Ghana: Saglemi Housing Project Case - A-G Files Additional Witness Statement

The Office of the Attorney-General (A-G) and Ministry of Justice yesterday filed additional witness statement in the ongoing trial of Alhaji Collins Dauda and Dr Kwaku Agyeman-Mensah, both former Ministers of Water Resources, Works and Housing (MWRWH) for causing $200 million financial loss to the state in the Saglemi Housing Project.

The case has been adjourned to June 26.

The accused and three others have pleaded not guilty to 70 charges levelled against them by the state and are currently on bail.

The others are the former Chief Director, Alhaji Ziblim Yakubu, Andrew Clocanas, Executive Chairman of Construtora OAS Ghana Limited and Nouvi Tetteh Angelo, Chief Executive Officer and owner of Ridge Management Solutions Ghana Limited.

Mr Godfred Yeboah Dame, Attorney-General and Minister of Justice, then prosecuting, said when Alhaji Dauda took office on February 27, 2014, without parliamentary approval, the accused reviewed the original agreement and signed the first and restated agreement with Construtora OAS, represented by its Chairman.

He said even though a total amount of $196,428,891.66

had been spent on the Saglemi Affordable Housing Project, with the contractor having been paid $179,904,757.78, investigations revealed that the cost of works executed on the site, including consultancy services, was about $64,982,900.77.

Mr Dame said that only 651.75 acres of land out of the 2,172 acres of land made available by the MWRWH to the contractor for the project had been developed.

He told the court that investigations further revealed that only 668 housing units were completed by the contractor.

Mr Dame stated that these houses were, however, not habitable, adding that not a single house under the project had been sold and the facility remained unpaid, resulting in huge financial loss to the State.

Mr Dame said that in August 2012, then President John Dramani Mahama, granted executive approval to the MWRWH for the construction of 5000 affordable housing units for sale to workers through mortgage arrangements provided by the Ghana Home Loans to be implemented by Construtora OAS Limited.

The A-G said the project was to be funded by a Buyer's Credit of $200 million provided Messrs Credit Suisse International (Credit Suisse).

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