TIG Post

Tag: Kofi Bosompem Osafo-Maafo

  • SSNIT operations have seen much improvement under this current board- Osafo-Maafo

    SSNIT operations have seen much improvement under this current board- Osafo-Maafo

    Kofi Bosompem Osafo-Maafo, the Director-General of the Social Security and National Insurance Trust (SSNIT), highlighted significant operational improvements under the current board.

    He emphasized resolving inherited issues, citing enhanced efficiency and the successful resolution of legacy challenges.

    Notably, SSNIT’s real estate investments, including a $185 million project initiated in 2016, are undergoing asset disposals, with substantial savings achieved on projects like the Westhills Ridge, totaling $30 million.

    “Let me make another point that is worth stressing and that is what the board and management of SSNIT have achieved since I have been there since 2017 and I can speak to the track record and changes that have been put in place.

    “When we look at the operational improvements that have been brought in, the efficiency of the SSNIT’s operation has been much better. If you look at the legacy issues and the magnitude of what we inherited, we have resolved them positively.

    “The contracts that SSNIT went in to do real estate as far back as 2016 involved an investment of $185 million and we are in the process of disposing of approximately 20 percent of those real estate assets and we are continuing to do that. In cost-saving measures, the saving alone that we made on the Westhills Ridge project is $30 million.”

    “I can go through other real estate investments that began a few years ago and we have just completed the largest affordable housing project in the country in Kumasi. We have also put in a set of investments that will outlive me to put the Trust in the best position,” Mr. Osafo-Maafo said in Cti FM on Monday, July 15 while touching on the discontinuation of the move to sell 60 percent shares in the four hotels belonging to SSNIT.

    Additionally, SSNIT recently completed Kumasi’s largest affordable housing project and implemented long-term investments aimed at securing the Trust’s future sustainability.

    “The Board and management of Social Security and National Insurance Trust (SSNIT) wish to inform the public that the process to divest 60% of SSNIT’s stake in the hotels has been terminated,” Board Chair of SSNIT Elizabeth Akua Ohene said in the statement.

    Regarding recent developments, SSNIT announced the termination of plans to sell 60% of its shares in four hotels following public and labor union opposition.

    Initially set in motion in 2018, the sale faced scrutiny and protests, prompting intervention from the National Pensions Regulatory Authority (NPRA), which temporarily suspended negotiations pending further review.

    Employment and Labor Relations Minister Ignatius Baffour Awuah confirmed NPRA’s compliance verification process but clarified it did not outright prevent SSNIT from proceeding, leading to SSNIT’s decision to terminate the sale.

  • Competent SSNIT Board deserves to stay – Osafo-Maafo replies critics

    Competent SSNIT Board deserves to stay – Osafo-Maafo replies critics

    The Director-General of the Social Security and National Insurance Trust (SSNIT), Kofi Bosompem Osafo-Maafo, has staunchly defended the tenure of the company’s board members and management amidst growing calls for their resignation.

    Mr Osafo-Maafo asserted that the current board members and management have demonstrated sufficient accomplishments to justify their continued leadership roles.

    In response to demands from Organised Labour and other stakeholders for the board’s dissolution following the cancellation of a proposed 60 percent stake sale in SSNIT-owned hotels to Rock City Hotel, Osafo-Maafo affirmed their competence and commitment.

    He pointed to various initiatives and achievements undertaken by SSNIT since 2017 as evidence of their effective stewardship.

    Mr Osafo-Maafo highlighted operational improvements, enhanced efficiency, and successful resolution of inherited challenges as key achievements under his tenure.

    “Let me make another point that is worth stressing and that is what the board and management of SSNIT have achieved since I have been there since 2017 and I can speak to the track record and changes that have been put in place.

    “When we look at the operational improvements that have been brought in, the efficiency of the SSNIT’s operation has been much better. If you look at the legacy issues and the magnitude of what we inherited, we have resolved them positively.

    “The contracts that SSNIT went in to do real estate as far back as 2016 involved an investment of $185 million and we are in the process of disposing of approximately 20 percent of those real estate assets and we are continuing to do that. In cost-saving measures, the saving alone that we made on the Westhills Ridge project is $30 million.”

    “I can go through other real estate investments that began a few years ago and we have just completed the largest affordable housing project in the country in Kumasi.

    “We have also put in a set of investments that will outlive me to put the Trust in the best position,” Mr. Osafo-Maafo told the host, Bernard Avle of the Citi Breakfast Show on Monday, July 15.

  • We’re making losses, decision to sell 60% stake in hotels justifiable – SSNIT boss

    We’re making losses, decision to sell 60% stake in hotels justifiable – SSNIT boss

    The Social Security and National Insurance Trust (SSNIT) has defended its decision to sell a 60% stake in several hotels to Rock City Hotel Limited, owned by Bryan Acheampong, Minister for Food and Agriculture and Member of Parliament for Abetifi.

    At a press briefing on Monday, July 8, SSNIT Director General Kofi Bosompem Osafo-Maafo stated that the hotels being sold have consistently incurred losses and failed to pay dividends, making the sale necessary to revive them.

    Osafo-Maafo emphasized that no investment fund would tolerate substandard returns and that these hotels require continuous capital expenditure, which SSNIT cannot afford.

    To address the issue, SSNIT sought a strategic investor after other attempts to resolve the problem, including hiring external management companies, failed.

    He assured that due processes were followed in the bidding process, and SSNIT did not breach any procurement laws. Osafo-Maafo believes that selling the stakes is a financially sound decision.

    “I don’t think anyone running an investment funding in the world would be sitting and earning substandard returns.. we have to address the issue.

    He added, “If you look at these hotels, they are capital-intensive businesses, they require… continuous capital expenditure. SSNIT doesn’t have the necessary funding to do that. The businesses have been making consistent losses.

    “We’ve been through quite a lengthy process to do so. Bear in mind, we’ve also tried having external management companies running the SSNIT hotels and that hasn’t resolved the problem either.

    “So, for us, we look at it two-fold; that we are looking to resolve a problem and do so with the introduction of a strategic investor and we outlined the reasons there,” Osafo-Maafo stated.

    In response to former National Chairman of the New Patriotic Party (NPP) Freddy Blay’s claim that SSNIT rejected a $200 million bid from his son’s company, Spartan Ives, Osafo-Maafo clarified that Spartan Ives’ proposal did not pass the initial bid stage.

    He also noted that the decision to sell the 60% stake is still pending, as negotiations have been halted following a directive from the National Pensions Regulatory Authority.

  • Sale of SSNIT Hotels: Your son’s technical proposal was weak – Osaafo Marfo to Freddie Blay

    Sale of SSNIT Hotels: Your son’s technical proposal was weak – Osaafo Marfo to Freddie Blay

    The Director General of the Social Security and National Insurance Trust (SSNIT), Kofi Bosompem Osafo-Maafo, has denied claims by Freddy Blay, the former National Chairman of the New Patriotic Party (NPP), regarding a rejected bid from his son’s company, Spartan Ives.

    Blay asserted that SSNIT declined a $200 million offer from Spartan Ives to acquire a 60 percent stake in SSNIT’s hotels.

    Osafo-Maafo explained that Spartan Ives’ technical proposal did not meet the required standards, falling short of the 50 percent threshold.

    As a result, their financial proposal was not reviewed and was returned unopened, in accordance with legal protocols.

    “The claim that has been made by Mr Freddy Blay that his son’s company, Spartan Ives bid 150 to 200 million dollars and SSNIT turned it down cannot be substantiated.

    “For the process, you first go through an evaluation panel and score. Once scored and you get past the pass mark we then assess your financial proposal. That is the process and that is what the law requires us to do.

    “We did exactly that. Spartan Ives did not get past the evaluation stage. Their technical proposal was weak and they scored below the required 50% so their financial proposal was not even assessed. The envelope was not even opened. It was returned to them. That is what the law requires us to do.

    “So to say that SSNIT received an offer of 150 to 200 million dollars and turned it down is not accurate because the offer was never made, the offer was never opened,” he stressed.

    Blay had previously stated in a June 24, 2024 interview that his son’s company, with substantial backing from a syndicate of banks and a reputable hotel chain, had bid for seven SSNIT hotels.

    Despite these claims, SSNIT insists that Spartan Ives’ offer was never formally assessed.

    “My son is about 33, 34 (years old). He’s grown up, and involved in business. I don’t answer questions for him. But that apart, my son, if you care to know, is not just involved in hotels, he is involved in the tourism industry.

    “SSNIT offered to sell several hotels. He wanted a package and my son’s company Spartan (Ives SSA) applied alongside about twelve or so companies. He offered to buy it for over 150 to 200 million with a syndicate of banks supporting him and a well-branded hotel chain,” he said.

    Furthermore, SSNIT revealed that negotiations to sell a 60 percent stake in four of its hotels to Rock City Hotel, owned by Food and Agriculture Minister Bryan Acheampong, have been suspended following instructions from the National Pensions Regulatory Authority (NPRA).

  • NPP bigwigs’ sons ‘clash’ over SSNIT hotels sale

    NPP bigwigs’ sons ‘clash’ over SSNIT hotels sale

    The sons of two renowned personalities in the New Patriotic Party (NPP) are presently involved in a controversy over the sale of some hotels belonging to the Social Security and National Insurance Trust (SSNIT).

    They are the Director General of the Social Security and National Insurance Trust (SSNIT), Kofi Bosompem Osafo-Maafo, the son of Senior Presidential Advisor Yaw Osafo-Maafo and Kwaw Worsemao Blay, the son of former National Chairman of the New Patriotic Party (NPP), Freddie Blay.

    Recently, Kofi Bosompem Osafo-Maafo has denied claims by Freddy Blay that SSNIT rejected a 200 million dollar bid by his son’s company to buy a 60 per cent stake in its hotels.

    According to Mr. Osafo-Maafo, the proposal by Spartan Ives did not pass the initial stage of the bid process.

    During a media update on the operations of the State Pension Trust, the Director General clarified that the envelope containing Spartan Ives’ financial proposal was neither opened nor assessed.

    “The claim made by Mr. Freddy Blay that his son’s company, Spartan Ives, bid 150 to 200 million dollars and SSNIT turned it down cannot be substantiated,” he stated.

    “For the process, you first go through an evaluation panel and score. Once scored and you get past the pass mark, we then assess your financial proposal. That is the process, and that is what the law requires us to do.

    “We did exactly that. Spartan Ives did not get past the evaluation stage. Their technical proposal was weak, and they scored below the required 50%, so their financial proposal was not even assessed. The envelope was not even opened. It was returned to them. That is what the law requires us to do.

    “So to say that SSNIT received an offer of 150 to 200 million dollars and turned it down is not accurate because the offer was never made; the offer was never opened,” he emphasized.

    This clarification follows a revelation by Freddy Blay, Board Chairman of the Ghana National Petroleum Corporation (GNPC), that his son was interested in buying SSNIT’s shares in some hotels advertised in 2022.

    In an interview on TV3 on June 24, 2024, the former NPP National Chairman mentioned that his son submitted a bid of not less than 200 million for about seven SSNIT hotels, but his bid was not accepted.

    Although Blay did not specify the currency denomination for his son’s bid, numerous reports indicated that the bidding was done in United States dollars ($).

    “My son is about 33, 34 (years old). He’s grown up and involved in business. I don’t answer questions for him. But that apart, my son, if you care to know, is not just involved in hotels; he is involved in the tourism industry.

    “SSNIT offered to sell several hotels. He wanted a package, and my son’s company, Spartan (Ives SSA), applied alongside about twelve or so companies. He offered to buy it for over 150 to 200 million with a syndicate of banks supporting him and a well-branded hotel chain,” he said.

    Blay added, “SSNIT decided that they would rather not give it to my son’s company but give it to another company.”

    However, this allegation has been refuted by SSNIT.

    Meanwhile, SSNIT says the decision to sell off a 60 percent stake in four of its hotels remains inconclusive.

    The Trust revealed that it has halted negotiations leading to the sale of a 60 percent stake in its hotels to Rock City Hotel, owned by the Food and Agric Minister, Bryan Acheampong.

    This halt is in line with a directive from the National Pensions Regulatory Authority (NPRA), the institution added.

  • Your son presented a below average proposal for SSNIT Hotels – Freddie Blay told

    Your son presented a below average proposal for SSNIT Hotels – Freddie Blay told

    The Director General of the Social Security and National Insurance Trust (SSNIT), Kofi Bosompem Osafo-Maafo, has refuted claims made by Freddy Blay, the former National Chairman of the New Patriotic Party (NPP). Blay alleged that SSNIT rejected a $200 million bid from his son’s company, Spartan Ives, to acquire a 60 percent stake in SSNIT’s hotels.

    Osafo-Maafo clarified that Spartan Ives’ proposal did not progress beyond the initial stage of the bid process. He explained that their technical proposal was deemed insufficient, scoring below the required 50 percent threshold. As a result, their financial proposal was never evaluated or opened, and was returned to them unopened, following legal procedures.

    Freddy Blay had previously claimed in a TV interview on June 24, 2024, that his son’s company submitted a bid of no less than $200 million for seven SSNIT hotels, but it was rejected. He emphasized that his son, involved in the tourism industry, had significant backing from a syndicate of banks and a reputable hotel chain.

    “My son is about 33, 34 (years old). He’s grown up, and involved in business. I don’t answer questions for him. But that apart, my son, if you care to know, is not just involved in hotels, he is involved in the tourism industry.

    “SSNIT offered to sell several hotels. He wanted a package and my son’s company Spartan (Ives SSA) applied alongside about twelve or so companies. He offered to buy it for over 150 to 200 million with a syndicate of banks supporting him and a well-branded hotel chain,” he said.

    Despite Blay’s assertions, SSNIT stands by its process, stating that no substantial offer from Spartan Ives was ever formally considered.

    Additionally, SSNIT has announced that negotiations to sell a 60 percent stake in four of its hotels to Rock City Hotel, owned by Food and Agriculture Minister Bryan Acheampong, have been paused following a directive from the National Pensions Regulatory Authority (NPRA).

    “For the process, you first go through an evaluation panel and score. Once scored and you get past the pass mark we then assess your financial proposal. That is the process and that is what the law requires us to do.

    “We did exactly that. Spartan Ives did not get past the evaluation stage. Their technical proposal was weak and they scored below the required 50% so their financial proposal was not even assessed. The envelope was not even opened. It was returned to them. That is what the law requires us to do.

    “So to say that SSNIT received an offer of 150 to 200 million dollars and turned it down is not accurate because the offer was never made, the offer was never opened,” Osafo-Maafo stated.