Gov’t Slaps Agyepong with Final Demand Over Equipment Deal Scandal
By Gifty Boateng The Attorney-General’s office has escalated its confrontation with J.A. Plant Pool (JAPP) Ghana Limited, demanding the recovery of over $2 million in alleged overpayments and nearly GH¢39 million in unpaid taxes and levies linked to a 2024 equipment supply contract under the District Road Improvement Programme (DRIP).
In a formal letter dated 6 October 2025 and addressed to JAPP’s Executive Chairman, Joseph Siaw Agyepong, Deputy Attorney-General Dr Justice Srem-Sai outlined the state’s position following a forensic audit into the contract. The audit, conducted in collaboration with the National Intelligence Bureau (NIB), concluded that the government had overpaid JAPP by $2 million for the supply of 2,420 units of earth-moving equipment.
The contract, originally valued at $178.7 million, was found to have an actual invoice value of $176.7 million. The Attorney-General is now demanding a refund of the excess amount, with interest calculated at prevailing bank rates on a compound basis.
In addition to the overpayment, the government is seeking to recover GH¢38.8 million in taxes and levies that were allegedly evaded when JAPP cleared 190 additional units of equipment at Ghana’s ports without the requisite import duties. These units comprising excavators, tipper trailers, tractor trucks, mining trucks, and fuel tankers were not covered under the tax exemptions granted by the Ministry of Finance for earlier consignments.
The letter warns that failure to comply within seven days will trigger legal proceedings. “We shall, without further recourse to you, proceed and resort to other lawful avenues for enforcing the above demands,” the letter states.
JAPP has rejected the allegations, describing the $2 million discrepancy as a clerical error and accusing the Attorney-General of presenting a “partial narrative” that could damage the company’s reputation. In a public statement, the company insisted that the contract sum was correctly stated and fully executed, and denied any wrongdoing in relation to tax obligations.
However, Attorney-General Dr Dominic Ayine remains unmoved. Speaking during a public engagement on 24 October, he reaffirmed the government’s position and threatened to release evidence to support the audit findings. “We have investigated and we have the evidence. If they are making that claim, we’ll come out with the truth,” he said.
The dispute has placed renewed scrutiny on procurement practices under the DRIP initiative, which was championed by former Vice President Dr Mahamudu Bawumia. The programme, intended to boost rural infrastructure through the supply of heavy-duty equipment to district assemblies, is now mired in controversy over financial accountability and tax compliance.
The Ghana Revenue Authority has been instructed to assess JAPP’s tax liabilities and initiate recovery processes. The Attorney-General’s office has also signalled its readiness to pursue the matter in court if the company fails to meet the demands.
With the government under pressure to demonstrate fiscal discipline and transparency, the outcome of this standoff could set a precedent for how future contract disputes involving politically connected firms are handled.
