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The Board of Directors of the Agricultural Development Bank (ADB) Plc has defended the renewal of a $750,000 contract this month, calling it a standard procedure essential for maintaining the bank’s critical services.
This follows accusations from Samuel Okudzeto Ablakwa, the Member of Parliament for North Tongu and Chairman of the “Operation Recover All Loot” (ORAL) committee, who raised concerns about the contract’s approval amid the political transition.
Ablakwa, in a post on X (formerly Twitter), criticised the Akufo-Addo/Bawumia government for what he described as “reckless and unpatriotic actions,” including the approval of questionable midnight contracts. He claimed that intercepted memos suggest government officials are pressuring institutions to make full payments before the inauguration of the new administration on January 7, 2025.
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The controversial contract in question involves an electronic servicing agreement worth US$750,000 (approximately GHS 12 million), which Ablakwa alleges was approved hastily by ADB’s Board of Directors just three days ago. He further claims that sources within the bank indicated intense political pressure to complete the payment by December 27, 2024.
In response, the ADB Board issued a statement asserting that the contract renewal was carried out in accordance with established procedures and regulations. The Board emphasised that its members remain committed to upholding professionalism and safeguarding the interests of all stakeholders.
“The Board would like to assure its esteemed customers, shareholders, and the general public that it remains focused and effectively and professionally discharges its duties,” the statement read.
The Board also highlighted the role of dual oversight by the Bank of Ghana and the Securities and Exchange Commission, ensuring that all actions comply with regulatory standards. It stressed that ADB’s operations are governed by its corporate organs, including the Board of Directors, which continues its work without interruption following general elections.
“To ensure effective corporate governance and maintain the bank’s safe operation, the Board does not freeze or abdicate its responsibility after elections,” the statement continued.
The ADB Board clarified that the contract renewal was part of a routine process to ensure the continuous provision of essential services. Every contract renewal approved was within the Board’s authority and aligned with the bank’s objectives, the statement emphasised.
