The Public Accounts Committee (PAC) has questioned the Ministry of Labour and Employment over the disappearance of two vehicles purchased more than a decade ago and the subsequent accumulation of interest on the outstanding claim.

The matter forms part of a GH¢223,127 payment claim flagged by the Auditor-General in the special audit report on GH¢68.7 billion government arrears.

According to the report, the amount related to the procurement of two Nissan Tiida saloon cars, which cannot currently be traced. The audit also found that supporting documentation for the transaction was unavailable.

Appearing before the committee on 18 May, the Ministry’s Director of Finance, Mary Ninson, explained that records connected to the transaction could not be located, adding that the vehicles were “supposedly” procured in 2011.

She admitted the Ministry did not have adequate documentation relating to the transaction and said officials had informed auditors of the situation during the audit process.

Mrs Ninson further explained that although some payments relating to price adjustments for other items had been made, delays in settling the outstanding amounts had resulted in interest accumulation, a matter the Ministry of Finance had been informed about.

She also disclosed that documentation relating to two-horsepower air conditioners could not be traced, and the Ministry had similarly informed auditors of the missing records.

According to her, auditors later contacted the relevant institutions for clarification, but no responses were received.

On a separate issue involving the Fair Wages and Salaries Commission, Mrs Ninson explained that the total cost for the completion of a building project was estimated at GH¢5.1 million, out of which GH¢4.3 million had been certified as work completed.

She said auditors accepted the certified amount but rejected the remaining balance on the grounds that it related to work yet to be completed, a position the Ministry agreed with.

When questioned about how the Ministry verified that 40 per cent of the payment had been made and the documents relied upon, Mrs Ninson said the issue first emerged during the audit, after which the Ministry engaged Japan Motors and other relevant parties to establish the facts surrounding the transaction.

She said those engagements yielded only photocopied documents, with no original records available.

Mrs Ninson stressed the importance of original documentation in the payment process, noting that photocopies alone could not be used to validate claims for settlement.

She explained that without key supporting records, including invoices, the Ministry could not approve any payment, adding that all outstanding claims must be backed by credible documentation before settlement could be considered.