Construction of Boankra Integrated Logistic Terminal entangled in legal tussle

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An application for an interim preservation of twenty-five million dollars has been granted by the Commercial Court Division of the High Court in relation to a case involving the construction of the Boankra Integrated Logistic Terminal in the Ashanti region.

This follows the failure of the defendant, JUSTMOH Construction, to follow through an order by an Arbitral Tribunal.

Already, Ashanti Ports Services Limited who is pursuing the case are in legal tussle with JUSTMOH Construction and the Ghana Shippers Authority in two separate cases.

The complainant, Ashanti Port Services Limited went to court after the respondent, JUSTMOH Construction failed to show evidence of preservation of the awarded 25million dollars.

In a response, counsel for JUSTMOH Construction claimed the adjudication body lacked jurisdiction to make the decision.

But the court upheld the decision of the arbitration body.

Until the sod-cutting for the Boankra Integrated Logistics Terminal in 2020, the project was on the drawing board for close to eighteen years.

The project, when completed, will link ports at Tema and Takoradi to other parts of the country and neighboring countries.

A concessioner, Ashanti Ports Services Limited was to build and operate for thirty years before transfer to the government.

But the contract was terminated by the Ghana Shippers Authority over allegations the concessioner was unable to meet financial obligations.

The concessioner is presently in court seeking declaration of the unilateral termination of the agreement as unlawful and a halt of the project pending the court process.

Among other reliefs, the claimant is seeking damages of the expenses incurred of about sixteen million cedis.

Already, JUSTMOH Construction is undertaking the first phase of the project though the contract is yet to be regularized.

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