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Public Accounts Committee Probes Unearned Salaries at Defence Ministry

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The Public Accounts Committee (PAC) resumed its second sitting on Wednesday, August 20, 2025, to consider the Auditor-General’s 2024 report, with focus on the Ministry of Defence, the Ministry of Roads and Highways, the Office of Government Machinery, and the Ministry of Energy.

The Public Accounts Committee Chairperson, Hon. Abena Osei Asare, recused herself from presiding over the proceedings to avoid conflict of interest, noting that the report under consideration pertained to her party’s period in government. In line with parliamentary practice, she handed over the chairmanship to the Ranking Member, Hon. Samuel Atta Mills.

The session began with questions directed at the Ministry of Defence regarding unearned salaries flagged by the Auditor-General. According to the report, an amount of GH¢3,957 had been wrongly paid and was to be recovered with interest at Bank of Ghana rates.

Hon. Osei Asare pressed the Ministry’s delegation on whether the recovery included the interest component. The Deputy Minister for Defence confirmed that the principal sum had been refunded into the designated account. However, the Ministry’s Finance Director clarified that the management letter from the Auditor-General only instructed the recovery of the principal amount, not interest.

Representatives of the Audit Service explained that while management letters gave institutions one month to act, failure to comply at that stage resulted in the matter being escalated into the Auditor-General’s report, which carried stricter recommendations, including recovery with interest.

Hon. Osei Asare urged the Audit Service to ensure that future management letters clearly align with final reports to prevent discrepancies.

Hon. Atta Mills cautioned the Defence Ministry’s Finance Director, stressing that the failure to recover salaries with interest amounted to a breach of the Public Financial Management Act, 2016.

The public accounts committee is expected to continue its sittings with further scrutiny of other ministries and agencies on the Auditor-General’s findings.