GII kicks against MPs on boards of state institutions

A statement issued by the initiative in Accra Thursday said the only justification was to enable such parliamentarians earn extra income outside their parliamentary duties.

“This practice must stop if we are committed to having effective institutions and having a Parliament that plays an effective oversight over the Executive and affairs of the state. Ghanaians must condemn these appointments,” it said.

It expressed worry that very often board members were allowed to fix salaries and other benefits for chief executives and other management staff while, in turn, the CEOs fixed allowances for the board chairs and other members.

“Some of these board members are paid outrageous sitting allowances, alongside several benefits in kind, such as official vehicles, free fuel, sponsored foreign travels and birthday parties,” the statement said.

It alleged that board members tended to reward themselves and enjoy such huge compensation packages “as if the entities they are put in charge to manage are their personal property when, indeed, they have not invested a cedi of their own”. 

It said through such acts, the nation lost resources which went into private pockets which could have been paid into the Consolidated Fund for the common good of society and cited the recent Ghana Investment Promotion Council saga as an instance.  

The statement expressed concern that in some cases, some influential and highly placed persons belonged to several boards, even when they were too busy to attend and contribute to board meetings and activities, and added that there could be no meaningful justification for such appointments other than political patronage.

It urged President Mahama to pursue the anti-corruption mandate given him by the Constitution and ensure that those he appointed to manage state-owned enterprises had the requisite competencies, knowledge and skills to manage those entities and, if possible, make the criteria for such appointments known and the members account appropriately for their stewardship.

It suggested that the government must reorganise the State Enterprises Commission (SEC) to enable it to perform its statutory obligations effectively and efficiently, especially in its supervision of and establishment of guidelines for the management of state-owned enterprises.

The statement urged the President to enable the SEC to streamline the criteria for the appointment and fixing of the remunerations of board members and other steering committee members and have control over their remunerations and allowances, as well as limit the number of boards one could serve on at any one time.