The Auditor-General has recommended sanctions against former senior officials of the Ministry of Youth and Sports (MOYS) and the Local Organising Committee (LOC) for significant administrative lapses and procurement breaches totaling approximately GHC1.15 billion. The report, released recently, identifies former Sports Minister Mustapha Ussif, former Chief Director William Kartey, and former LOC Chairman Dr. Kwaku Ofosu-Asare as key figures facing potential disciplinary action under Ghana’s Public Procurement Act.
Systemic Irregularities Uncovered
The audit meticulously details a range of financial and procurement irregularities that spanned contract design, approval processes, payment structures, cash management, and post-contract accountability. These issues were not isolated incidents but rather indicative of systemic weaknesses within the ministry and the LOC. In addition to the GHC1.15 billion in administrative irregularities, the report also highlights USD 5.2 million in revenue-related losses and cash control breaches.
Key Officials Facing Sanctions
The strongest recommendations for sanctions are consistently directed at Mustapha Ussif, William Kartey, and Dr. Kwaku Ofosu-Asare. They are cited for multiple breaches, including uncompetitive procurement approvals, justifications for single-source contracts without adequate grounds, weak or absent price benchmarking, poor contract structuring, and failures in enforcing procurement compliance systems.
Furthermore, Prof. Amin Alhassan, Director-General of the Ghana Broadcasting Corporation (GBC), is also recommended for sanctions or liability concerning broadcast procurement irregularities and staff deployment issues. The audit explicitly states that many of these failures necessitate disciplinary action under Section 92 of the Public Procurement Act, 2003 (Act 663), as amended.
Breakdown of Financial Irregularities
The report provides a detailed breakdown of the flagged irregularities, amounting to significant sums:
- GHC18.9 million: Unqualified Contractor Engagement – JDK Travel & Tours, a travel agency lacking accommodation licensing, was reportedly used for hotel services under questionable arrangements. Auditors could not independently verify listed hotel partners.
- GHC336.63 million: Fixed Payments for Variable Services – Fourteen contracts for services like catering, accommodation, and transport were structured as fixed lump sums. Crucially, there were no verification systems such as rooming lists or meal registers to confirm actual usage, meaning this amount was paid without evidence of consumption.
- GH¢38.82 million: Sports Equipment Contract Misalignment – Payments were made for sports equipment that was not supplied due to schedule changes, without contract adjustments or formal variation orders.
- GHC150.6 million: Related-Party Contract Exposure – A significant red flag was raised around contracts awarded to JDK Travel & Tours, Delovely Co. Ltd, and Jorninas Co. Ltd, all linked to a single beneficial owner. These contracts covered transport, logistics, ticketing, accommodation, and sports equipment, totaling GHC150.62 million.
- GHC55.77 million: Unexplained Contract Costs – Contracts were executed without itemised pricing or defined scopes, rendering audit verification impossible.
- GHC20.37 million: Cash Withdrawals Outside GIFMIS – Large cash withdrawals bypassed Ghana’s GIFMIS financial controls, lacking supporting documentation and system traceability.
- $247,194: Weak Cash Reconciliation – Cash received from participating countries was not fully lodged, with a significant portion unaccounted for in proper banking records.
- GHC27.23 million: Unaccounted Merchandise Revenue – Sales of official Games merchandise lacked inventory logs and revenue tracking systems, with only minimal proceeds recorded.
- GHC3.56 million: Services Without Contracts (GBC) – Broadcast-related service providers were engaged without formal contracts.
- GHC44.35 million: Delayed Procurement Ratification (GBC) – GBC broadcast contracts were approved five months after the Games concluded, raising questions about procurement legality.
- GHC40.79 million: Misuse of GBC Personnel – GBC staff were deployed under third-party contracts without cost recovery or revenue-sharing arrangements.
- $4.95 million: Lost Broadcast Revenue Opportunity – Projected broadcast revenue of US$5 million significantly dwindled to US$45,000 in licensing fees, while the state incurred US$3.6 million in production costs. Free access was granted to a major broadcaster without approval.
- GHC482.52 million: Construction Supervision Failures – Consultants certified defective works without adequate quality assurance documentation, resulting in major infrastructure defects.
- GHC45.96 million: Uncompetitive Procurement – Seven procurements were executed without documented approval authority or justification for the procurement method used.
- GHC18.03 million:
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