Auditor-General flags GH¢8.1b in fraudulent gov’t payments in 2024 audit

Deputy Minister for Finance, Thomas Nyarko Ampem, appearing in Parliament on behalf of Dr. Cassiel Ato Forson, has revealed a troubling picture of financial mismanagement in Ghana’s public accounts.

A detailed audit of government arrears for the year ending 2024 uncovered billions of cedis tied to fraudulent claims, overstated debts, and missing resources.

The review, conducted by the Ghana Audit Service with assistance from EY and PwC, examined GH¢68.7 billion in unpaid invoices and Bank Transfer Advices (BTAs). While GH¢45.4 billion was confirmed as valid, auditors rejected GH¢8.1 billion due to duplication, falsified documents, and inflated figures. Another GH¢13.3 billion remains unverified, as proper contracts or third-party confirmations could not be provided.

The report highlighted serious issues within the One District, One Factory (1D1F) program. In 2024, the Ministry of Trade and Industry requested GH¢89.4 million to be paid as interest subsidies to five commercial banks. However, all five banks denied any such obligation, leading auditors to classify the amount as entirely fictitious. In response, the government plans a forensic audit of the 1D1F scheme, which has already consumed GH¢391 million in taxpayer funds.

Other sectors were similarly affected. Agricultural payments showed major gaps: of 34,000MT of rice purchased during a 2024 dry spell, 10,000MT could not be accounted for. Likewise, only 11,900MT of maize was delivered out of a reported 100,000MT valued at GH¢771.2 million. In the transport sector, a company received GH¢61.7 million, including GH¢11.7 million in rice, despite only providing services worth GH¢30.9 million.

Education and infrastructure were also implicated. The Ministry of Education reported GH¢160 million in unpaid teacher trainee allowances, yet the Ghana Tertiary Education Commission confirmed no arrears existed. Additionally, GH¢4.4 billion in previously paid invoices from 2020 to 2024 were fraudulently resubmitted for payment.

Nyarko Ampem emphasized that the government would not tolerate wasteful practices. The audit report has been referred to the Attorney-General for prosecution, and the Ministry of Finance has vowed that no payments will be made without thorough verification.

The findings highlight deep-seated weaknesses in Ghana’s financial management system and underscore the need for rigorous oversight to protect public resources.