The Office of the Special Prosecutor (OSP) has announced that it has commenced investigations in suspected corruption and corruption-related offences in respect of auctions of vehicles and other goods by the Customs Division of the Ghana Revenue Authority (GRA) between 1st July 2016 and 15th August 2022.
This was announced in a statement on Monday, August 22.
“The Special Prosecutor further directed the Commissioner of the Customs Division to immediately halt and discontinue all auction sales till the investigation is concluded,” the statement said.
In an earlier statement issued on Monday, August 15, the Special Prosecutor Mr Kissi Agyebeng directed the Commissioner of the Customs Division Col. Kwadwo Damoah, (RTD) “to submit to the Office of the Special Prosecutor on or before 30 September 2022, the particulars on all applications for customs advanced rulings, applications for markdown benchmarks values, application for private rulings and class rulings pertaining to the applications of customs laws and the decision on each of the applications within the period.”
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This was after the OSP widened the investigations in relation to the Labianca Food scandal to cover customs advance rulings.
The OSP recovered over GHC1 million GHC1,074, 627.15) from Labianca Foods in unpaid import duties, a scandal involving a company belonging to a Council of State member.
The office also called for wider investigations into Customs Division of the GRA and demanded a copy of Integrity plans to prevent corruption.
The OSP investigated alleged corruption and corruption-related offences in the context of evasion and valuation of duties on frozen and processed food products imported into Ghana between 2017-2021.
The case, according to the OSP involved some high-ranking officials of the Customs Division of the Ghana Revenue Authority (GRA).
In its report on the investigations, the OSP said “Labianca Company Limited commenced operations in 2014 and it is wholly owned and controlled by Ms. Asomah-Hinneh on all practical and legal considerations. The company, it appears, imports about two hundred (200) forty (40) footer shipping containers of frozen chicken parts, fish, pork and fries monthly primarily from Europe and the United States of America. It enjoys a substantial market share in the imported frozen foods industry.
“There was not much engagement with the Customs Division in the first three (3) years of the company’s operations beyond the settlement of standard customs duty and other tax obligations until 2017 when the company actively commenced applications to the Customs Division for the acceptance by the latter of the values of frozen foods it intended to import.
“By the time the company commenced the applications, Ms Asomah-Hinneh had been elected a member of the Council of State representing the Western Region and appointed a member of the governing board of Ghana Ports and Harbours Authority – positions she held at all material times. On this reckoning, Ms. Asomah-Hinneh is a politically exposed person as defined under section 79 of Act 959.”
In a statement issued on Monday, August 15, Mr Kissi Agyebeng said “On the basis of the report, the Office of the Special Prosecutor has commenced wider investigations into the issuance of the customs advance rulings and mark downs of benchmark values between July 2017 and December 2021.”
