- J.A. Plant Pool (JAPP) denies allegations of US$2 million overpayment, tax evasion, and over-invoicing
- Claims the issue resulted from a clerical error in the Public Procurement Authority’s approval letter
- Attorney-General Dr. Dominic Ayine had cited irregularities in the US$176 million DRIP contract
The management of J.A. Plant Pool (Ghana) Limited (JAPP) has dismissed allegations of a US$2 million overpayment, tax evasion, and over-invoicing in the District Roads Improvement Programme (DRIP) contract, describing the claims as misleading and based on a clerical error.
The company’s response follows revelations by Attorney-General and Minister for Justice, Dr. Dominic Ayine, that the government had requested a refund from JAPP after investigations revealed financial irregularities in the US$176 million contract.
Speaking at the Government Accountability Series in Accra on Wednesday, October 22, 2025, Dr. Ayine said the overpayment was discovered during a forensic audit of the project.
In a statement issued on Thursday, October 23, JAPP described the Attorney-General’s remarks as “unfortunate” and claimed they provided a “partial narrative” that could harm the company’s long-standing reputation.
Clerical Error, Not Overpayment
JAPP clarified that the approved and executed contract sum was US$178,704,739.50, not US$176 million as alleged. The company said the discrepancy arose from a clerical mistake in the Public Procurement Authority’s (PPA) approval letter, which was promptly reported for correction.
“It is factually incorrect to assert that the contract sum was USD 176 million,” the company stated, emphasizing that all transactions were lawful, transparent, and approved through proper government channels. JAPP added that it should not be held accountable for typographical or administrative errors made by state institutions.
Response to Tax and Over-Invoicing Allegations
Addressing claims of GHS 38.7 million in tax evasion, JAPP stated that all imports were duly declared to the Ghana Revenue Authority (GRA) and placed under bonded warehouse supervision.
“The assertion that JAPP imported and cleared 190 pieces of equipment under false tax exemptions is inaccurate. Only 99 semi-knocked-down components were imported to support maintenance operations,” the statement clarified.
The company also denied over-invoicing claims, arguing that contract prices were competitively negotiated and delivered value for money, noting that the US$178 million contract for 2,420 units compared favorably with previous government procurements worth US$1.3 billion.
Socio-Economic Impact
Highlighting the DRIP project’s contributions, JAPP said the initiative had created over 11,000 jobs, trained 4,000 local mechanics, and established maintenance units across all 16 regions.
“These efforts have strengthened local expertise, created employment, and retained technical value within Ghana’s economy,” the company noted.
J.A. Plant Pool reaffirmed its commitment to transparency, accountability, and cooperation with government agencies to ensure the DRIP project continues to support Ghana’s infrastructure development.
