Former Nhyieso MP indicted over GHS 500,000 Common Fund ‘scandal’

The Auditor General has fingered the former Member of Parliament for Nhyieso, Kennedy Kankam for his role in disbursing GHS 500,000 of the Common Fund to his constituents.

Ken Kankam

Mr. Kankam is alleged to have used the monies meant for development in his constituency as loans to some individuals.

In an audit report by the AG, the loans which were given out in 2019 are yet to be recovered.

According to the document sighted by Myjoyonline.com, the Auditor-General in a management letter on DACF and other statutory funds of KMA for the year ended 31st December 2020 signed by the Ashanti Regional Director Alhassan Mahama says upon the instructions of the former Member of Parliament for Nhyiaeso (Hon. Kennedy Kwasi Kankam) in collaboration with erstwhile Finance Officer (Mr Daniel Kofi Kamkam and Coordinating Director (Mr Samuel Donkor) GH-₵500,000.00 was transferred in May 2019 from the MPs Constituency Labour Project Fund and Social Investment Fund to Barclays Bank Ghana Limited (currently Absa Bank Ltd.), Kroform Branch for onward disbursement to 430 persons of his constituency on loan fully recoverable by August 2020.

The report says proper procedure was not applied because, the Lawyer for the Assembly was not party to the signed Memorandum of Understanding and also there was no signed agreement with the beneficiaries so the interest of the Assembly was not safeguarded.

The report also indicates that management of the Assembly has not since expressly requested Absa Bank to perform its contractual obligation of recovering the loans.

The Auditor-General says his interaction with the Former Barclays Bank Manager, Krofrom Branch (Ms Ivy Agbemadzo) who signed a Memorandum of Understanding prepared by KMA Lawyer Patrick Adu-Poku and dated 26th April 2019 committing the Bank to do the recovery of the loan confirmed that no recoveries had been done as at 20th January 2021.

The AG has charged the former MP (Hon. Kennedy Kwasi Kamkam), the erstwhile Finance Officer and Coordinating Director (Mr Daniel Kofi Kamkam and Mr Samuel Donkor respectively) as well as the former Branch Manager of Absa Bank, Krofrom branch (Ms Ivy Agbemadzo) to take steps to recover the amount of GH₵500,000.00 into the KMA Member of Parliament for Nhyiaeso Common Fund account.

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