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Unclaimed Royalties from Concessionaires – a GH¢33.8 Million Financial Black-Hole
Beside the colossal losses already outlined, Ghana Airports Company Limited (GACL) faces a substantial financial hurdle – unclaimed royalties from concessionaires totaling GH¢33,804,321.
This challenge not only underscores chronic mismanagement at the corporation but also reveals a severe breach of public financial regulations, further imperiling its financial well-being.
Legal Obligations and Financial Mismanagement: Under Section 91 of the Public Financial Management Act, 2016 (Act 921), the Board of Directors of any public entity, including GACL, is mandated to ensure effective management of the entity’s financial resources, particularly in revenue collection.
Failure to collect these monies, whether willfully or negligently, empowers the Minister of Finance, upon Auditor-General’s recommendation, to suspend or withdraw allowances of the entity’s board members.
Despite these clear directives, GACL has neglected to recover GH¢33,804,321 in royalties from concessionaires as of December 31, 2022. This failure reflects a gross oversight by the company’s leadership in enforcing financial discipline and preserving the entity’s interests.
Cronyism and Nepotism:
The Core Issue: At the crux of the unclaimed royalties dilemma lies a troubling reality – many facilities leased by GACL are awarded to individuals and entities closely linked to the political elite, as well as to board members’ and top management’s families.
This bias has fostered an environment of impunity where favored concessionaires operate without the financial scrutiny imposed on others. The expectation of payment from these individuals often falls by the wayside due to their perceived immunity based on influential connections.
This nepotism has eroded governance standards at GACL. The leadership’s failure to enforce payment collection is not an oversight but a deliberate act influenced by personal and political affiliations favoring a select few over the company’s financial health. This partiality has nurtured a toxic climate where financial obligations are disregarded, resulting in substantial losses for GACL.
Impact on GACL’s Financial Health: The preferential treatment accorded to these concessionaires has directly harmed GACL’s financial stability. The failure to recover millions in royalties has drained the company’s liquidity, necessitating reliance on costlier financing avenues like bank overdrafts and loans.
These added expenses have compounded financial pressures on the entity, escalating debt levels and imperiling its sustainability. Furthermore, this culture of cronyism likely dissuades financially responsible and capable businesses from engaging with GACL.
Aware of the uneven playing field, potential concessionaires who could have bolstered revenue may have opted out, depriving the company of lucrative financial prospects.
Governance Lapses and Accountability:
The leadership’s failure to enforce royalty collection from politically connected concessionaires exposes a broader governance breakdown. This transcends mere financial mismanagement; it signifies an ethical collapse questioning the integrity of the leadership.
The continued patronage of political and familial affiliates at GACL’s expense signifies a glaring disregard for transparency, accountability, and fairness that should guide public institutions. Addressing these ingrained issues necessitates a holistic reform of GACL’s governance frameworks.
This entails implementing stringent measures to eradicate cronyism and nepotism, ensuring all concessionaires, regardless of connections, adhere to uniform financial standards.
The board and management must be answerable for their actions, with conflicts of interest pinpointed and eliminated.
Conclusion:
Unclaimed royalties from concessionaires depict a significant financial mismanagement issue impairing the liquidity and overall financial robustness of Ghana Airports Company Limited.
The board and management’s neglect in securing these funds not only violates the Public Financial Management Act but also underscores deep-seated governance issues within the company.
To restore fiscal discipline and accountability, enforcing the Auditor-General’s recommendations and undertaking a comprehensive review of GACL’s financial management practices are imperative. Without such reforms, the company faces prolonged financial instability, risking further performance deterioration
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Rejoicing in the Light: Rev. Fr. Etsey’s Gaudete Sunday Homily Inspires Ghanaian Faithful
In a moving and inspirational homily delivered on the Third Sunday of Advent, known as Gaudete Sunday, Rev. Fr. Michael Dziwornu Etsey of the Holy Spirit Cathedral in Adabraka, Accra, encouraged the faithful to embrace the joy and hope of this sacred time.
Gaudete Sunday, positioned a few days before Christmas, is a day of celebration and rejoicing within the Christian calendar. It signifies the halfway point of the Advent season, a period of anticipation and readiness for the birth of Jesus Christ.
The rose-colored vestments worn by clergy and the lighting of the rose-colored candle in the Advent wreath symbolize this joyous occasion.
In his homily, Rev. Fr. Etsey reminded the congregation of the profound significance of Gaudete Sunday, urging them to rejoice in the promise of salvation and the coming of the Messiah. He highlighted the readings for this Sunday, which center on the theme of joy and celebration.
“The term ‘Gaudete’ is of Latin origin, meaning ‘Rejoice,'” Rev. Fr. Etsey conveyed. “The readings for this Sunday exhort us to do just that – to exclaim joy, to sing joyfully, to rejoice in the Lord always.”
The priest stressed the importance of maintaining this spirit of rejoicing, even amidst the challenges and difficulties that arise in daily life. “In a world often overshadowed by darkness and despair, we are called to be the light,” Rev. Fr. Etsey emphasized.
“We are called to embrace the joy and hope that this Advent season brings, and let it inspire us to instigate the change we desire to see in our beloved Ghana.”
He reminded the congregation that the readings for Gaudete Sunday, notably the testimony of John the Baptist, speak of preparation and anticipation for the coming of the Messiah.
“John the Baptist proclaims, ‘I am the voice of one crying out in the desert, ‘Make straight the way of the Lord!'” Rev. Fr. Etsey quoted.
“This message of preparation and vigilance lies at the core of the Advent season, and it is a call that we must heed with renewed fervor.” Rev. Fr. Etsey’s words deeply resonated with the faithful, who acknowledged the weight and significance of his message. He drew a compelling connection between the joy and hope of Gaudete Sunday and the societal challenges facing Ghana.
“In this season of rejoicing, we must also remember our duty to our fellow citizens. We are tasked to be the voice of reason and justice, to advocate for the marginalized and oppressed, and to diligently work towards constructing a more just and equitable society,” Rev. Fr. Etsey stated.
The congregation erupted into applause at the conclusion of the homily, underscoring the impact of the priest’s words and the importance of his message.
As the service drew to a close, the faithful departed the cathedral infused with a renewed sense of purpose and a commitment to carry the spirit of Gaudete Sunday throughout the remaining Advent season.
“We cannot afford to be complacent in the face of the forthcoming challenges,” remarked one parishioner. “We must heed our priest’s words and embrace the joy and hope that this season brings, utilizing it as a guiding light in our pursuit of a more just and equitable society.”
As the Advent season progresses, the faithful of the Holy Spirit Cathedral and across Ghana will undoubtedly uphold the spirit of Gaudete Sunday, using it as a source of strength and inspiration in their daily lives.
The message of rejoicing and vigilance, as articulated by Rev. Fr. Etsey, is poised to resonate with the hearts and minds of the Ghanaian people, motivating them to effect positive change in their cherished country.
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Galamsey Gridlock
It remains unclear if organized labor was swayed by President Akufo-Addo during the critical meeting held on October 3, 2024, to delay their planned nationwide strike against the escalating issue of illegal mining.
While discussions unfolded, the Minerals Commission proceeded to grant multiple new mining licenses to small-scale mining enterprises in a seemingly cavalier manner.
On the very day of the meeting, the Commission astonishingly issued a total of eleven (11) fresh licenses to various small-scale mining companies as recorded in the Ghana Minerals Repository.
Among the recipients were Richland Mining and Trading Enterprise (License Code SSML-T243/2024), Confidence Mining Enterprise (License Code SSML-T245/2024), Adjoebia Mining Enterprise (License Code SSML-T235/2024), Gradey Mining Enterprise (License Code SSML-T239/2024), Tekyi Miresu Mining Enterprise (License Code SSML-T242/2024), and Precious Awudu Mining Enterprise (License Code SSML-T241/2024). Additionally, licenses were granted to Internal Mining Enterprise (License Code SSML-T238/2024), Osagyefo Aba Mining and Trading Enterprise (License Code SSML-T237/2024), and Adikanfo Titifou Mining and Trading Enterprise (License Code SSML-T244/2024).
The Minerals Commission also allocated licenses to Adjeibia Mining Enterprise (License Code SSML-T236/2024) and Teky Miresu Mining Enterprise (License Code SSML-T240/2024).
According to records on the Ghana Mining Repository, the Minerals Commission has issued a staggering total of 2,251 licenses, including one with a projected commencement date of January 19, 2025, to New Mont Golden Ridge Limited.
In the preceding meeting with organized labor, President Akufo-Addo implored for the postponement of the impending nationwide strike against ‘galamsey’ on October 10, 2024, on the premise that he could address the galamsey crisis given more time, despite having scant months left in office.
The environmental degradation caused by illegal mining looms, with no feasible resolution achievable before the president’s term ends.
As the impending election draws near in December, Ghanaians are poised to elect a new leader who will inherit the challenges of galamsey left unaddressed by the current administration.
President Akufo-Addo’s failure to effectively combat illegal mining, evident in the widespread destruction caused under his tenure, underscores the urgent need for decisive action to protect Ghana’s environment and natural resources.
Despite the establishment of various committees and task forces to combat galamsey during his term, the pervasive influence of government officials and their associates implicated in the illegal mining industry continues to impede progress.
Allegations linking figures such as President Akufo-Addo’s hometown chief, Osagyefuo Amoatia Ofori-Panin, to illicit mining activities further exacerbate the government’s shortcomings in curtailing the destructive impacts of galamsey.
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Yvonne Chaka Chaka fires soft Salvos
The renowned South African songstress, Yvonne Chaka Chaka, has joined the chorus decrying the pervasive illegal mining activities that have plagued Ghana.
Acknowledging the intricate nature of the issue, she has implored the government to take resolute action in tackling the underlying causes of illegal mining.
Addressing President Nana Akufo-Addo, she urged him to heed the voices of the youth and implement practical measures to foster a more inclusive and thriving Ghana.
“We cannot overlook the plight of young individuals who engage in illegal mining due to lack of employment opportunities.
It is their desperation to provide for themselves and their families that drives them into this illicit activity—I do not endorse it,” she remarked.
The esteemed songstress urged President Akufo-Addo to act conscientiously for the well-being of Ghanaians. “Mr. President, the youth are advocating for solutions. The time has come to move beyond mere words and take tangible steps.
We urge you to translate your vision into actions so that the nation’s mineral wealth benefits all, ensuring access to clean water for everyone. As we speak of governance by the people, let their voices guide your decisions.”
Chaka Chaka lamented the extensive and detrimental consequences of illegal mining on the younger generation, stressing that the issue “casts a dark shadow everywhere, including South Africa.
” She urged the government to undertake adequate measures to combat the scourge and restore Ghana’s depleted forest cover and ravaged lands.
The celebrated singer, currently in Ghana for the African Legends Night, disclosed plans to appeal to President Akufo-Addo during an upcoming Global Citizen meeting in Ivory Coast to prioritize the fight against galamsey.
“We have a critical opportunity to address this pressing issue at the upcoming Global Citizen assembly in Ivory Coast. President Akufo-Addo will be present, and I will personally convey the urgency of curbing illegal mining to prevent further suffering among the youth.”
Expressing deep-seated concern over the adverse effects of galamsey on the youth, Chaka Chaka advocated for a transformation in the status quo.
The South African music icon is slated as one of the headline artists for this year’s African Legends Night held at the Grand Arena in Accra on Saturday, October 5.
Joining a stellar lineup featuring Okyeame Kwame, George Jahraa, and Adane Best, she underscored the spirit of unity among performers.
“I do not consider myself the main act—I view Okyeame Kwame, George Jahraa, and Adane Best as my fellow artists. This is a collaborative effort.
Whenever I perform, I aim to foster a sense of belonging within the community. Let me say to them, we are all part of one people.”
Chaka Chaka, having pledged to mesmerize fans with an exceptional performance, extended gratitude to the event organizers, Global Media Alliance, for curating such a grand show.
Meanwhile, Ghanaian rapper, M.anifest, voiced dismay over the police’s refusal to grant bail to the Democracy Hub protesters detained on September 22, 2024.
In a social media post, M.anifest decried the “punitive actions” demonstrated by the police and criticized some locals for endorsing such police behavior.
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