The Auditor-General’s report has discovered that the Ghana Shippers Authority has lost a total investment of GH¢1,162,527.20(interest inclusive) in Gold Coast Securities which was rolled over on 20/11/2017 due to the distressed nature of Gold Coast Securities.
The investment represents 6.7% of the total investment portfolio of the Authority as of 31 December 2019.
The report, therefore, recommended to Management to immediately carry out an assessment of the extent of investment impairment, and make adequate provisions and disclosure in the Financial Statements.
We also advised Management to monitor the performance of the investments at regular intervals.
Also, the report found that 73 shipping lines owed the Authority an amount of (US$1,724,625.77 @ GH¢5.60 ≈ GH¢9,657,904.31), some dating as far back as 2014.
”In order to ensure that trade debtors could be fully realised, we advised Management to embark on debtors’ circularisation, for the shipping lines to own their full indebtedness and to put in place measures to retrieve the debt or apply the relevant regulations,” the report said.
We noted that two (2) tenants, occupying portions of Takoradi Shippers Centre owed rent to the tune of GH¢470,146.87 on 31 December 2019. The period of the rent due ranges from 6 months to 48 months. We urged Management to pursue the defaulters for the rent arrears of GH¢470,146.87 or terminate the tenancy agreement accordingly,” it said.
At the Tema PSC Shipyard Limited, it came to light that four (4) payments amounting to GH¢319,641.85 were not supported with the relevant expenditure documentation such as official receipts, reports and others.
The Auditor-General recommended that the Chief Executive Officer, Finance Manager and the affected schedule officers should ensure that the affected payment vouchers are properly supported for our verification, failure of which the total amount of GH¢319,641.85 should be recovered from the officers mentioned.
”Management of the Shipyard paid insurance amounting to
US$56,782.16 to three (3) insurance companies in Ghana for insuring
its plant and properties without authority from the Bank of Ghana. We
recommended that Management should pay Insurance Premium on
its plant and properties in local currency to avoid sanctions from the
Bank of Ghana,” it added.