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Payroll Fraud National Service Managers Interdicted

May 15, 2025

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The National Service Authority (NSA), an institution vital to Ghana’s national development, has been rocked by a scandal involving payroll fraud. The breach of public trust has led to the interdiction of two senior officers, casting a shadow over the Authority’s commitment to its mission. The NSA, as stated by Director General Felix Gyamfi, is treating the matter with utmost seriousness, emphasizing its dedication to upholding integrity within its ranks.

At the heart of the matter is a scheme involving fraudulent allowances, allegedly orchestrated by senior staff. The discovery has prompted swift action, with the NSA vowing to expose and address all instances of payroll fraud within the organization.

Details of the Payroll Fraud Scheme

The NSA has interdicted a District Manager and a Management Information Systems (MIS) Manager in the Birim North District. Their suspension came after they admitted to their involvement in the alleged payroll fraud scheme during a formal meeting convened by NSA leadership. The meeting included a whistleblower who presented compelling evidence.

The fraudulent activities involve a significant number of individuals who were falsely validated to receive allowances. Investigations revealed that 29 people were improperly validated in the 2024/2025 service year, and a further 49 in 2023/2024. These individuals included those on study leave with pay and others already in full-time employment, all misrepresented as regular National Service personnel to illicitly draw allowances. This payroll fraud undermines the integrity of the National Service program.

The NSA’s statement highlighted that the conduct of the interdicted officers constitutes a breach of the Public Services Commission Act, 1994 (Act 482). The Authority views this as unlawful enrichment and misappropriation of public funds, with potential legal ramifications for those involved. The implications of such payroll fraud are far-reaching.

NSA’s Response and Ongoing Reforms

The current case is, according to the NSA, indicative of a larger, longstanding problem within the Authority. There are indications that thousands of individuals nationwide may be implicated in similar fraudulent activities. These activities are suspected to be occurring across various sectors, including teaching, nursing, and customs. The scale of the potential payroll fraud is deeply concerning.

In response, the NSA is introducing enhanced verification processes designed to prevent future occurrences. These processes include cross-checks with the Controller and Accountant-General’s Department (CAGD) to detect instances of dual remuneration and identity falsification. The aim is to create a robust system that effectively identifies and prevents fraud.

The Authority has issued a directive for individuals involved in the scheme to cease submitting monthly allowance forms immediately. Those implicated have been given until May 23, 2025, to report to NSA regional offices and provide information. Failure to comply will result in public disclosure of their identities and referral to law enforcement agencies.

Director-General’s Warning and NSA’s Commitment

Felix Gyamfi, Director-General of the NSA, issued a stern warning to those involved in the payroll fraud scheme. “Our enhanced systems and internal controls are proving effective in exposing offenders, and we will not hesitate to take decisive action against anyone found to be involved,” he stated.

The NSA has reaffirmed its commitment to transparency and accountability in all its operations. It reiterated its support for national development through the National Service programme, vowing to ensure that resources are used effectively and responsibly.

In conclusion, the recent payroll fraud case at the National Service Authority highlights the importance of vigilance and robust internal controls. The NSA’s swift response and commitment to reform demonstrate its determination to prevent future fraud and maintain the integrity of the National Service program. The consequences for individuals involved in fraudulent activities are clear: exposure, legal action, and damage to their reputation. Payroll fraud in public services has to be curtailed.

Image Source: MYJOYONLINE

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