Former MASLOC CEO slapped with 80 counts of stealing, money laundering

Former MASLOC CEO slapped with 80 counts of stealing, money laundering
Source: Ghana | Myjoyonline.com | NSA
Date: 31-01-2019 Time: 02:01:22:pm

The former CEO and Operations Manager of the Micro Finance and Small Loans Centre (MASLOC) have been slapped with 80 counts of stealing and causing financial loss to the state.

Sedina Tamakloe Attionu and Daniel Axim who are first and second defendants, according to the charge sheet cited by Joy News, have also been charged with causing loss to public property, improper payment of public funds, unauthorized commitment resulting in a financial obligation for the government and contravention of the public procurement act.

In all the CEO is said to have during various periods of her tenure misappropriated ¢783,500 belonging to the centre, but that is not all.

Both the CEO and Operations Manager according to the ruling attempted at various stages during their stay in office to either steal or misappropriate money belonging to MACLOC.

The charge sheet also stated that on September 28, 2016, the Attinou and Axim dishonestly appropriated ¢162,000 belonging to the Centre.

The two also agreed, according to the charge sheet to come together and willfully cause financial loss to the state contrary to sections 23(1) and 179A(3)(a) of the Criminal Offences Act, 1960 (Act 29).

Facts of the case

BRIEF FACTS

The 1st accused person, Sedina Christine Tamakloe Attionu, was the Chief Executive Officer of the Microfinance and Small Loans Centre (MASLOC) from November 2013 to January 2017. The 2nd accused person, Daniel Axim, is the former Operations Manager at MASLOC. MASLOC is a government agency set up to assist small and medium scale businesses with low-interest loans.

In 2017, the Economic and Organised Crime Office (EOCO) conducted investigations into certain fraudulent disbursement of MASLOC funds involving the 1st and 2nd accused persons.

Investigations revealed that in June 2014, MASLOC invested a sum of GH¢150,000 in Obaatanpa Micro-Finance Company Limited (Obaatanpa), a licenced Tier II microfinance company located at Ejura in the Ashanti Region. Thereafter, the 1st accused person offered Obaatanpa a further investment sum of GH¢500,000. As a result, a MASLOC Agricultural Development Bank (adb) cheque dated 24th July 2014 in the sum of GH¢500,000 was drawn in favour of Obaatanpa.

Soon after Obaatanpa received the MASLOC cheque, the 1st accused person informed the Board Chairman of Obaatanpa that the investment amount of GH¢500,000 would attract 24% interest. Obaatanpa decided to return the amount to MASLOC since the interest rate being demanded by the accused person was too high and unprofitable for its business and issued a cheque in a refund of the loan amount.

Upon presentation of the cheque, the 1st accused person declined to accept the cheque and made a demand for a cash refund. A cash amount of GH¢500,000 was delivered to the 1st accused person by the Board Chairman of Obaatanpa on the night of 28th August 2014 at the Baatsona Total Filling Station located on the Spintex Road in Accra. By a letter dated 28th August 2014, the 1st accused person acknowledged receipt of the refunded sum.

In 2015, per letters some of which were under the hand of the accused person, MASLOC made demands on Obaatanpa for the payment of interest on the principal investment sum of GH¢500,000.  In response to the demands, Obaatanpa wrote a reminder to MASLOC concerning the payment of the loan amount and drew the 1st accused person’s attention to the unjustified demands whereupon the demands stopped.

In 2017, upon the assumption of office of a new Chief Executive of MASLOC a demand notice was again sent to Obaatanpa for the payment of accrued interest on the same investment sum of GH¢500,000 whereupon Obaatanpa once again informed MASLOC that the money had already been refunded since 2014. Investigations subsequently showed that MASLOC had no record of the amount having been paid to it and that the 1st accused person had appropriated the amount of GH¢500,000.


Investigations further revealed that in April 2016, the 1st accused person obtained approval of the MASLOC Board to utilize the sum of GH¢1,706,000 of MASLOC funds for a countrywide sensitisation and monitoring programme for 85,300 beneficiaries of MASLOC loans. Each of the targeted 85,300 beneficiaries was to receive Twenty Ghana Cedis (GH¢20) to cover transportation and refreshment.

Between April and December 2016, upon the authority of the 1st accused person, a total sum of GH¢1,816,000 withdrawn in tranches was received by the 1st and 2nd accused persons even though approval had been given by the MASLOC Board for a sum of GH¢1,706,000.

Again investigations revealed that out of the sum of GH¢1,816,000 only GH¢1,300 was spent on refreshment for some beneficiaries in the Volta, Greater-Accra and Brong-Ahafo Regions only and that no programme whatsoever took place in the other seven regions.

Investigations also revealed that prior to the Board’s approval, the first accused person also appropriated GHC 246,280 meant for training, sensitization and Financial Literacy.

Investigations further disclosed that in 2013, following a fire disaster at the Kantamanto Market, the then President John Mahama directed MASLOC to provide an assistance of GH¢1,465,035 to victims of the fire disaster. The money was, however, to be disbursed through Dwadifo Adamfo Savings and Loans Company Limited (Dwadifo Adamfo). Investigations showed that the 1st accused person appropriated GH¢579,800 out of the sum of GH¢1,465,035.

In August 2016, the 1st accused person on behalf of MASLOC wrote to the Public Procurement Authority (PPA) for approval to procure vehicles from Mac Autos and Spare Parts Ltd (Mac Autos) for the GPRTU using the single source method under the Public Procurement Act. In October 2016, the PPA wrote back to MASLOC requesting MASLOC to furnish it with financial arrangement approved by the Ministry of Finance.

On 5th December 2016, the then Minister of Finance wrote to the PPA to confirm financial arrangements which were being put in place for the purchase of vehicles. Without any approval from PPA , the 1st accused person signed a contract with Mac Autos on 6th December, 2016 to supply MASLOC with 350 vehicles comprising of 150 Chevy Aveo Saloon, 100 Chevy Sparklite and 33 Seater Isuzu Buses. MASLOC applied for a tax waiver on all the vehicles.

The unit price offered by Mac Autos to MASLOC for the Chevy Aveo was GH¢74,495 ($18,883.39), however, investigations revealed that the actual retail price Mac offered for the same model within the same year without duty was GH¢47,346.93 ($12,009.91). The unit price offered for the Chevy Sparklite was GHC 65,095.00 ($16,500.63) when the actual price offered by Mac Autos within that same period without duty was GH¢35,918.37 ($9,104.77). For the Isuzu 33 seater buses, the unit price offered to MASLOC was GH¢445,560 ($112,942.96) but the actual retail price without duty was GH¢293,877.55 ($74,493.67).

Again, in November 2016, MASLOC procured 200 pieces of Samsung B310 mobile dual sim phones under a project called PINCO Project Market Survey. Investigations revealed that although the actual open market price of the phones was GH¢24,400, the 1st accused person purchased them at the inflated the price of GH¢93,412.

Investigations also revealed that, in January 2017, the 1st accused person, without the requisite approval and authorisation, caused to be paid to herself and her deputy, one Mustapha Abubakar Batalima, the sums of GH¢135,592.33 and GH¢82,218.76 respectively as ex gratia. Furthermore, in the same month, the 1st accused person caused to be paid to herself and her deputy cash payments in the sums of GH¢28,445.94 and GH¢27,486.62 respectively, purportedly in lieu of leave in contravention of the law.