Government payroll ghost names cost Ghanaian taxpayers ¢100 million annually – Report
Controller and Accountant-General's Department (CAGD)
A recent report released by the Institute for Liberty and Policy Innovation highlights the ongoing issue of ghost names on the government payroll, resulting in significant financial losses for Ghanaian taxpayers.
The Government Waste Report for 2022 reveals that this recurring problem has caused the loss of millions of Ghanaian Cedis.
The report specifically references the Ghana Education Service Payroll, where a staff audit conducted in 2015 uncovered approximately 2,913 ghost names.
This discovery points to an annual loss of around GHS 100 million due to payroll fraud. It is worth noting that since 2011, whenever the government seeks assistance from the International Monetary Fund (IMF) for financial bailouts and restructuring, a nationwide employee audit is conducted on the payroll.
Procurement fraud is another area of concern highlighted in the report. It refers to deceptive or corrupt practices associated with the acquisition of goods, services, or works by public or private entities.
Ghana has encountered challenges in combatting procurement fraud, both in the public and private sectors, despite various measures taken to address the issue.
Anti-corruption agencies have been established, and legislation has been enacted to promote transparency and prevent fraud in procurement processes. However, the problem persists.
The report outlines several common forms of procurement fraud in Ghana, including collusion, bid rigging, kickbacks and bribery, misrepresentation of qualifications or capacity, and invoice manipulation.
Collusion involves bidders conspiring to manipulate the bidding process through anti-competitive practices such as price-fixing or contract division.
Bid rigging occurs when parties agree in advance on the winner of a contract, often by excluding legitimate competitors or submitting non-competitive bids.
Kickbacks and bribery involve offering or accepting bribes to influence the procurement process in favor of certain individuals or companies.
Misrepresentation of qualifications or capacity involves providing false information to secure contracts for which the bidder is not genuinely qualified.
Invoice manipulation entails inflating costs or misrepresenting the quantity or quality of goods or services delivered to obtain higher payments.
The report underscores the need for continued efforts to address payroll fraud and procurement fraud in Ghana.
The government, along with relevant agencies and stakeholders, must take decisive actions to curb these practices, promote transparency, and protect the interests of taxpayers.
SOURCE: Coverghana.com.gh
