CSOs Alarm over Zoomlion Ltd. Involvement in WASH Bid -Flash Lights on Ghanaian Company’s Creepy Deeds

MONROVIA – On the verge to select a key implementing partner to execute major Water and Sanitation projects in the country, the Monrovia City Corporation and donors are alerted by a group of sector stakeholders, the civil society, of the unpleasant work profile of one of the supposedly favorite bidders, the Zoomlion GH Ltd.

Liberia CSOs WASH Network, which is raising the red flag, a human right based WASH advocacy for everyone everywhere leaving no one behind, seeking the provision of safe drinking water, improved sanitation, health and nutrition, hygiene behavioral change and sustainable community development.

The group said in a statement that its attention is drawn to news that the City Governments of Monrovia and Paynesville are in the conclusion stage of the bidding process for an Integrated Solid Waste Management System and Infrastructure Development for Greater Monrovia, and that a Ghanaian company, Loomlion, has reached final levels of the bidding process.

In the statement, the Liberian WASH stakeholder said: “While we, as Civil Society Networks in the WASH Sector hail this initiative which aims to enhance integrated waste Management across Greater Monrovia and by extension to other parts of Liberia, and given the importance placed by this Government on sanitation, we are utterly dismayed and deeply concerned about the Zoomlion GH, whose activities in both Liberia and Ghana is marred by wide range of corrupt practices, bad labor practice and violations of contract terms and agreements.” 

The Network has been opened to collaborative partnerships to increase the voices of the voiceless.  We are organized to advocate for national sector performance using the transparency, accountability and participation (TAP) Approach. It is against this backdrop the group has been engaging the Legislature during budget hearing period for sector financing, track the budget of the Ministry of Education for WASH in schools, Track budget of the Ministry of Health for WASH in health. It promotes and enhances integrated approach for advocating for access to water, sanitation and hygiene.

On supposed evidence of Zoomlion’s alleged shady deals, the group wrote:

Our concerns emanate from the following to wit:

1. Zoomlion receives undue payments to the tune of GH¢40.4 million between 2017 and 2020

In its report on the 2020 Management and Utilization of the District Assemblies Common Fund and other Statutory Funds, the Auditor General of Ghana said the payments were illegal and unconstitutional.

The Fourth Estate’s analysis of the A-G’s report for the years; 2018, 2019 and 2020 indicates that the state lost, at least, GH¢40.5 million to Zoomlion GH. Ltd in payments unduly made to the company.

This includes an amount of GH¢30,590,415.58 the company received as payments for works it failed to execute and another, GH¢9,871,090.00 paid to it without any contractual agreement.

In a related development in 2020, the Auditor-General asked Zoomlion to cough up GHc 95 million, which one of its waste management subsidiaries, Sewerage Systems Ghana Limited, received from the DACF.

The state’s chief auditor ordered the Administrator of the DACF, Irene Naa Torshie Addo, to recover the fund which went into waste treatment plant construction by the Sewerage Systems Ghana Limited (SSGL).

This means the total amount of money the state has lost to Zoomlion Gh. Ltd within the period could be way more than this figure.

The Fourth Estate, in this report, details specific instances Mr. Siaw Agyepong’s Zoomlion. Ltd received payments for no work done and other instances, without contractual agreements, resulting in financial losses to the state and depriving the assemblies, whose shares of the Common Fund are deducted at source paid to Zoomlion.

• According to the Report of the Auditor-General on the Management and Utilisation of District Assemblies Common Fund and other Statutory Funds for the year ended 31 December 2023                     

            Sanitation Management Irregularities (Payment for Services not Rendered)

• Schedule I of the Fumigation and Disinfestation service agreement between the Asutifi South District Assembly and Zoomlion Ghana Limited signed on 2nd January, 2018 provides for the monthly disinfestation of public toilets and its surroundings, major drains, communal containers and final disposal sites and government apartments whereas Schedule II provides for the monthly derating of Public Markets, disinfection and disinfestation of hospitals, clinics and health centres as well as conducting public education on vector control/environmental sanitation.

• We noted that, Zoomlion Ghana Limited received the full 4-quarterly payments totalling GH¢291,812.50 as Sanitation Improvement Package. However, the monthly certification reports indicated that, Zoomlion Ghana Limited did not conduct any disinfestation and disinfection exercise at any government apartment in the district, including the hospitals, clinics, and health centres. The company did not also conduct any public education on vector control/environmental sanitation.

• The Assembly in effect paid Zoomlion Ghana Limited for services not rendered in accordance with the terms of the contract.

For a company that is facing tremendous difficulties back home in Ghana, evidenced by the current Ghanaian authorities cancelling their waste management contract over perennial delays in paying their workers, amid violations in contractual agreements with the Ghanaian Assemblies over municipal obligations, Liberians here are extremely worried that this corruption-laden companies whose labor modus operandi is strewn with bad practices, is going to be awarded such a lucrative contract is troubling.

(https://theheraldghana.com/mahatmas-cabinet-ends-zoomlions=ghc1.3-billion-waste-management-monopoly/

• The Liberian scenario & Corruption Galore

World Bank Debars Ghanaian Company for Sanctionable …

 https://www.worldbank.org › press-release › 2013/09/25

Sep 25, 2013 — The World Bank Group announced the debarment of Zoomlion Ghana Limited (Zoomlion), a privately held company headquartered in Ghana for a period of two years.

Given all these multiples acts of corruptions, we are calling on the joint procurement committees comprising of MCC and PCC to delist Zoomlion Ghana Ltd. from participating as Liberia in our opinion stands at the wrath of World bank’s scrutiny of the entire bid process thereby securing funding from IFC even difficult for Liberia and both municipalities.

• Bad Labor Practice

It can be recalled how hundreds of Ghanaian workers employed with Zoomlion Ghana Limited at one time hit the streets of Accra to demonstrate against their employers for allegedly failing to pay them for their services for seven months. Wielding placards that stated: ‘Zoomlion, 7 months no pay. We need our money’, ‘Zoomlion, no pay no work’, ‘Pay us our arrears’ and ‘Salary Wahala’ the protestors attracted thousands of onlookers at the famous Obra Spot at the Kwame Nkrumah Circle

Meanwhile, as a WASH CSOs Network, we are currently doing research on the two other participating firms (Carlson and GE- Environs) and will provide any acts of corruption if found to the public.

We are strongly calling on Monrovia and Paynesville City Corporations to include WASH CSO on its committee to ensure a balance, transparent and accountable vetting process.

 We are also calling for the participation and or shareholding of Liberian companies in the upcoming integrated solid waste management investment as well as CSOs in the areas of behaviour change and information dissemination across every aspect of the waste management value chain.

As WASH CSOs Network, we are willing to collaborate with MCC and PCC towards sustainable solutions in our solid waste management solution in Liberia.