Bernard Antwi Boasiako, also known as Chairman Wontumi, faces fresh criminal charges for allegedly causing a financial loss exceeding GHS 30 million to Ghana Export-Import Bank (GEXIM). Mr. Antwi is the first accused in this case, while Thomas Antwi-Boasiako, currently at large, is the second accused.
These charges stem from alleged fraudulent activities by Mr. Antwi and Wontumi Farms Limited. They reportedly received significant funds from EXIM Bank Ghana under the pretense of investing in a farming project. The State claims these funds were not used for their stated purpose, leading to the substantial financial loss.
This case unfolds against a backdrop of increasing scrutiny on financial dealings involving state-owned enterprises and public funds. Ghana has seen various efforts to combat financial irregularities and improve economic governance. Data from the Auditor-General's reports consistently highlights millions of Ghana cedis lost through malfeasance. Such incidents affect investor confidence and the overall integrity of Ghana's financial sector.
Deputy Attorney-General and Minister of Justice, Dr. Justice Srem-Sai, detailed the State’s allegations. He stated that in January 2018, Mr. Boasiako, acting as Wontumi Farms Limited Managing Director, applied for a GHS 90 million facility for a farming venture. Dr. Srem-Sai revealed that Wontumi claimed 100,000 acres of land had been secured for the project. On January 16, 2018, EXIM Bank offered a GHS 18,734,260 facility, a mix of loan and grant. This amount was for purchasing agricultural plant and machinery, working capital, staff costs, and consultancy fees. Wontumi signed the acceptance on January 23, 2018, witnessed by the second accused.
The bank began disbursing funds to Wontumi Farms Limited by March 2018. A total of GHS 14,302,000 was disbursed. Investigations, however, indicate that the proposed farming activity never took place. The accused allegedly purchased no agricultural plant or machinery and employed no staff. They also did not own or secure the specified parcel of land. Dr. Srem-Sai added that Wontumi presented a document purporting to be a receipt for GHS 4,000,000 worth of agricultural plant and machinery. The bank relied on this document to disburse more funds. It was later discovered this document was an altered pro-forma invoice from KAS-SAMA ENTERPRISE. Wontumi allegedly withdrew large sums for personal use and other business ventures.
The outcome of this trial will have significant implications for state financial institutions and their lending practices. It will set a precedent for accountability in cases of alleged fraudulent activities involving public funds. The market will closely watch the proceedings, particularly regarding transparency and due diligence in loan disbursements by institutions like EXIM Bank. This case underscores the ongoing challenges in safeguarding public finances and ensuring responsible use of economic development funds.