Osei-Adjei, Gyimah in court for India rice import

Accra, Oct. 14, GNA - Akwasi Osei-Adjei, former Minister of Foreign Affairs, Regional Integration and NEPAD, and Daniel Charles Gyimah, former Managing Director of the National Investment Bank, on Wednesday appeared before an Accra Fast Track High Court in connection with the importation of 15,000 metric tons of rice from India.

The two are facing eight counts of conspiracy, contravention of the provisions of the Public Procurement Act (Act 663), use of public office for profit, stealing and wilfully causing financial loss to the state to the tune of US$1,408,590 dollars.

They have pleaded not guilty to the various charges and the court presid= ed over Mr. Justice Bright Mensah has admitted them to bail in the sum GH¢200,000 with two sureties each.

The sureties to consist of immovable property and their title deeds are to be deposited at the Court's Registry.

As part of the bail conditions, the two would report themselves to the Bureau of National Investigations once a week They are scheduled to reappear on November 4. Mr. Godfred Yeboah Dame, who represented Osei-Adjei, said in his bail application that the charges cannot be sustained since the said transacti= on was commenced by the government and his client was only nominated to play=

the diplomacy role at the time when rice exports were banned in India. Mr. Dame said it was difficult to appreciate the contention of the prosecution that Osei-Adjei pocketed the proceeds of the rice. He contended that his client was a man of repute who would not escape he= nce he should be given self-recognizance bail.

Colonel Alex Johnson (Rtd), who represented Gyimah, said nobody was agai= nst the exercise of accountability and probity by government noting that it w= as sad that some aspects of the transaction were being criminalized. Col. Johnson said they had documents from the Indian Parliament giving Ghana and three West African countries special exemption because at that time there was a ban on export of rice.

He said the contract required letters of special credit and three banks including NIB were contacted.

According to him, it was NIB which responded and even when the goods arrived, Gyimah was in custody and wondered how the proceeds of the rice could be pocketed by him.

Mr Anthony Gyambiby, Chief State Attorney, did not decline bail to the accused persons but prayed the court to order them to deposit their passports with the Court's Registry.

The state contends that in February 2008, the former Minister of Trade and Industry, Mr. Joe Baidoo Ansah, initiated the importation of the rice from India.

In a letter dated February 13, 2008, he requested the government of= Ghana through the High Commission of India in Ghana, to buy rice from India. The rice was to arrive in Ghana by May 2008 "to help curb the severe increase of the price of staples in Ghana" and the designated consignee was the Ghana National Procurement Agency.

Mr. Ansah, in another letter dated on April 10, 2008, addressed to the Minister of External Affairs of India, referred to an earlier meeting held between the ex-President John Agyekum Kufuor and the Minister of Commerce of India.

In that letter, Mr. Ansah drew attention to "severe food situation looming in Ghana" and sought to procure from the government of India 15,000 metric tons of low grade white 25 per cent broken rice for shipment to Ghana by June 2008.

However, in April 2008, Osei-Adjei took over the effort of Mr. Ansah and nominated NIB as the sole consignee. Gyimah represented his bank and negotiated the terms of the contract with State Trading Corporation of India through the Ghana High Commissionin India.

Osei-Adjei instructed the Ghana High Commissioner in India to sign the contract on behalf of the government of Ghana.

On arrival of the rice, efforts by the NIB to get import tax exemption from Ministry of Finance (MOF) to clear the rice were turned down owing to the commercial nature of the contract and more so MOF was not involved in the transaction.

After counting the consignment, 2,997 bags of rice were found missing and remaining quantity was in varying states of wholesomeness.

According to prosecution, investigation conducted by the Bureau of National Investigations (BNI) revealed that provisions of the Public Procurement Act were not followed and that the missing 2,997 bags had been diverted for sale elsewhere for huge private profit.