Deputy Finance Minister Thomas Nyarko Ampem has disclosed that 35 contractors engaged under the Agenda 111 health infrastructure programme received $7.9 million in advance mobilisation funds but failed to mobilise to sites or deliver work commensurate with the payments made.
He made the revelation while presenting the Report of the Auditor-General on Arrears and Payables as at the end of 2024 on the floor of Parliament on Tuesday, March 10.
According to Mr. Nyarko Ampem, an audit conducted on projects under the Agenda 111 initiative uncovered significant irregularities in the utilisation of funds disbursed to some contractors.
He explained that the $7.9 million was paid as advance mobilisation to enable the contractors to begin construction works on various hospital projects across the country. However, the audit findings showed that some contractors have not mobilised to their respective project sites, while in other cases, the level of work completed does not correspond with the funds already paid.
“Mr Speaker, the audit of Agenda 111 projects also revealed that a total amount of US$7.9 million was paid to 35 contractors as advance mobilisation under the programme, but these contractors have either failed to mobilise to the site or the work done is not commensurate with the amount paid,” he said.
He further disclosed that the advance mobilisation guarantees secured from the contractors at the time of payment have all expired, raising concerns about the government’s ability to immediately recover the funds.
“The advance mobilisation guarantees secured by the 35 contractors who received the US$7.9 million have all expired. The Auditor-General has subsequently issued notices of surcharge to the offending contractors,” he added.
Mr. Nyarko Ampem noted that the Auditor-General has issued notices of surcharge to the contractors involved, requiring them either to refund the funds received or justify the payments.
The Agenda 111 programme, launched under former President Nana Addo Dankwa Akufo-Addo, is a nationwide health infrastructure initiative aimed at constructing district hospitals in underserved communities. Each facility under the programme is designed to provide 100-bed capacity hospitals along with residential accommodation for health workers, to improve access to healthcare services across the country.
