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General News of Friday, 24 January 2020

Source: myxyzonline.com

‘You still owe us’ - Road contractors chase Amoako-Atta over payment claim

Minister for Roads and Highways, Kwasi Amoako Atta Minister for Roads and Highways, Kwasi Amoako Atta

Association of Road Contractors (ASROC) has dispelled claim that the government has paid all road contractors it owes in the country.

The minister reportedly stated that the government does not owe road contractors following the release of funds by the Finance Ministry recently.

It will be recalled that Mr Amoako Atta told the chiefs and people of Ga South in the Greater Accra Region during President Akufo-Addo’s tour of the Region last month that about 65% of road contractors had been paid for work done.

But the National Executive Committee of ASROC, which is part of the contractors the government owe, says the government has paid them about 40% of the debt owed them, stressing that “the facts on the ground does not (SIC) support the assertions of the Honourable minister’s assertions.”

“As at October 2019, contractors were owed approximately GHc2.6 billion by the Road Fund and GHC1.6 billion on Government of Ghana projects not to mention the indebtedness of Government at the COCOBOD,” the statement signed by ASROC Executive Secretary, Kwaku Nuamah indicated.

“Government, through the ministry notified us of an arrangement for a consortium Banks led by Fidelity Bank to advance GHC2.2 billion to the industry with instructions to the Ghana Road Fund to redeem fully outstanding payments in the range of GHC1 and GHC500.

“Further instructions were issued for the Ghana Road Fund to redeem 40% of all amounts above 500. As at December 2019, some contractors had been paid these amounts…ASROC finds it intriguing how payment of 40% indebtedness can be construed to mean full payment,” the statement said.

ASROC, which has expressed disquiet over the government’s indebtedness and the lack of will to pay the debts, has urged the Road Fund Management Board to come out to correct the impression.