Service Ghana Auto Group Limited has issued a response to allegations made by North Tongu MP Samuel Okudzeto Ablakwa concerning a $34.9 million (GH₵538 million) ambulance spare parts procurement deal. Mr. Ablakwa alleged the company was involved in a potentially corrupt deal, prompting him to petition the Office of the Special Prosecutor.
The contract in question included after-sales service and maintenance for 307 Mercedes Benz Sprinter 315 CDI ambulances secured by the government in 2019. The deal was reportedly approved by the Finance Minister just five days before his removal from office. Mr. Ablakwa also questioned the legitimacy of Service Ghana Auto Group Limited, noting that the company was incorporated on April 24, 2020, a year after the ambulances were commissioned, which raised doubts about their capacity to service the ambulances. He expressed concern about why the government awarded the contract to a company previously indicted in a report by the Auditor General.
In a statement issued on Thursday, August 1, Service Ghana Auto Group Limited refuted these claims, describing them as false. The company stated that all parties involved in the transaction adhered to competitive procurement processes, maintaining integrity and complying with legal procedures.
Service Auto Group denied the claim that it was “handpicked,” asserting that it participated in a competitive procurement process alongside 16 other companies and was selected on merit to procure and provide after-sales service and maintenance for the ambulances for the National Ambulance Service.
The company explained that out of the 16 companies, seven formed a consortium during the pre-tender workshop round. It emphasized that the Ministry of Finance established a $10 million Letter of Credit (LC) rather than making direct payments, contrary to the allegations. Additionally, bank loans were procured to finance key obligations under the contract.
The statement also addressed claims regarding associations with certain individuals. It clarified that while Stephen Okoro is a director of one of the seven companies, this information is publicly available at the Registrar of Companies. The consortium, its constituent companies, and Service Ghana Auto Group Limited (SGAGL) denied any wrongdoing.
