The Controller and Accountant General Department (CAGD) owes the Social Security and National Insurance Trust (SSNIT) GH¢4.3 billion in respect of contributions receivable from Government of Ghana (GOG) employees.
The Auditor General in its latest report on Public Boards, Corporations and other Statutory Institutions ending the year December 2021 said it noticed that as of 31 December 2020, arrears of contributions of government employees of GH¢1.1 billion has not been paid.
A 3% penalty imposed by SSNIT on delayed payments by the Controller over the years has also accumulated to the tune of GH¢3.2 billion bringing the total indebtedness to GH¢4.3 billion cedis.
The delay according to the Auditor General erodes the time value of money, reduces the Trust’s ability to pay pensions and thereby poses threats to the retirement income security of workers.
The Audit Service recommended that SSNIT management liaise with Controller and Accountant General’s Department and the Finance Ministry on the payment plan
In response, the management of SSNIT indicated that it already has a payment plan with the Ministry of Finance to ensure that the outstanding debt is paid.
The report further said that as part of efforts to defray the debt, two bonds totalling GH¢1.00 billion were received from government as part payment for the indebtedness.