The Ghana Revenue Authority (GRA) has ended its Transaction Audit and External Verification Service (AEVS) contract with Strategic Mobilization Ghana Limited (SML) in line with President Akufo-Addo’s recent directives.
The GRA has also suspended the Upstream Petroleum and Minerals Revenue Audit portions of the contract pending further review.
Additionally, GRA has decided to revise the Downstream Petroleum Products Measurement Audit contract by changing the fee structure to a fixed fee.
The Authority will conduct a thorough review of other aspects such as service delivery expectations, termination clauses, and intellectual property rights.
The GRA disclosed this in a letter entitled “Compliance with Presidential Directives on Recommendations in KPMG Report on the Transactions Between GRA and SML,” dated Friday, 3 May 2024, signed by its Commissioner General, Ms Julie Essiam, and addressed to the Managing Director of Strategic Mobilization Ghana Limited (SML).
The GRA’s letter is copied to Vice President Dr. Mahamudu Bawumia, Chief of Staff Mrs. Akosua Frema Osei-Opare, Secretary to the President Nana Bediatuo Asante, Finance Minister Mohammed Amin, Director of Legal Affairs at the Ministry of Finance, and Deputy Commissioner for Legal Affairs at the GRA.
“This is about the presidential directives dated 18 April 2024 on the recommendations of KPMG concerning the Contract for Consolidation of Revenue Assurance Services between the Government of Ghana acting per the Ministry of Finance, Ghana Revenue Authority (GRA) and Strategic Mobilisation Ghana Limited (SML).
“Following the directives of the President, GRA has undertaken a thorough review of the Consolidation of Services (Transaction Audit and External Verification Services) contract dated 3 October 2019, the Measurement Audit for Downstream Petroleum Products Contract dated 3 October 2019, and the Contract for Consolidation of Revenue Assurance Services (Upstream and Minerals Audit) contract dated 25 October 2023,” the GRA letter read.
“Based on the review, the following actions are to be taken: First, The Transaction Audit and External Verification Services Contract will be terminated. Secondly, the Measurement Audit for Downstream Petroleum Products Contract will be amended.
“Specifically, the fee structure will be revised to a fixed fee structure. In addition, other provisions such as service delivery expectations, termination, and intellectual property rights will be subjected to a thorough review.
“Thirdly, the Upstream Petroleum and Minerals Revenue Audit portions of the Contract for Consolidation of Revenue Assurance Services cannot take effect until a comprehensive technical needs assessment, value-for-money assessment, and relevant stakeholder consultations have been achieved,” the GRA letter to SML further read.