Minority opposes arrangement for purchase id aircraft

Page 3, March 19. 2008
Story: Emmanuel Adu-Gyamerah
THE Minority in Parliament said yesterday that while it was not against the re-equipping of the Ghana Air Force, it is opposed to the whole arrangement of the planned purchase of the aircraft because it is unconstitutional, lacks clarity and insensitive to the real needs of the country.
At a press conference to state the position of the Minority in Parliament, the Minority Leader, Mr Alban Bagbin, said what was before the House was not an application for the acquisition of aircraft for the Ghana Air Force but the acquisition of two luxury aircraft for “Presidential comfort”.
He explained that the first aircraft, a luxurious Falcon 900 Ex Easy, with a capacity of only 12 passengers, was being purchased at the cost of $43,150,00 with a buyer’s credit of $37,150,000 from Societe Generale of Paris, while Ghana was making available a budgetary amount of $6 million. The loan is repayable within five years.
Mr Bagbin said the Corporate Jet was also being financed from a loan of $52 million from an undisclosed source and an additional government support of $10 million.
“The Minority take issue with the purchase of the two luxury aircraft at this time of HIPC, where the refrain for failure to execute projects is ‘when funds are available’,” he said.
He said it was important not only to look at the legalities or otherwise of the transaction, but also to examine “the issue of how trustees of political power use the resources of the society for their personal interest in preference to the interest of the disadvantaged members of the society”.
Mr Bagbin explained that the House had been called upon to approve the report of a joint parliamentary committee and resolve to mandate the government to purchase 1 Unit 319 ER Corporate Jet from Airbus Industry at the cost of $62 million and 1 Unit Falcon 900 Ex Easy aircraft from Aviation SA at the cost of $43.14 million
The acquisition, according to the government’s memo and the Parliamentary Committee report, was being done in “pursuit of the Ghana Armed Forces five-year strategic development plan spanning 2005-2010”.
He said it was important to know that in 2003, Parliament approved a $55-million Barclays loan from which four transporter helicopters were purchased, while the Gulf Stream III was also exchanged for K8 Chinese –made trainer/light attack military jets and one flight simulator for the Ghana Air Force.
He said the sale contract of the current transaction between the government and the Dassault Aviation SA was signed on February 13, 2008 by the Minister of State at the Ministry of Finance and Economic Planning, Dr Anthony Akoto Osei, and officials of the company and explained that the payment schedule of the contract stipulated that five per cent of the price due must be paid on signature.
The payment of deposit which involved the withdrawal of money from the Consolidated Fund without parliamentary approval contravened Articles 178 and 181 of the 1992 Constitution.
“It is ironic that the very same people who raised objections in 1999 to the NDC acquisition of the Gulf Stream on grounds of misplaced priority are today asking Parliament and the nation to approve the acquisition of two luxurious Presidential Aircraft whose costs are exorbitantly higher than that of the Gulf Stream,” he said.
Meanwhile, the Majority in Parliament is to hold a press conference today apparently to respond to issues raised by the Minority on the issue.