The Finance Director for Kumasi Metropolitan Assembly (KMA), David Abbam Adjei, has accused Fidelity Bank of violating the terms of their agreement concerning a five million Ghana cedis loan for the continuation of the abandoned Krofrom Market project initiated by former President John Agyekum Kufour’s administration.
According to the financial director, the agreement stipulated that KMA would request GHS 5 million from Fidelity Bank and if approved, the bank was supposed to pay the money directly into KMA’s account, and KMA would then disburse the funds as needed.
However, Adjei stated that the former Chief Executive of KMA, Osei Assibey Antwi, wrote a letter to Fidelity Bank instructing them to pay an additional GHS 3 million directly to the contractor.
He emphasized that nowhere in the agreement did it state that Fidelity Bank should pay the GHS 5 million loan facility into a contractor’s account.
“What we instructed them was that they should pay it into KMA’s account, and we’ll pay the contractors,” he stressed.
Mr. Adjei further stated that Fidelity Bank violated the agreement by directly disbursing the funds to the contractors, which is not the normal procedure.
He emphasized, “We’re asking for GHS 5 million, you open an account, you put the money in the account, and the money is disbursed. But the money was directly disbursed to the contractors, that’s not the normal thing”.
Again, the Finance Director for KMA revealed that Fidelity Bank opened an account for KMA without the consent of the Finance Director and Coordinating Director, who are the signatories for KMA’s financial services.
“After the contract was signed, Fidelity opened an account for KMA without the consent of me, the Finance Director, and the Coordinating Director,” he explained.
David Adjei further clarified that as the Finance Officer, he is not a signatory to the account opened by Fidelity Bank, nor is the the Coordinating Director. “If you ask whether an account was opened, it was later we started our investigation, then we became aware of all these happenings that account was opened,” he told Host Kojo Marfo on AbusuaNkommo at ABUSUA965FM.
Source: Ghana/Starrfm.com.gh/103.5FM/Kwadwo Owusu