The Social Security and National Insurance ( SSNNIT) has rejected claims in the 2020 Audit General’s report citing the Trust as having served as a guarantor to transport company, Intercity STC to secure a loan of 17.5 million dollars from the Agricultural Development Bank (ADB).
According to the 2020 report of the Auditor General, SSNIT guaranteed the loan from ADB to procure 100 buses to augment their fleet.
The implication of the guarantees is that in the event of STC’s default on the loan, SNNIT would be called upon to pay.
These revelations came up at the Public Accounts Committee.
Responding to questions, the Director General of SSNIT, Dr. John Ofori Tenkorang said the Trust never guaranteed the loan.
” I am challenging and saying that we have not signed any guarantee to the facility that was taken from STC by ADB. In fact, when that facility was going into, STC came to SSNIT to give a loan and the SSNIT Board declined because there were outstanding loans that hasn’t been paid. So it wouldn’t have been prudent to go and extend it further.
So they got the Ministry to help them to get the loan from the ADB and what we had to do was to give a no objection, so there’s no guarantee document that SSNIT has signed to guarantee that loan and the Auditors can produce that document if such exist,” Mr. Tenkorang mentioned.
