Domelevo describes selection of KPMG to audit GRA/SML contract as ‘illegal and unprofessional’

Former Auditor-General Daniel Yaw Domelevo has strongly criticised the choice of KPMG to audit the contract between the Ghana Revenue Authority (GRA) and Strategic Mobilisation Ghana Ltd (SML), labelling it as illegal and unprofessional conduct.

President Nana Addo Dankwa Akufo-Addo mandated KPMG to audit the contract between the two entities on January 2, 2024.

In response to the audit report submission, a press statement from the Presidency on April 24 stated, “the total fees paid under the contracts from 2018 to the date of suspension amount to GH¢1,061,054,778.”

SML refuted and contested the assertion that the company was paid GH¢1,061,054,778.

Addressing the contract, its suspension, and the ensuing audit, the former Auditor-General expressed grave concerns, suggesting that each aspect reeks of illegality, corruption, and unprofessional behaviour.

Mr Domelevo, speaking on Citi FM, said commissioning KPMG to conduct the audit violated procurement regulations and hinted at a conflict of interest since KPMG maintains ongoing contracts with both the Ghana Revenue Authority and the Ministry of Finance.

“I don’t see why KPMG accepted to do the audit because first and foremost, KPMG provides services to GRA and MOF [the Ministry of Finance] so they are conflicting but let’s put that aside because it is not a big deal.

“KPMG cannot accept an illegal contract from the government. The contract under which KPMG was selected to go and provide the service should have been a competitive selection process,” Mr Domelevo emphasised.

He further elaborated, “If the KPMG contract did not go through the public procurement process, that is either through competitive tendering or approval from the Public Procurement Board, then they have entered into an illegal contract and that is illegal and unprofessional.”

The former Auditor-General stressed the necessity of understanding how KPMG was chosen, suggesting that certain state agencies could have undertaken the task.

Mr Domelevo cited Article 187, Clause 8 of the 1992 Constitution, which provides the President, on advice from the Council of State, the authority to request the Auditor General to conduct specific audits in the national interest.

He questioned why this option wasn’t pursued.

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