty-Two Pesewas (GHs 5, 653, 455.62) inclusive of all relevant taxes.
But the multimillion cedi contract has hit a snag including reports that it was never executed except to install non-functional navigational equipment, conducting oil changes, and painting the vessel.
The multimillion cedi contract, awarded in October 2022 was for the contractor to rehabilitate tugboats, modification of discharge pipelines and installation of pumps at BOST’s Akosombo office in the Eastern Region.
Surprisingly, it has also emerged that, even though the contract was awarded, no one seems to know where the said contractor is amidst suspicion the individual is in-house at BOST who has risen to become a top and current management figure, raising conflict of interest concerns.
This is despite evidence that a total of GHs 565, 345, 56, representing 10% of the contract, was paid to the contracting company M&B Limited.
Details of the questionable contract first came to the attention of the Transition Team last December with the contract sum said to have jumped to nearly GHs6 million. Despite the massive expenditure, the tugboats remain unfit for use, igniting concerns about mismanagement and procurement transparency.
A copy of the contractual agreement letter dated October 14, 2022 signed between Edwin Provencal and MD of M&B Limited, Bernardson A. Akolgo said BOST was pleased to award the company the contract for the repair of tugboats, modification of discharge pipelines and installation of pumps at Akosombo.
The letter read “You are hereby advised to proceed with the fulfillment of Performance Security of Five Hundred and Sixty-Five Thousand, Three Hundred and Forty-Five Ghana Cedis, Fifty-Six Pesewas (GHs 565, 345,56) being 10% of the stated amount and signing of contract within four (4) days of receipt of this letter. You would be required to provide a Performance Bond (at a later date) in the form of a bank guarantee (10%) or insurance Bond (30%) of the contract sum covering the tenure of the contract”.
But more than two years after awarding the said contract, there is no proper evidence of the said work.
The site at Akosombo according to workers there remain the same.
There is additional claim that there is the involvement of a unnamed General Manager (GM) at the state fuel company, who is has allegedly personally supplied the installed equipment and logistics for the oil changes, raising questions about procurement transparency and accountability.
The responsibility now lies with the new management headed by Managing Director Afetsi Awoonor, who are expected to not only shine light on the matter but investigate it to bring conclusion to the allegation.
BOST is not new to scandals of this nature as it can be recalled that in the early months of the Akufo-Addo government, it got itself in a messy controversy after it inappropriately discharged 5 million litres of contaminated fuel to a private company Movenpina Oil under some questionable circumstances.
Under the then first MD Alfred Obeng Boateng, BOST topped discussions for months amidst call for him to resign.
In 2018, there was another scandal under new MD George Mensah Oakley where there was allegation that about 600, 000 litres of its contaminated fuel disappeared.