The Board of Directors of the Agricultural Development Bank (ADB) Plc has explained that the alleged last-minute $750,000 contract is a renewal.
In a statement, ADB explained that the move is not exceptional but a normal process, necessary to continuously provide critical and essential services to the bank.
The statement noted that, the contract was approved within established rules, adding that the Directors were conscious of the need to remain professional in discharging their duties.
“The Board would like to assure its esteemed customers, shareholders, and the general public that it remains focused and it is effectively and professionally discharging its duties to safeguard the interest of all its stakeholders,” the statement said.
North Tongu MP, Samuel Okudzeto Ablakwa raised concerns about the approval of an electronic servicing agreement worth US$750,000 by the ADB Board.
Describing it as a “reckless and unpatriotic” midnight contract, the lawmaker in a post on social media indicated the contract was signed on December 24, 2024.
He noted that, top ADB insiders are shocked at the Board’s decision because apart from this deal not going through the audit department, negotiations with the vendor, Virtual Security Africa have not been concluded, particularly as the main agreement is still in draft form.
However, ADB’s Board of Directors have insisted that dual oversights by the Bank of Ghana and the Securities and Exchange Commission ensured that the board functions within the confines of regulation.
“As a company, ADB acts through its duly mandated corporate organs, including the Board of Directors. To ensure effective and efficient corporate governance and guarantee its continuous safe operation, the Board does not freeze or abdicate its responsibility after general elections.
“The ADB Board, in the exercise of its duties, has granted approval for the renewal of some existing but expiring contracts to ensure continuous provision of critical services to the bank. Every contract renewal approved by the Board was within its authority and in furtherance of the objectives of the bank,” the statement emphasised.
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