Service Ghana Auto Group Limited, a company embroiled in controversy, is under intense scrutiny for its involvement in a dubious $34.9 million (GH₵538 million) ambulance spare parts procurement deal.
The Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa, has raised serious concerns about the company’s practices and the legitimacy of the contracts it received.
Speaking on Adom FM’s morning show, Dwaso Nsem on Tuesday, Ablakwa pointed out significant discrepancies with the company.
He revealed that, Service Ghana Auto was incorporated on April 24, 2020, over a year after the 307 new ambulances were commissioned by President Akufo-Addo on January 28, 2019.
He highlighted that the company was unregistered when it began maintaining ambulances in January 2020 and only officially registered in April 2020, yet it operated without a formal contract for eight months while still receiving payments.
Despite these findings, the company was paid GH₵115 million between 2020 and 2023.
He added that an Auditor General’s report from 2022 cited that Service Ghana Auto Group Limited had inflated invoices and lacked adequate staff, resorting to using mechanics from the National Ambulance Service.
Mr Ablakwa further questioned the government’s decision to award an even larger contract worth $34.9 million (GH₵538 million) to Service Ghana Auto Group, despite the damning audit report and previous payments of GH₵115 million that did not deliver value for money.
“How did an unqualified company secure this contract? How can any Government which claims to care about protecting the public purse be aware of this damning audit report and still proceed to award an even bigger contract of US$34.9million (GHS538million) when Ghana did not get value for money after previously paying Service Ghana Auto Group Limited GHS115million?
“This is a company that should be blacklisted, yet it continues to receive new contracts,” he said.
Ablakwa further called on the public to join the fight to recover the remaining funds.
He expressed hope that the Office of the Special Prosecutor (OSP) would intervene and help prevent further misuse of public funds.
“May we be successful in blocking the outstanding payments and retrieving the lost funds. That’s why I am appealing to everyone to join the fight and at least get the rest of the money back. I visited the OSP yesterday and petitioned him to help us save the rest. This deal doesn’t make sense that’s why am hoping the OSP will help us get the rest of the money.
“We have a lot of crises in the health sector. Is this what we should be doing with $34.9 million?” he asked.