Chief Executive of the Ghana Free Zones Board, Mr Kojo Twum Boafo has supported government decision to abrogate a contract with Bankswitch Ghana Limited in 2010.

That decision has resulted in a ruling by the Permanent Court of Arbitration (PCA) in The Hague, Netherlands, requesting government of Ghana to award the IT firm, a whopping GH¢197.4 million in judgement debt.

But Mr Twum Boafo, who is also a key figure in the governing National Democratic Congress (NDC), says the state had every right to do what it did four years ago.

His reason hinged on what he described as a "shrouded" deal  that was signed between the New Patriotic Party (NPP) administration and Bankswitch Ghana Limited in 2005.

The deal was signed on behalf of government by Dr. Anthony Akoto Osei, who was then Minister of state at the Finance Ministry, for the construction of a system to facilitate clearing of goods at Ghana's ports.

The contract was for the management of a platform for the revenue mobilisation programme of the Customs Division of the Ghana Revenue Authority (GRA).

Mr Twum Boafo said:"I fully support the decision that my ex-boss [Ms Hannah Tetteh] took (to terminate the contract) because, sometimes the people of this country and those who are put in authority need to stand up for what is right. And on that occasion Madam Hannah Tetteh stood up for what is right".

He said this on Radio Gold's "Alhaji and Alhaji" news analysis programme Saturday.

"She stood up for this country because 600,000 Ghana cedis every month, was going to be paid for some...company for services we didn't know [about]", he added.

Bankswitch filed a case before the Permanent Court of Arbitration, in The Hague for the payment of Gh¢853 million in damages for the cancellation of the contract in 2007.

The court however reduced the claims by about Gh¢600 million and awarded damages GH¢197.4 million against the state.

The contract, according to the Attorney General and Minister of Justice, Mrs Marietta Brew Appiah-Oppong was signed at a time, the State already had a contract with GCNET and a number of Destination Inspection Companies (DICs) performing the same functions for which Bankswitch was contracted to perform.