Story By: Juliet Akosua Danquah
In a sharp rebuttal, J.A. Plant Pool (Ghana) Limited (JAPP) has publicly challenged allegations made by the Attorney-General, Dominic Ayine, concerning the District Roads Improvement Programme (DRIP), denying any financial wrongdoing and asserting its commitment to national development.
The company’s response comes after the AG disclosed an investigation that demanded a $2 million refund for an alleged overpayment and cited tax evasion and over-invoicing. JAPP described the disclosure as “unfortunate” for presenting a “partial narrative” that risks tarnishing its reputation.
On the $2 Million ‘Overpayment’
JAPP firmly rejected the claim that the contract sum was $176 million, stating the AG’s figure is factually incorrect. The company clarified that the legally binding contract, signed on February 12, 2024, explicitly states the total price as $178,704,739.50.
“It is therefore factually incorrect to assert that the contract sum was USD 176 million. The official contract amount, duly executed by all Parties, remains USD 178,704,739.50,” JAPP stated. The company attributed any discrepancy to a “clerical mistake” in a PPA approval letter, which it had promptly flagged for correction. “JAPP cannot be held liable for errors originating from approving authorities,” the company asserted.
On Alleged Tax Evasion
The company also refuted the claim of evading GHS 38.7 million in taxes on 190 illegally imported equipment pieces. JAPP clarified that only 99 additional components were brought in, and these were essential support items, not for separate sale.
“These items were largely semi-knocked-down (SKD) components… necessary for the maintenance and after-sales support of the DRIP machinery,” JAPP explained, adding that all items were properly declared to the GRA. “It is evident that there is no case of tax evasion.”
On ‘Over-Invoicing’ Claims
JAPP dismissed the audit’s finding of 100-300% mark-ups as “inaccurate,” arguing their prices were competitive and represented significant savings for the government. The company provided a comparison, stating that a previous procurement of 60 similar units cost over $32 million, whereas the 2,420 DRIP units were secured for $178 million.
Highlighting Project Value
Beyond its defense, JAPP detailed the DRIP project’s “exceptional socio-economic and technical value to Ghana,” highlighting the creation of over 11,000 jobs and the training of more than 4,000 Ghanaian mechanics. The company emphasized its establishment of a nationwide maintenance network and two-year warranties on all equipment, ensuring “zero abandonment or post-delivery breakdown losses.”
JAPP, a wholly Ghanaian-owned company, expressed its “profound gratitude to the Government and People of Ghana for their unwavering support,” reaffirming its commitment to “contributing meaningfully to Ghana’s development agenda.”
Story By: Juliet Akosua Danquah
