MP appeals to CHRAJ to probe BOST over $3m payment to Springfield

By Clement Edward Kumsah
BOST

NDC Member of Parliament for Bongo Constituency, Edward Bawa, has petitioned the Commission on Human Rights and Administrative Justice (CHRAJ), to investigate the Managing Director and deputy of the Bulk Oil Storage Transportation, BOST for unlawful payment of some $3 million to Springfield Energy.

In the petition, the Minority lawmaker said: “The respondents knew that Springfield did not merit that but still went ahead to effect payment to them.

“In line with my duties as a citizen of this nation, and in light of the above, I have no option than to petition CHRAJ for an investigation into the matter, and the application of the necessary sanctions,” the petition read.

The MP is asking CHRAJ to “investigate all instances of alleged or suspected corruption and the misappropriation of public money by officials, and to take appropriate steps including reports to the Attorney General, and the Auditor-General resulting from such investigation.”

Present report on BOST's $3m payment to Springfield - Akufo-Addo orders

Background

Springfield Energy brought its product to BOST’s tank farm in 2013 October for storage. Part of the product could not be accounted for.

Springfield Energy took advantage of this loss and made a claim $20,226,717.75 which was far more than the actual quantity loss.

At the time when John Kojo Akoful, now the head of Finance, was the acting M.D. of BOST. On the 18th November 2015, Springfield Energy filed a writ against BOST at an Accra High Court, claiming the following:

• Recovery of $ 20, 226,717.75 for their lost products
• At the Interest rate of 19% from October 2015 till the final payment of the principal;
• Loss of profit of $3,420,000.00

When Awuah Darko assumed office as the M.D. of BOST, he studied the documents on this case and challenged all the claims of Springfield. He subsequently engaged Ernst and Young Audit Firm to audit the transaction to ascertain the actual quantity of products lost.

Ernst and Young found out that the exact amount of product lost was worth $ 11, 104, 143.2 which was accepted by both BOST and Springfield agreed and accepted this finding.

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