Most tertiary institutions have funds locked up with defunct banks – PAC

The Public Accounts Committee (PAC) has revealed that most tertiary institutions in the country have their funds locked up in defunct financial institutions after the banking sector cleanup.

Probing the Auditor-General’s report of the Ministry of Education and its agencies on Wednesday, February 14, 2024, the committee observed that, there were large infractions that run through some tertiary institutions that were heard.

The University of Development Studies (UDS), University of Ghana (UG), Ghana Institute of Journalism (GIJ), Akenten Appiah Menka University of Skills Training, Ghana Institute of Languages, Government Technical Training Center, University of Cape Coast (UCC), University of Ghana Enterprises Limited, University of Professional Studies (UPSA).

The infractions according to the Public Account Committee, include uncompetitive procurement, Management Issues, low liquidity ratio, lockup funds, fees from rentals, failure to return to the post after study leave, payment of unearned salaries, etc.

Chairman of the committee Hon. James Klutse Avedze and Member of Parliament for Ketu North therefore warned the University of Ghana (UG) not to engage in uncompetitive procurement practices adding that, the University breached the Procurement Law by engaging in procurement practices that contravene the Procurement Act.

The chairman added that this issue of procurement breaches has come up often against UG in previous audit reports and asked for the last assurance from officials of the University that appeared before the committee.

Hon. James Klutse Avedze also urged the institutions to work hard to recover their lock-up funds that were invested in some Financial Institutions.

The Public Accounts Committee (PAC) is currently hearing the Auditor-Generals report of Public Boards, Corporations and other statutory Institutions for the period ended December 31, 2022.

Source:myrepubliconline