Selormey directed transfer of $1,297,500

Two witnesses gave evidence for the prosecution in a case in which the former Deputy Minister of Finance, Victor Selormey, has been charged with conspiracy, defrauding by false pretences and wilfully causing a financial loss of 1.3 million dollars to the state.

Selormey has pleaded not guilty to the charges and is on a 1.5 billion-cedi bail. The first prosecution witness, Mr Kafui Kan-Senaya, Principal Economic Officer of the Ministry of Finance, told the Fast Track Court in Accra that a team from Texas, United States, took part in a meeting preparing technical proposals for the computerisation of the courts.

Witness identified the team as Mr Morris Mila and Joe Howie from the Leebda Corporation of Texas.

Mr Kan-Senaya told the court, presided over by Mr Justice Sam G. Baddoo, an Appeal Court judge sitting as an additional High Court Judge, that the Leebda team tried to convince the government team to accept a proposal to produce the digitalisation of computer materials.

Led in evidence by Mr Osafo Sampong, Director of Public Prosecutions (DPP), witness said the government's team rejected the proposal, so the Leebda team left for the US.

Mr Kan-Senaya denied that Leebda had put all Ghana Statutes, Acts, Decrees, Executive Instruments, Legislative Instruments and West Africa Law Reports on CD roms.

He said the government was to supply computers on which the discs/CDs would be installed, but up to date they have not been provided.

Mr Kan-Senaya said during the negotiations, "we did not discuss proposals, but financing of the project."

Witness denied that on July 24, 1996, the Leebda team received a letter from the Ministry of Finance asking the team to choose between the contract already awarded to them or wait until a future date, where the issue of digitalisation would be raised.

He said it is one Mr. Paul Asamani who wrote the letter adding, "I think he would be the best person to answer."

Witness said sometime in October last year, he learned from the Judicial Service where he had gone to do some work that Leebda was asking for 500,000 dollars to install the CD roms.

The second prosecution witness, Mr Kwame Akaba, Operations Manager of the ECOBANK, said the bank manages accounts of different types of clients, boards and some ministries.

Mr Akaba said in November 1998, the bank received authority letter from the Ministry of Finance to transfer 432,500 US dollars to Leebda Corporation in Texas for the attention of Dr Fredrick Owusu Boadu, adding that Selormey signed the letter.

Mr Akaba said the bank then effected payment by swift transfer, which was dated December 8, 1998 to First American Bank of Texas for the account of Leebda Corporation.

According to witness, the bank made a total transfer of 865,000 dollars by 17 instalments depending on the availability of funds, as instructed by the Ministry of Finance and signed by Selormey.

Mr Sampong had earlier told the court that following a special audit report, which was conducted at the Ministry of Finance, it was discovered that Selormey authorised that some sums of money should be paid to Dr Boadu.

The DPP said the audit covered the period from April 1997 to March 2001. During investigation, it was found out that the accused wrote letters to the ECOBANK Ghana Limited, authorising the transfer of various sums of money, totalling 1,297,500 US dollars to Leebda Corporation of Texas, USA.

Mr Sampong said these sums were meant for the payment of services purported to have been rendered by Dr. Boadu in respect of the Court Computerisation Project.

Hearing continues on Tuesday.