Investors prefer prosecution to closure of firms

Tema, April 17, GNA - Some foreign investors operating in the Tema industrial area have pleaded with regulatory enforcement bodies to consider fining defaulting companies instead of closing them down. They said closing down of firms does not only affect their contracts but also deprive employees of their wages. They made the call on Thursday when a joint team made up of the Environmental Protection Agency (EPA), Ghana National Fire Service (GNFS) and the Factories Inspectorate supported by the Ghana Police Service closed down four companies in Tema and Kpone for operating without the requisite permits.

The companies are Rock Concrete Construction Limited, Khomara Printing Press and Aquafill Mineral Water Company all in the Tema heavy industrial area as well as Western Steel and Forging Limited at Kpone. The companies have no fire certificate, environmental impact regulatory assessment permit and factory safety certificate. An official of the BBC Industrial Comany Ghana Limited, manufacturers of Leyland and Leylac paints who spoke on condition of anonymity, told the Ghana News Agency that by prosecuting and fining the companies, the regulatory bodies would get more resources to fund their monitoring activities.

She said they must consider the employment opportunities created for Ghanaians by the investors as well as their contributions to the economy through the payment of taxes.

The official said in Europe defaulters are fined instead of a closure and that closing down firms without permit from the courts could frustrate and discourage investors from doing business in Ghana. Mr Prince Billy Anaglatey, Tema Regional Fire Service Public Affairs Officer, said defaulters were given one month to regularize their operations after the closure.

He said after one month, the defaulters would be prosecuted. He said the joint exercise was to enable the regulatory bodies to ensure the safety of employees, employers and customers and that until a company fully fulfils the requirements of the EPA and the GNFS, the factories inspectorate would not issue them with a factory safety certificate.

Mr Lumbert Faabeluon, Deputy Director of EPA, Tema, explained that LI 1652 and EPA act 492 require companies to acquire the environmental assessment permit before commencement of operations. He said several warnings issued to the companies to regularize their operations did not yield results. Mr Faabeluon said even though BBC Industries obtained permit to use their premises for warehouse activities, they have turned parts into industrial activities housing Aquafill and Khomara.