In Ghana, PDS is suing the government for abusive breach of the ECG concession contract it obtained in 2019. The Philippine-Ghanaian company asks the executive to find the perpetrators of the fraud at the basis of the breach of contract and bring them to justice.
In Ghana, Power Distribution Services (PDS) is suing the state for illegal breach of contract. This information was communicated by Kojo Oppong Nkrumah (photo), the Minister of Information. “They are suing us by saying that if there has been a fraud we should find the people involved and bring them to justice. The case is currently pending before the Ghanaian courts , ” said the minister.
In fact, in March 2019, PDS obtained a concession from the Electricity Company of Ghana (ECG), the national electricity company, for a period of 20 years. The objective of this concession was to allow the entity to operate better and was one of the conditions set by the Millennium Development Authority (MiDA) for the country to obtain a compact valued at $ 190 million in profit of the sector. In July 2019, the government terminated the concession contract, arguing that the company’s selection process had been tainted with fraud.
A subsequent investigation with the support of MiDA revealed that the guarantees provided by PDS were not valid. PDS is now contesting the withdrawal of the warrant and asking the court to compel the government to carry out an investigation to determine those involved in the fraud, if any, and to bring them to justice.
The government will contest the charges against him, said the minister “because we have grounds for contesting and we are convinced that our case will stand before the courts” .
Source: Agence Ecofin