- BOST is facing financial challenges
- This is due to unpaid margin levies
- The audit uncovered irregularities in BOST’s procurement processes
The Bulk Oil Storage and Transportation Company (BOST) is facing financial challenges due to unpaid margin levies and procurement irregularities, according to the 2023 Auditor General’s Report.
The report revealed that 44 Oil Marketing Companies (OMCs) collectively owe BOST a substantial GH¢59.525 million in margin levies as of December 31, 2022.
The Auditor General has recommended that BOST take immediate action to recover this amount, including legal measures, and provide evidence of these efforts to the audit team.
Furthermore, the audit uncovered irregularities in BOST’s procurement processes. Goods and services worth GH¢886,771 were purchased from five different suppliers using Tax Clearance Certificates (TCCs) with identical serial numbers, issued from different Taxpayer Service Centers on varying dates.
The Auditor General has recommended a thorough investigation into this matter, with the culpable companies reported to the Public Procurement Authority and the Ghana Revenue Authority.
Additionally, sanctions should be imposed on BOST officials responsible for the oversight failures.
Another issue highlighted in the report involves VAT payments. BOST paid GH¢1,049 million for goods and services, including a VAT component of GH¢146,799. However, the VAT invoices from the suppliers used the same invoice booklet.
The Auditor General has instructed BOST to verify that the VAT amount was indeed paid to the Ghana Revenue Authority and to recover any unpaid VAT from the suppliers.
These findings underscore the need for improved financial management and oversight at BOST to prevent future losses and irregularities.
