The Kwame Nkrumah University of Science and Technology (KNUST) is taking action to recover a debt of GH₵1.2 million owed by the Electricity Company of Ghana (ECG), the Social Security and National Insurance Trust (SSNIT), and three other organizations.

The debt arises from unpaid rent for office spaces and private hostel operations over several years, according to the Auditor-General.

During her appearance before the Public Accounts Committee, KNUST Vice-Chancellor, Professor Rita Akosua Dickson, disclosed that only one of the debtors has made a partial payment of GH₵25,000, leaving the majority of the debt unpaid.

“With the Electricity Company of Ghana, we’ve arranged a barter trade settlement plan. We owe ECG a significant amount, so we’ve proposed that they offset the debt by deducting the amount they owe us. We’ve already communicated this plan to ECG,” Professor Dickson explained.

She added that other entities, like UBA, have settled their debts in full, including the premiums they owed.

However, Professor Dickson acknowledged the challenges KNUST has faced in recovering these outstanding debts, despite sending multiple demand notices and following up with the entities involved.

In a related issue, the Public Accounts Committee also expressed concern over Akenten Appiah-Menka University of Skills Training and Entrepreneurial Development (AAMUSTED) for procuring medical supplies from two unlicensed entities. The Auditor-General’s report indicated that the university purchased GH₵414,000 worth of drugs from these unregistered suppliers in 2022.

“This is a serious violation. Selling drugs requires a license, and purchasing from unlicensed suppliers is risky. It is essential to ensure that all entities involved in procurement have the proper certifications from regulatory bodies like the FDA and the Pharmacy Council,” the Committee warned.

The Committee advised AAMUSTED to prioritize obtaining necessary certifications in future procurements, especially when it concerns health-related items, to ensure compliance and protect public safety.