The management of J.A. Plant Pool (Ghana) Limited (JAPP) has attributed the alleged US$2 million overpayment in the District Roads Improvement Programme (DRIP) contract to a clerical error in official documents.
The company also dismissed allegations of overpayment, tax evasion, and over-invoicing made by the Attorney-General and Minister for Justice, Dominic Ayine.
This follows revelations by the Attorney General that the government has demanded a refund of $2 million from JA Plant Pool Ghana Limited after investigations uncovered financial irregularities in the District Roads Improvement Programme contract.
Speaking at the Government Accountability Series in Accra on Wednesday, 22 October 2025, Dr Ayine said the overpayment emerged during a forensic review of the $176 million contract awarded to the company.
Reacting to the allegations in a statement issued on Thursday, October 23, JAPP described the Attorney-General’s public comments on the matter as “unfortunate,” saying they presented a partial narrative that risked damaging the company’s reputation.
“The disclosure presents a partial narrative of the issues and risks tarnishing the company’s hard-earned reputation built over years of diligent service to the Government and people of Ghana,” the company stated.
Clerical Error, Not Overpayment
Responding directly to the Attorney-General’s claim that the government overpaid JAPP by US$2 million, the company clarified that the approved and executed contract sum was US$178,704,739.50, not US$176 million as alleged.
“It is 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 said.
The company explained that the supposed overpayment stemmed from a clerical mistake in the Public Procurement Authority’s (PPA) approval letter, specifically relating to one of the equipment line items. It said the error was promptly reported to the approving authorities for correction.
JAPP insisted that all transactions under the DRIP contract were lawful, transparent, and approved through proper government channels, stressing that it could not be held responsible for typographical or administrative errors made by state institutions.
Rebuttal of Tax and Over-Invoicing Allegations
On allegations of GHS 38.7 million in tax evasion, the company maintained that all its imports were duly declared to the Ghana Revenue Authority (GRA) and placed under bonded warehouse supervision.
“The claim that JAPP imported and cleared 190 pieces of equipment under false tax exemption claims is incorrect. Only 99 semi-knocked-down components were imported to support maintenance operations, not for separate commercial gain,” it stated.
JAPP also rejected assertions of over-invoicing with inflated mark-ups, arguing that the contract prices were competitively negotiated and offered value for money.
“The US$178 million contract for 2,420 units was, in fact, value for money,” the statement noted, comparing it favourably with a previous government procurement of similar equipment for US$1.3 billion.
Socio-Economic Impact of DRIP
The company further highlighted the DRIP project’s contribution to national development, noting that it had created over 11,000 jobs, trained 4,000 local mechanics, and established mobile maintenance units in all 16 regions.
“These interventions have had a transformational socio-economic impact, enhancing local expertise, creating employment, and retaining technical value within the Ghanaian economy,” JAPP added.
J.A. Plant Pool reaffirmed its commitment to transparency, accountability, and collaboration with government agencies to ensure the DRIP project continues to deliver value to Ghana’s development agenda.
Click here to read the rejoinder by JAPP
…
Explore the world of impactful news with CitiNewsroom on WhatsApp!
Click on the link to join the Citi Newsroom channel for curated, meaningful stories tailored just for YOU:
https://whatsapp.com/channel/0029VaCYzPRAYlUPudDDe53x
No spam, just the stories that truly matter! #StayInformed #CitiNewsroom #CNRDigital
