The Bank of Ghana (BoG) has clarified that it has not paid any money to Ghana Auto Group Limited, a company contracted for the provision of after-sales service and maintenance for 307 Mercedes Benz Sprinter 315 CDI ambulances. This contradicts claims by the Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, that the government had paid $34.9 million in an alleged ambulance spare parts deal.
Sources at the Bank of Ghana have clarified that letters of credit (LC) have been established in favor of Service Ghana Auto Group for $10 million, not $34.9 million. According to the BoG, there has not been any payment on the LC as they have yet to receive any call or demand on it. The BoG emphasized that the LC was established for the importation of spare parts to maintain existing ambulances, but no payment has been made as claimed by the NDC legislator.
Earlier, the Ministry of Health had issued a statement clarifying that the contract was originally signed by the now-defunct Ministry of Special Development Initiatives with Service Auto Group Ghana Limited, stating no such amount has been paid to the company.
Read the Ministry of Health’s Press Statement below:
CLARIFICATION OF AMBULANCE SERVICE CONTRACT
The Ministry of Health acknowledges the concerns raised by the Member of Parliament for North Tongu Hon. Samuel Okudzeto Ablakwa, reflected in various media reports, regarding the service contract between the Ministry of Special Development Initiatives and Service Ghana Auto Group Limited. The facts are as follows:
- On September 10, 2020, the Ministry of Special Development Initiatives signed a contract with Service Auto Group Ghana Limited for the provision of after-sales service and maintenance for 307 Mercedes Benz Sprinter 315 CDI ambulances.
- The contract stipulated that the supplier shall provide the client with a projected budget for requisite spare parts and lubricants to ensure the smooth servicing and maintenance of the fleet.
- Since the inception of the contract, the Ministry of Special Development Initiatives has utilized a portion of its annual budget allocation to support the National Ambulance Service and fund the maintenance agreement.
- Following the dissolution of the Ministry of Special Development Initiatives, the Special Initiatives Development Secretariat took over the execution of the contract.
- On March 10, 2023, the Office of the Chief of Staff requested the Ministry of Health to explore ways to support the National Ambulance Service in maintaining the fleet of ambulances due to Parliament’s refusal to approve the budget estimates of the Special Initiatives Development Secretariat for the 2023 fiscal year.
- Subsequently, the Ministry of Health wrote to the Ministry of Finance requesting the establishment of letters of credit for an amount of $34,904,505 on behalf of Service Ghana Auto Group Limited for the procurement of spare parts for the 307 ambulances.
- The Ministry of Finance responded, indicating it could only fund up to $10 million of the requested amount and recommended that the Ministry of Health explore financing the difference through the National Health Insurance Authority (NHIA).
- The NHIA, in correspondence with the Ministry of Health and the Ministry of Finance, stated it was unable to fund the cost of the procurement of the spare parts as part of the 10% allocation to the Ministry of Health because this was not captured in the allocation formula approved by Parliament.
- The Ministry of Health would like to clarify that the service provider, Ghana Auto Group Limited, has not been paid an amount of $34.9 million as widely reported.
- The Ministry of Health is committed to ensuring a sustainable maintenance regime for all fleets procured for the National Ambulance Service to provide reliable, efficient, and safe emergency medical services.
- All documentation covering this transaction is a matter of public record and can be accessed by the public.
- The Ministry of Health is ready to support any effort that will bring further clarity to this issue in the interest of the public.
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