Gov’t Blocks GH¢4.4bn in Fraudulent Recycled Contract Claims – Deputy Finance Minister

The Deputy Minister for Finance, Thomas Ampem Nyarko, has disclosed that the government prevented the payment of GH¢4.4 billion in fraudulent claims that had already been settled between 2020 and 2024.

Speaking in Parliament on Tuesday during the 21st Sitting of the First Meeting of the Second Session of the Ninth Parliament of the Fourth Republic, the Deputy Minister revealed that the claims had been fraudulently resubmitted for payment despite having been previously settled by the state.

“Mr Speaker, claims amounting to GH¢4.4 billion, which had already been paid between 2020 and 2024, were fraudulently resubmitted for payment,” he told the House.

According to Mr. Ampem Nyarko, the recycled claims originated from several Ministries, Departments and Agencies (MDAs), raising concerns about weak record-keeping and financial management practices across some government institutions.

He disclosed that the Ministry of Roads and Highways Ghana accounted for the largest portion of the fraudulent claims, amounting to GH¢3.6 billion.

This was followed by the Ministry of Health Ghana with GH¢384.8 million and the Ministry of Energy Ghana which recorded claims totalling GH¢216.7 million.

Other institutions cited included the Ministry of Food and Agriculture Ghana with GH¢57 million, the Ministry of Defence Ghana with GH¢40.9 million, and Independent Power Producers, which accounted for GH¢36.4 million.

The Ministry of Finance Ghana itself recorded recycled claims of GH¢26.4 million, while the Ministry of the Interior Ghana accounted for GH¢3.1 million.

Mr. Ampem Nyarko indicated that government vigilance helped prevent what would have been a significant financial loss to the state.

“Mr Speaker, but for our vigilance, the Ghanaian taxpayer would have lost a colossal GH¢4.4 billion in these recycled claims,” he stated.

He further revealed that the audit process uncovered major weaknesses in the record-keeping systems of several MDAs. According to him, some institutions were unable to provide accurate and comprehensive details of contracts awarded, payments made, and outstanding obligations.

“Shockingly, the Government of Ghana was at the mercy of contractors and suppliers to determine how much is owed to them,” he said.

The Deputy Minister stressed that the situation underscores the need for stronger financial oversight and more efficient systems for tracking government contracts and payments.

He therefore called for an urgent review and redesign of the country’s Public Financial Management architecture to strengthen accountability and improve the management of public resources.

“This calls for an urgent review, redesign, and implementation of an appropriate Public Financial Management architecture to manage public funds,” he added.

The revelation is expected to reignite discussions on fiscal discipline, transparency, and the need for stronger internal controls across public sector institutions.