The Financial Intelligence Centre (FIC) has frozen the bank accounts of Power Distribution Services (PDS), it has been reported.
The account was frozen following the detection of anomalies in the bank guarantee it provided prior to the takeover of the assets of the Electricity Company of Ghana (ECG), the Daily Graphic newspaper reported.
The accounts were frozen prior to the issuance of an official government statement last Tuesday on the suspension of PDS, the Information Minister, Kojo Oppong Nkrumah told the newspaper.
He explained that the accounts would remain frozen until investigations were completed and all issues unravelled.
The government on Tuesday announced the suspension of the concession agreement after some fundamental and material breaches were detected on the part of PDS.
“The Government of Ghana, through the Ministry of Finance and the Electricity of Ghana, has suspended the concession agreement with the Power Distribution Services (PDS) Ghana Limited with immediate effect,” the statement signed by Kojo Oppong Nkrumah said.
“The decision follows the detection of fundamental and material breaches of PDS’ obligation in the provision of Payment Securities (Demand Guarantees) for the transaction which have been discovered upon further due diligence.
“The Demand Guarantees were key prerequisites for the lease of assets on 1st March, 2019 to secure the assets that were transferred to the concessionaire.”
The statement added that “government is conducting a full enquiry into the matter, and the outcome will inform the next course of action.”
