Posted to the web 16 April 2008
Charles Takyi-Boadu
Months of investigations into the activities and operations of the Internal Revenue Service (IRS) has revealed underhand dealings and deliberate cover-up of a massive tax evasion by high-ranking officials of the revenue-collecting agency.
At the centre of the raging controversy is the Commissioner himself, Major Daniel Ablorh-Quarcoo (Rtd), at whose 'discretion' the nation is losing several billions of cedis.
An audit report commissioned by the Commissioner, covering the period of December 31st 2002-2006, into the books of Golden Gate Services limited, a private Stevedoring company, based in Tema, has revealed that the company owed the state to the tune of approximately ¢29billion in tax and penalty liabilities.
A copy of the audit report dated December 23rd 2007, and signed by the Deputy Commissioner In-Charge of Special Duties, D.T Acquaye, for the Commissioner, which is in the possession of The Chronicle, reveals massive tax evasion.
The audit report revealed that the company had underestimated its income to the IRS by a whooping amount of ¢42billion.
It therefore decided to include it in its revised tax computation for the respective years.
For the same period, the IRS noted differences in the company's Direct Cost in the areas of stevedore gear, plant hire expenses, repairs and maintenance, and miscellaneous, whilst it added back items under-listed under General and Administrative expenses which amounted to over ¢17billion.
This included foreign travels, telephone, marketing research, post and telecommunications, software expenses, safety and security.
The rest were in the areas of fuel and lubricants, travel and transport, electricity and water, bank charges, interest, fines and penalty.
In the case of Deferred Liabilities, the IRS said it was not provided with documentary evidence in support of the company's indebtedness to its Directors.
Though the money was supposed to have been paid to the Directors of the company, the Chronicle investigations revealed that there was no evidence to show that any of the Directors received the money. Sources have indicated that the company did not owe any of the Directors as the impression is being created.
The IRS was therefore unable to accept the liabilities of an amount of over ¢24billion as stated in the financial statements for the years under review. For this reason, it resolved to adjust and include it in its tax computation.
Much as the IRS agreed to the fact that in every business operations, there are some public relations, it noted in its report that "we are uncomfortable with the practice whereby at the end of the year, a huge portion of the expenditure is written-off to Suspense Account, and only relatively small portion is shown in the financial statements."
It was therefore compelled by prevailing circumstance to add back to profit, the write-offs in the years 2005-2006, which amounted to over ¢2billion.
Though the revenue collecting agency had no evidence of the company's Directors recommending the payment of Dividend in 2005 and 2006, available records indicated that the payments were made as Dividend to the tune of over ¢2billion.
The IRS thus imposed a 300% penalty for non-disclosure with a 10% tax, all amounting to over ¢1billion.
Further, the IRS detected an overstatement of the company's Salaries and Wages account in 2005, by over ¢373million and included it in its tax computation. Since the said account did not suffer tax, the IRS decided to subject same to tax at a marginal rate of 5%.
Contrary to the provisions of sections 3 and 83 of the Internal Revenue Act 2000, Act 592 as amended, Golden Gate Services limited failed to withhold taxes on payment for services rendered by third parties.
For that matter, the IRS computed the appropriate withholding taxes amounting to over ¢229million and added same to the company's tax liability in accordance with Section 88 of the Internal Revenue Act 2000, Act 519 as amended.
After the auditing, Golden Gate Services' total tax and penalty liability payable stood at approximately ¢29billion.
An interim audit report cited by The Chronicle and dated November 9th 2007, indicated that the company's tax and penalty liability was over ¢41billion but was later scaled down after final report.
In order to have its operational license renewed, the Ghana Ports and Habours Authority (GPHA) asked the company to settle the indebtedness of its tax liability for the years under review.
Search This Blog
Friday, June 13, 2008
Shh! Mills Has Nasopharyngeal Carcinoma
Posted to the web 31 March 2008
Charles Takyi-Boadu
A doctor contracted by The Chronicle to diagnose Professor John Atta Mills has tearfully pleaded with Ghanaians to pray for the gentleman because he is undergoing extensive radiotherapy for the dreaded 'nasopharnygeal carcinoma'.
The diagnosis for this illness is very unpleasant.
The shattering peace of news has generated heated debate within The Chronicle newsroom necessitating a call to our veteran journalist who owns this title to discuss how The Chronicle should handle the news.
His take is that the Ghanaian electorate have the right to know what the health status of their potential President is, especially since the public interest consideration in a democratic system outweigh the need to keep such information under wraps. It overrides what his personal interest is.
'He is a lawyer, he will know and appreciate this. Its how you present it, by all means go ahead but present it in a sympathetic caring way,' counselled Kofi Coomson.
Not unexpectedly, the director of Communications of candidate Mills dismissed this reporter's enquiry about Mills, waving off any suggestion that Professor Mills is sick. He insisted that he is 'in the best of health.
But Mr Anyidoho's remarks is a far cry from the Professor's own admission that 'Yes, Atta Mills is suffering from the nose, Yes, Atta Mills is receiving medical attention for his eyes.'
Additionally, the NDC flagbearer has gone on record to say that he has gone to China and South Africa to seek treatment for his illnesss, an indication of the extent he has travelled to keep the nature of his illness from public gawking.
The caution that The Chronicle doctor is raising is to keep the usually teetotal celibate Mills from the punishing schedule of a nationwide campaign which could exacerbate his medical condition, especially in July, when the full panoply of the NPP swings into action, with all 16 presidential candidates' metal brigade combining to take the entire country in one bomb fire of a campaign.
'His left eye is dropping now, symptomatic of the effect of the radio therapy on the rather aggressive cells that are attacking the left eye lobe,' suggested the doctor. WORSENING
It is now official that the health condition of the Presidential Candidate of the opposition National Democratic Congress (NDC), Professor John Evans Atta Mills keeps growing from bad to worse.
Nasopharyngeal Carcinoma, is a type of cancer originating in the nasopharynx, the uppermost region of the pharynx or "throat", where the nasal passages and auditory tubes join the remainder of the upper respiratory tract.
On his recent tour of the Eastern Region, it emerged that Mills was so far gone that he could not clearly identify Hon. Nyaunu, though he was close to him until Nyaunu mentioned his name to him.
Mills' illness differs significantly from other cancers of the head and neck in its occurrence, causes, clinical behavior, and treatment.
The worsening condition of his health, coupled with the problem of finding resources to run the NDC campaign machine is why Mills has been frequently visiting his 40 year old nephew, Kojo Mills, who happens to be the Chief Executive of the multi-billion-rand Shanduka Group, a gargantuan money black empowerment vehicle.
This goes to confirm the fear of the NDC MP for Lower Manya Krobo, Micheal Teye Nyaunu, who had earlier raised concerns about his flagbearer's health. There was near exchange of blows among some NDC MPs in Parliament when the MP suggested that the party's flagbearer be removed on account of his alleged poor health.
According to Hon Nyaunu, The NDC presidential candidate needed no medical officer to pronounce that he was terribly sick; pointing out that Prof Mills could not withstand the rigours of the campaign.
"Whether we like it or not, we are going into the race like wounded tigers, and we cannot allow a sheep to lead lions into such a battle. I'm afraid for my party," he warned.
The revelation incurred the wrath of other NDC parliamentarians around, including Enoch Tei Mensah (Ningo/Prampram), Moses Asaga (Nabdam) and Abukari Sumani (Tamale North), who virtually traded insults with Nyaunu for daring to speak his mind.
Nyaunu's bombshell immediately sparked off controversy in the party, with the leadership calling for a crisis meeting to douse the raging inferno which if not well managed, could further polarize the party.
But for the intervention of Richard Quarshigah, an ardent NDC member, the verbal scuffle that ensued could have degenerated into a brawl.
A statement issued after a meeting held later in the evening condemned the MP for his comments.
Charles Takyi-Boadu
A doctor contracted by The Chronicle to diagnose Professor John Atta Mills has tearfully pleaded with Ghanaians to pray for the gentleman because he is undergoing extensive radiotherapy for the dreaded 'nasopharnygeal carcinoma'.
The diagnosis for this illness is very unpleasant.
The shattering peace of news has generated heated debate within The Chronicle newsroom necessitating a call to our veteran journalist who owns this title to discuss how The Chronicle should handle the news.
His take is that the Ghanaian electorate have the right to know what the health status of their potential President is, especially since the public interest consideration in a democratic system outweigh the need to keep such information under wraps. It overrides what his personal interest is.
'He is a lawyer, he will know and appreciate this. Its how you present it, by all means go ahead but present it in a sympathetic caring way,' counselled Kofi Coomson.
Not unexpectedly, the director of Communications of candidate Mills dismissed this reporter's enquiry about Mills, waving off any suggestion that Professor Mills is sick. He insisted that he is 'in the best of health.
But Mr Anyidoho's remarks is a far cry from the Professor's own admission that 'Yes, Atta Mills is suffering from the nose, Yes, Atta Mills is receiving medical attention for his eyes.'
Additionally, the NDC flagbearer has gone on record to say that he has gone to China and South Africa to seek treatment for his illnesss, an indication of the extent he has travelled to keep the nature of his illness from public gawking.
The caution that The Chronicle doctor is raising is to keep the usually teetotal celibate Mills from the punishing schedule of a nationwide campaign which could exacerbate his medical condition, especially in July, when the full panoply of the NPP swings into action, with all 16 presidential candidates' metal brigade combining to take the entire country in one bomb fire of a campaign.
'His left eye is dropping now, symptomatic of the effect of the radio therapy on the rather aggressive cells that are attacking the left eye lobe,' suggested the doctor. WORSENING
It is now official that the health condition of the Presidential Candidate of the opposition National Democratic Congress (NDC), Professor John Evans Atta Mills keeps growing from bad to worse.
Nasopharyngeal Carcinoma, is a type of cancer originating in the nasopharynx, the uppermost region of the pharynx or "throat", where the nasal passages and auditory tubes join the remainder of the upper respiratory tract.
On his recent tour of the Eastern Region, it emerged that Mills was so far gone that he could not clearly identify Hon. Nyaunu, though he was close to him until Nyaunu mentioned his name to him.
Mills' illness differs significantly from other cancers of the head and neck in its occurrence, causes, clinical behavior, and treatment.
The worsening condition of his health, coupled with the problem of finding resources to run the NDC campaign machine is why Mills has been frequently visiting his 40 year old nephew, Kojo Mills, who happens to be the Chief Executive of the multi-billion-rand Shanduka Group, a gargantuan money black empowerment vehicle.
This goes to confirm the fear of the NDC MP for Lower Manya Krobo, Micheal Teye Nyaunu, who had earlier raised concerns about his flagbearer's health. There was near exchange of blows among some NDC MPs in Parliament when the MP suggested that the party's flagbearer be removed on account of his alleged poor health.
According to Hon Nyaunu, The NDC presidential candidate needed no medical officer to pronounce that he was terribly sick; pointing out that Prof Mills could not withstand the rigours of the campaign.
"Whether we like it or not, we are going into the race like wounded tigers, and we cannot allow a sheep to lead lions into such a battle. I'm afraid for my party," he warned.
The revelation incurred the wrath of other NDC parliamentarians around, including Enoch Tei Mensah (Ningo/Prampram), Moses Asaga (Nabdam) and Abukari Sumani (Tamale North), who virtually traded insults with Nyaunu for daring to speak his mind.
Nyaunu's bombshell immediately sparked off controversy in the party, with the leadership calling for a crisis meeting to douse the raging inferno which if not well managed, could further polarize the party.
But for the intervention of Richard Quarshigah, an ardent NDC member, the verbal scuffle that ensued could have degenerated into a brawl.
A statement issued after a meeting held later in the evening condemned the MP for his comments.
POLICE VOW TO HALT BRIBERY
By Charles Takyi-Boadu Posted: Tuesday, June 10, 2008
The Police Administration and the Motor Traffic and Transport Unit (MTTU) of the Ghana Police Service are strategising to take a firm action to redeem its image of the perception as a corrupt Institution. It has promised to arrest and prosecute bribe givers and takers alike, since it directly contravenes the constitution of the Republic.
In an exclusive interview with The Chronicle in Accra yesterday, the Deputy Commander of the MTTU, Superintendent Addison Campbell said “if any policeman is caught in the act of extortion, he or she will be dealt with as per the Police service Act.” The offender would also be prosecuted at the law court.
According to her, it is high time Ghanaians came to the realisation that both the giver and the taker of bribe are equally guilty before the law, hence the need to put a stop to such practices.
This was in reaction to series of allegations against some officers and men of the Police, especially those personnel in the MTTU who engage in corrupt practices such as taking bribes from defaulting drivers and suspects to let them off from the courts and the full rigours of the law.
Though some of the officers and men of the Police Service are trying strenuously to safeguard and redeem the image of the service, a few unscrupulous ones are still engaged in unwholesome practices which continue to be a border to several other Ghanaians and the Police service itself.
After months of investigations, The Chronicle discovered that some Policemen, especially those in the MTTU had devised new methods to arrest and impound vehicles which flout traffic regulations. These policemen hide behind shops for drivers and vehicles to either park or offload passengers at spots marked as ‘no parking’ areas in order to affect their arrest.
Instead of making their presence felt by the roadside to ward off recalcitrant drivers, the policemen choose to hide and allow them to flout the law and then arrest them.
However, some uniformed policemen who threaten to process and arraign offending drivers before court; such drivers are seen back on the road a few minutes later. Some of the police personnel operate on the Achimota-Mallam highway, Kwame Nkrumah circle and in the Central Business area of Accra.
From the accounts of some of these drivers, the police sometimes arrest them and their mates, only to collect money from them and then release their impounded vehicles.
But Superintendent Campbell says the practice is unprofessional since it does not conform to the basic tenets of policing. To her, since the mere sighting of a policeman in uniform would prevent people from flouting the traffic laws, there was no need for the police to adopt unprofessional methods in their policing duties. She asked police personnel involved in such practices to put a stop the habit, since anybody found in such an act is likely to face service enquiry. Though the police have been asked to refrain from conducting road checks, she noted that there are some ‘black spots’ where they cannot leave unattended to, since lots of accidents happen in these areas.
The Police Administration and the Motor Traffic and Transport Unit (MTTU) of the Ghana Police Service are strategising to take a firm action to redeem its image of the perception as a corrupt Institution. It has promised to arrest and prosecute bribe givers and takers alike, since it directly contravenes the constitution of the Republic.
In an exclusive interview with The Chronicle in Accra yesterday, the Deputy Commander of the MTTU, Superintendent Addison Campbell said “if any policeman is caught in the act of extortion, he or she will be dealt with as per the Police service Act.” The offender would also be prosecuted at the law court.
According to her, it is high time Ghanaians came to the realisation that both the giver and the taker of bribe are equally guilty before the law, hence the need to put a stop to such practices.
This was in reaction to series of allegations against some officers and men of the Police, especially those personnel in the MTTU who engage in corrupt practices such as taking bribes from defaulting drivers and suspects to let them off from the courts and the full rigours of the law.
Though some of the officers and men of the Police Service are trying strenuously to safeguard and redeem the image of the service, a few unscrupulous ones are still engaged in unwholesome practices which continue to be a border to several other Ghanaians and the Police service itself.
After months of investigations, The Chronicle discovered that some Policemen, especially those in the MTTU had devised new methods to arrest and impound vehicles which flout traffic regulations. These policemen hide behind shops for drivers and vehicles to either park or offload passengers at spots marked as ‘no parking’ areas in order to affect their arrest.
Instead of making their presence felt by the roadside to ward off recalcitrant drivers, the policemen choose to hide and allow them to flout the law and then arrest them.
However, some uniformed policemen who threaten to process and arraign offending drivers before court; such drivers are seen back on the road a few minutes later. Some of the police personnel operate on the Achimota-Mallam highway, Kwame Nkrumah circle and in the Central Business area of Accra.
From the accounts of some of these drivers, the police sometimes arrest them and their mates, only to collect money from them and then release their impounded vehicles.
But Superintendent Campbell says the practice is unprofessional since it does not conform to the basic tenets of policing. To her, since the mere sighting of a policeman in uniform would prevent people from flouting the traffic laws, there was no need for the police to adopt unprofessional methods in their policing duties. She asked police personnel involved in such practices to put a stop the habit, since anybody found in such an act is likely to face service enquiry. Though the police have been asked to refrain from conducting road checks, she noted that there are some ‘black spots’ where they cannot leave unattended to, since lots of accidents happen in these areas.
Subscribe to:
Posts (Atom)