The Auditor-General has discovered chemicals and fertilisers valued at GH¢23.9 million (GH¢23,957,525.07) expired at Ghana Cocoa Board (COCOBOD).
During the 396th meeting of the Board of Directors held on Tuesday, October 30 and November 2, 2018, the board approved that the debt should be written off.
The Auditor-General raised issues about the approval to write the debt off because management could not provide evidence of Parliamentary approval for the write-off of the value or loss from the books of account.
Section 53 of the Public Financial Management Act, 2016, (Act 921) states that the minister shall seek the approval of Parliament to write off a loss of or a deficiency in public funds or public resources.
The Auditor-General explained that failure to seek parliamentary approval could lead to unlawful write-offs from the books of the board.
These are contained in the report of the Auditor-General on the Public Accounts of Ghana: Public Boards, Corporations and Other Statutory Institutions for the period ended December 31, 2020.
The report, dated May 31, 2021, was signed by Johnson Akuamoah Asiedu, acting Auditor-General.
The Auditor-General, therefore, urged management to seek retrospective parliamentary approval for the write-off.
The report said in the event of failure to secure parliamentary approval, the value shall be recovered from the Board of Directors in accordance with Section 18(b) of the Audit Service Act, 2000, Act 584.
The Auditor-General also urged management to ensure that they seek parliamentary approval for all write-offs in the future.
“Management of COCOBOD will bring to the attention of the Board of Directors and liaise with the Ministry of Food and Agriculture for onward submission to the Parliament of Ghana for retrospective approval,†the management promised.
Source: thefinderonline.com