Mahama’s 10 per cent salary cut accruals ‘missing’

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The Controller and Accountant-General’s Department (CAGD) cannot trace GH¢2.5 million which accrued from 10 per cent pay cut announced by former President John Dramani Mahama and his ministers for the construction CHPS Compounds.

The voluntary pay cut totalled GH¢2.5 million at the end of December 2016. Former President Mahama announced the austerity cut in December 2013.

The amount was deposited in a special account recommended by former President Mahama for the construction of the CHPS Compound.

A Deputy Controller and Accountant in charge of Financial Management Services, Mr Kwesi Owusu, told the Public Accounts Payment (PAC) at its sitting in Accra Wednesday that the former Chief of Staff, Mr Julius Debrah, directed the transfer of the amount, reports Graphic Online’s Mabel Aku Baneseh.

The Member of Parliament for Nhyaieso, Mr Kennedy Kankam asked what the money had been used for because the account had recorded zero in the Auditor-General’s 2015 Report.

Mr Owusu explained the then Chief of Staff directed that the amount be transferred into another account.

He told the committee what happened to the cash was for them to answer because it was not statutory deductions which the CAGD should have used to pay SSNIT or the GRA.

“This one was a voluntary deduction so when you deduct, you give it to the one who asked you to deduct on his behalf,” Mr Owusu added.

Background

President Mahama in 2013 justified the decision of the Executive to cut their salaries by 10 per cent to support health care delivery, especially in rural areas, and challenged others to follow the example.

He said if all public sector employees followed the example and gave just two per cent of their salaries to build Community Health Programme and Service (CHPS) compounds, “we’ll be able to build 2,000 CHIPS compounds across the country”.

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