The NPP government and its social media communicators, are making frantic effort to justify the bond fraud. They are raising the argument that, Templeton had also engaged in bond transactions even under Mahama led NDC government. Indeed, Templeton has been always participated in Ghana’s bonds.
But this argument misses the point on fraud and shady dealing. It is a fact that a person can engage in a legitimate business with an organization who had enforced the rules of engagement strictly, and again engage in an illegitimate and shady transaction in the future just because of friendly friends who are now managing the process had relaxed (be it fraudulently) same for an opportunity to earn more.
Bonds issued in the past, at least within this 4th Republic has been open and transparent. It most often would go through a road show to whip up enthusiasm and interest. After, prospectus is built and submitted to parliament.
To further ensure openness and transparency in raising bonds, the NDC government adopted the Book Building approach instead of the previous plan of using the Bank of Ghana.
In the case of Nana Akuffo Addo led NPP government, the whole process was shrouded in secrecy, allowing only one individual to buy over 95% of the bond issued.
Usually, the coupon price of the bond to be issued is determined by market forces. In this case, under the NDC government the stock exchange regulations was applied. To simplify it, the number of people who show interest in the bond (demand), among other factors can drive the price higher or lower, and it’s for this reason that road shows was one of the strategies employed to get demand going high and lowering the coupon price.
It is unheard of for a coupon price to go up to 19% on the principle of the above process.
For the first time in the history of Ghana, the managers of the process in this case, the Finance Minister, his wife and the Attorney General are alleged to be having business relations with one of the persons involved in the individual firm who holds 95% of the bond.
To make matters worse, the chief legal adviser to the government on such contractual agreements claim she is not aware of the whole process. Raising or issuing bonds are all governed by laws of Ghana. And how come the Attorney General and Minister of Justice will claim ignorance of this venture? Is this possible?
Is this a case of day light robbery, or friends colliding to engage in criminality to rob the good people of Ghana?
The people of Ghana demand further particulars and explanation to this transaction from the NPP government. The media need to up its investigative and probing responsibilities to ensure the protection of the public purse.I urge the minority in parliament to invoke all relevant processes and parliamentary rules to ensure fairness and accountability to the good people of Ghana.
When the honeymoon is becoming sour, it is better the clergy and civil society groups demand answers before the marriage get rotten.
Source : Kofi B. Kukubor