The Auditor General has disclosed that Bulk Oil Storage And Transportation Company Limited (BOST) is paying judgment debts of GH¢9,169,884.48 and US$3,057,096.00 due to the negligence of some officers.
In his report, the Auditor General explains that the judgment debts are being paid after BOST delayed the payment of legitimate contract sums to three contractors.
In his recommendation, the Auditor General has charged the management of BOST to ensure that officers responsible are sanctioned accordingly.
“BOST continues to pay avoidable judgment debts in the forms of cost and interest amounting to GH¢9,169,884.48 and US$3,057,096.00 to three contractors for breach of contract and undue delays in the payment of legitimate contract sums.
“We recommended that should Management apply appropriate sanctions on all officers whose negligence have occasioned the loss. Additionally, we urged Management to heed to all contract terms and indulge in negotiations rather than lawsuit in resolving disagreements,” parts of the report by the Auditor General reads.
During his audit of BOST, the Auditor General also uncovered that investments of GH¢19,665,333.36 were made although there are no policy documents to support such a venture.
In the foregoing, BOST has been ordered to develop a policy document to guide future investment decisions.
“We noted after a review of the Board’s policy documents that, the Board has no policy guidelines on how BOST’s financial resources should be invested but did an investment with some financial institutions leading to lock up of funds to the tune of GH¢19,665,333.36.
“We recommended that the Board should develop a policy document to guide future investment decisions of the company,” the Auditor General adds in his report for the year ending December 2021.