President Nana Addo Dankwa Akufo-Addo has ordered an immediate audit of the Strategic Mobilisation Limited (SML) and Ghana Revenue Authority (GRA) five-year consolidated contract.
The GRA contracted SML in 2019 to undertake revenue assurances services.
The agreement between the two entities was to boost revenue assurances in the downstream petroleum sector, upstream petroleum production, and the value chain for minerals and metals resources.
However, various organisations, including Ghana’s legislature, have since questioned the deal, claiming that it was riddled with flaws in its execution.
A statement issued by the Director of Communications at the Presidency on Tuesday, said the President had appointed KPMG, the reputable Audit, Tax and Advisory Services firm, to undertake the audit.
This was to ensure transparency and accountability in the execution of the contractual arrangement.
The statement said the audit would ascertain the rationale or needs assessment performed prior to the contract approval by GRA and assess how the arrangement aligned with specific needs.
It would also assess the appropriateness of the contracting methodology, verifying compliance with legal standards and industry best practices in the procurement process for the selection of SML.
The audit would evaluate the degree of alignment between current activities and the stipulated contract scope and identify any deviations.
It would evaluate the value or benefit that SML has so far offered to the GRA through the engagement; and review the financial arrangements, including pricing structures, payment terms and resolution of any financial compliance issues.
The President has given the audit firm two weeks to submit a report on its findings, along with suitable recommendations, and has directed the Ministry of Finance and the GRA to provide KPMG with all help needed to undertake the audit.
He has also directed the Ministry of Finance and the Ghana Revenue Authority to suspend the performance of the contract, pending the submission of the audit report, including any payments presently envisaged under its terms.