U.S. company swindles BOST of $109 million

Tuesday, 31 May 2016 12:17

A U.S based company, American Tank and Vessel (AT&V) has swindled the Ghana Bulk Oil Storage and Transport (BOST) to the tune of US$109 million.

This was revealed on Monday at the Public Accounts Committee sitting in Parliament with a team of officials from BOST and the Ministry of Petroleum.

The American company was paid the amount from a loan facility in 2006, to supply petroleum tanks and build two pipelines between Tema and Akosombo, but it failed to execute the projects.

Diplomatic efforts, as well as other out-of-court engagements by BOST to get the matter settled have since 2008 been unsuccessful.

Consequently, the Finance Ministry which served as a guarantor for the loan has been forced to defray the debt, although no work was done.

The acting Managing Director of BOST , Kwame Awuah-Darko said BOST had discussed the matter with the commercial section of the US Embassy but nothing had been done about the issue.

“As we speak now, the pipelines have not been supplied. They should have finished this by 2008, but has still not supplied the lines. Consideration has passed but the company has not delivered the projects,” he said.

Mr. Awuah said BOST currently owes the Ministry of Finance, because, as the guarantor, the Ministry took up the debt and settled it on its behalf.

Source: Ghanaian Times