Bawumia played no role in PDS agreement approvals- MiDA Document reveals

A document from Millennium Development Authority (MiDA) has revealed that Vice President Dr Mahamudu Bawumia played no role in the controversial Power Distribution Services (PDS) Ghana Limited agreement with the Electricity Company of Ghana (ECG).

A letter February 28, 2019 to MiDA  on the Demand Guarantees for the Lease Payment Security and the BSA Payment Security submitted by PDS on March 1, 2019 reads” We have reviewed the terms of the Guarantees and take note of the following:

1. The Guarantees are irrevocable undertakings to pay the Beneficiary when there is a compliant demand;

2. The Guarantees are subject to the Uniform Rules for Demand Guarantees published by the International Chamber of Commerce.

3. The Guarantees stipulate the agreed sum for the guarantees; and

4. They are reasonably satisfactory in form to the Ministry of Finance In light of our review and in particular the foregoing, we hereby confirm that the guarantees are acceptable”

By virtue of contents of the letter signed by one Mangowa, it is evident that the Vice President did not play a role as claimed by a section of the minority in parliament including former Deputy Minister of Energy, John Abdulai Jinapor but rather procedures as directed by MiDA were followed.

Mr. Jinapor in a post was suggesting that the Vice President has some questions to answer in relation to the infamous PDS deal.

He disclosed in a post “We understand that, at the informal board meeting, the represented MiDA board members accepted the structure in principle and charged the Stakeholders to work with PDS and Cal Bank to agree on the text of the Demand Guarantees.3 It is, however, important to note that, although the represented MiDA board members accepted the proposed demand guarantee structure, the final “approval” was given during a meeting with the Vice President on February 19, 2019, and the Ministry of Finance and ECG were the parties who were involved in the “acceptance” of the final Payment Securities.

Vice- President Dr. Bawumia has a lot of questions to answer in respect of this PDS Scandal. He will surely hear from us sooner than later!!!”

Source: MyNewsGh.com