It started in 2001, when newly elected President Kufuor instructed his first Finance Minister, Yaw Osarfo Maafo, not to release the US$1,800,000.00 loan to the wife of his arch-rival, Mrs. Rawlings. And nine years later, Ghan ... read full comment
It started in 2001, when newly elected President Kufuor instructed his first Finance Minister, Yaw Osarfo Maafo, not to release the US$1,800,000.00 loan to the wife of his arch-rival, Mrs. Rawlings. And nine years later, Ghanaians, who are crying for good drinking water, roads, hospitals, schools and other social amenities had to cough up a massive GH¢4, 991,655.00 by way of judgment debt.
her Movement owns Caridem Development Company Limited, a shareholder in Calf Cocoa International Ghana Limited.
Ghana through the Bank and Exim Bank acting on behalf of China carried out what was termed ‘the General Loan Agreement’ in November 26,1996.
Tony Lithur who was lawyer for the Calf Cocoa International told the Chairman of the Commission, Justice Yaw Apau, that the Government of China, through the export Import Bank (EXIM Bank) in October 1998 , agreed to give the Government of Ghana an interest-subsisided concessionary loan for the purpose of financing industrial projects in the country through joint ventures between Ghanaian and Chinese companies in identified areas of interest.
Author:
Abeeku Mensah
Date:
2014-05-28 13:00:38
Comment to:
Gov’t failure caused judgement debt – Tony Lit
Tony Lithur and other well connected to Ghana’s political establishment do like to milk the so-called government from every angle possible. For starters, the loan agreement between Ghana’s government and EXIM bank through the government of China makes the government of Ghana solely responsible for the repayment of the loan. Any entity, private or government agency that hoped to obtain any part of the money as a loan or government free money must have an agreement with the government of Ghana independent of the agreement between Ghana’s government and EXIM bank of China. Secondly, why would a loan between the government of Ghana and a foreign entity/government not have parliament with oversight authority on its use or its repayment since the budgets of Ghana’s government are approved and disbursed by parliament?
Finally, Tony Lithur and Calif Cocoa International must make public the loan agreement between his client and the government so the people can know the details of the agreement relative to what the government was getting back as repayment amounts and duration of the loan. Tony Lithur must also explain to the public why a company loan that falls through the cracks of government can become the backdrop for a legitimate legal case against the government since anyone with common understanding of business and firm business proposal knows that there has to be an alternate funding source in case the primary anticipated loan source should fail to materialize. Additionally why was the original judge who ruled in favor of Calif Cocoa International against the government of Ghana not be asked to give a law case precedent where a bank and or financial institution has been asked to pay triple the amount of original loan application to a client or customer for negligence due to delays in loan approval or disbursement?
Ghana’s parliament, our setup of government and the moronic constitution of Ghana has failed to ensure a three legged government system we have has the requisite built-in tools to ensure none of the three branches of government become a runaway train. Hence we have an office of the presidency that is used to steal, mismanage and officially engage in tribal discrimination even as members of parliament create privately owned companies to obtain contracts from the government via parliamentary initiated projects through government departments. And then there is the judiciary that is nothing short of animal kingdom creatures with see no evil, hear no evil and do no evil attitudes. So why is Calif Cocoa International company built on a government money get to sue the government for triple what the company was worth? Because Tony Lithur and others know there is a government trough that was designed and operated for the rich of the nation’s elite group supervised by a bunch of wig-wearing law school graduates who will never win cases on a world stage where honor and intellect count.
So who owns this Calf Cocoa International Ghana limited? Rawlings has the audacity to accuse Kuffour of being corrupt. Why is Lithur and Justice Apau dancing around the ownership of the company?
Another fraudulent 31st December Movement company owned by Rawlings and his wife who used Ghana securities to acquire this property and billed Ghana to pay for it.
Why did the Judgement issued in the name of Rawlings and Calf and not Calf and the China partners, because there is no China partners. The company is owned solely by Rawlings and his wife.
gh 9 years ago
The attention of former President Rawlings and his wife, Nana Konadu Agyeman Rawlings has been drawn to publications in newspapers, on the worldwide web and other wide-circulating news mediums alleging that the Mills Administ ... read full comment
The attention of former President Rawlings and his wife, Nana Konadu Agyeman Rawlings has been drawn to publications in newspapers, on the worldwide web and other wide-circulating news mediums alleging that the Mills Administration has paid an amount of $5 million to them.
The reports emanate from comments made by a contributor on Radio Gold’s Alhaji and Alhaji programme of April 10, 2010 and the subsequent publications claim that the former first couple had taken $5million from the government but failed to employ people in their factory.
The former First Couple wish to state clearly that they own no factory and have taken no money from the Mills Administration for any venture be it business or otherwise. They are also not surprised by the uncanny silence of the Mills Administration, which is alleged to have made that payment and know in no uncertain terms that elements within government are behind this calculated smear campaign using pawns within the media.
The same silence was experienced when it was alleged in 2009 that the former President took huge sums from a Nigerian governor for the last Presidential campaign and pocketed it. It was followed by an infantile allegation that the Nsawam Cannery had also been paid doses of cash by the government to revitalise its operations.
Rather than emphasise the huge financial loss to the state occasioned by the NPP government’s refusal to pay the working capital of the factory so Ghanaians could be employed and our cocoa processed locally, they are exerting energies on smearing the former President and his wife.
Mrs. Rawlings is linked to Caridem Development Company Limited, a shareholder in Calf Cocoa International Ghana Limited. She has no personal stake in either Caridem or Calf Cocoa. It is rather the 31st December Women’s Movement, which owns Caridem. Caridem has 45 per cent stake in Calf Cocoa.
This office has been in touch with Calf Cocoa and obtained details of the transaction. We have Calf Cocoa’s permission to respond as follows:
The government made a payment to Calf Cocoa following an order by the Accra High Court in March 2008 that the government of Ghana pay an amount of $3,550,000.00 as well as accumulated interest to Calf Cocoa following the shameless failure of the then government to pay an amount of $1,800,000.00 to Calf Cocoa being the working capital portion of a Subsidiary Loan Agreement (SLA) between Calf Cocoa and the Government of Ghana for the establishment of the cocoa factory.
The SLA was based on an agreement between the government of Ghana and the EXIM Bank of China in which the Chinese government agreed to give to the government of Ghana interest subsidised concessionary loan for the purpose of financing industrial projects in Ghana through joint ventures between Ghana and nominated Chinese companies in identified areas. Calf Cocoa and two other companies were granted this facility. China International Cooperation Company for Agriculture Livestock and Fishery that was nominated by the Chinese Government is the majority shareholder in Calf Cocoa.
The factory was primarily established to add value to Ghana’s raw cocoa through the processing of cocoa beans into cocoa oil, cakes and aromatic products. Since the Mills government honoured the judgement debt incurred by the Kufuor administration’s failure to pay the working capital of $1,800,000.00 efforts have been made to replace obsolete equipment, stolen equipment and other materials required to make the company operational.
The factory has the capacity to employ thousands of Ghanaians when it is fully operational, and that was one of the primary reasons for its conception – to ease the employment woes of Ghanaians. But until such time that the rehabilitation process is concluded no massive employment can take place.
Her Ladyship Justice Margaret Insaidoo in her ruling on March 5, 2008 said:
“Value addition to raw cocoa beans has always been on the economic agenda of this country. The objective of this company is to process Cocoa Beans into Butter and other value added products. The country has recently commissioned cocoa processing plants such as Barry Callibaut and Cadbury and Fry in furtherance of this objective. So why should this project not meet the light of day? Whose fault is it? What went wrong?”
On page 16 of the same ruling, Her Ladyship states:
“It is sad to say the least, that Public Officials who are entrusted with the public good and who are expected to act with utmost good faith will so create a situation which will result in creating financial loss situations for this country.”
The payment to Calf Cocoa was not a favour done to the company by the Mills Administration. It was an order of the courts of the land and failure to comply would have meant additional costs and damages imposed for default.
This office wishes to state clearly however that the former First Couple reserve the right to take appropriate legal action to ensure that those who have taken it upon themselves to sully their reputations at will, desist from such brazen acts of treachery and deceit.
It started in 2001, when newly elected President Kufuor instructed his first Finance Minister, Yaw Osarfo Maafo, not to release the US$1,800,000.00 loan to the wife of his arch-rival, Mrs. Rawlings. And nine years later, Ghan ...
read full comment
The attention of former President Rawlings and his wife, Nana Konadu Agyeman Rawlings has been drawn to publications in newspapers, on the worldwide web and other wide-circulating news mediums alleging that the Mills Administ ...
read full comment