Gov’t to sue indian contractor over US$30m road project funds
Roads and Highways Minister, Governs Kwame Agbodza
The Ministry of Roads and Highways is heading to court to recover nearly US$30 million from an Indian construction firm that allegedly pocketed a substantial mobilisation payment and then failed to break ground on a major road project.
Minister for Roads and Highways, Governs Kwame Agbodza made the disclosure publicly, revealing that JMC, an Indian construction company with operations across multiple countries, received the mobilization funds following parliamentary approval of a contract valued at approximately US$158.6 million. The project, which was due for completion last year, has seen virtually no physical work done at the site.
“There is one unfortunate situation, where we paid JMC at the time when Parliament approved, I think US$158.6 million, and that project should have been completed last year. Almost US$30 million mobilisation, they took the money and didn’t even do one per cent of the work,” the Minister stated.
What makes the situation particularly frustrating for the Ministry, according to Agbodza, is that JMC actively sought the contract. The company reportedly assured the Ministry of both its technical and financial capacity to deliver before successfully appealing for consideration and securing the award. That assurance, the Minister suggested, now rings hollow given the complete absence of progress on the ground.
The Ministry is not taking the matter lightly. Agbodza confirmed that the government is working in close collaboration with the Attorney General to pursue legal recovery of the public funds through lawful channels.
“We intend next week to work with the Attorney General to further pursue getting our money back within the law,” he noted.
While the Minister stopped short of naming the specific road project involved, he was emphatic that contractual breaches of this nature, particularly those that delay critical infrastructure delivery, would not be tolerated.
JMC presents itself as a broad-based construction conglomerate with a footprint spanning highways, bridges, flyovers, hospitals, industrial facilities, power plants and urban developments across several countries. The company has publicly highlighted its commitment to efficiency, timely delivery, cost management, sustainability, safety and regulatory compliance.
That self-portrayal now stands in sharp contrast to the allegations levelled against it in Ghana, where nearly US$30 million in public funds reportedly changed hands with nothing to show for it on the ground. With legal proceedings imminent, the government’s next moves will be closely watched, both as a test of accountability and as a signal to other contractors operating in Ghana’s infrastructure space.
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