Fraudulent Disposal Of Ghana Railways Scrap Metals

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The Ghana Railways Development Authority (GRDA) has earmarked some scrap items in their entity for disposal by public auction.

The private Valuation company at the Inter City State Transport Company (ICSTC) has conducted Valuation on the items in the various locations throughout the country for GRDA.

It places a tonnage of the scrap item at GHC 1,820 at the prevailing market rate.

A letter sighted, which has been signed for on behalf of the Chief Of Staff at the presidency dated 6th September, 2022 placed a rail lines at Kumasi Locoshed of 610.91 tonnage at both ICSTC and Jubilee House Valuation at GHC 1,111.856 and 1,119.90 respectively instead of GHC 1,111,856.20 according to the market value.

This is a calculated fraud on one of the auction contracts. Similar fraud can appear in the contract for the six (6) auctioneers appointed.


According to a letter signed by the Minister Of Finance,Hon. Ken Ofori-Atta dated 15th March, 2022 and circulated to all the MDA’s place authority and approval of all auction sales under him (Minister Of Finance) per section 158(1)(b) and 158 (4) of the Public Financial Management Regulations 2019, L.I. 2378.

The officer in charge of the Valuation at the Jubilee House never goes to the various sites of the Railways scrap items for physical Inspection and Valuation. He sat at his office and only used the State Transport Company’s valuation report for his values.

Information gathered also suggests that people paid GHC 50,000.00 before the contract to auction was given to them.

There is a syndicate at the Presidency whom always takes vehicles from every auction as protocol for the Chief of Staff. They then resell the protocol vehicles from the list for their selfish gain. This has been their practice.

It has derived the state from the needed revenue.

Valuations at the Jubilee House (Office of the President) mostly are based on the ICSTC values which are not consistent with realities.

The Railways scrap items were under estimated in terms of quantities for personal gain.

The President of the State Nana Addo Dankwa Akufo-Addo, the Minister of Finance and the Minister of Railways are hereby urged to as a matter of urgency suspend the auction and set a committee for reassessment and valuation for the benefit of Ghana.

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