JoyNews is learning that Oil Trading Firm, Trafigura is moving to seize and auction some properties belonging to Ghana in the United Kingdom.

The Ghana International Bank building and other properties are at risk of being sold to defray a $140 million judgment debt awarded to Trafigura.

A written agreement for the installation and operation of two power plants gave rise to the award, which was roughly $140 million. However, Ghana illegally terminated the agreement before the terms were provided.

Commenting on the development in an interview on JoyNews’ The Probe on Sunday, October 22, the Deputy Attorney General, Alfred Tuah-Yeboah urged the Finance Ministry to act fast or Ghana will lose the property.

According to him, upon the AG’s office hearing about the judgement case against the state, they took steps to speak to the Ministry of Finance for the debts to be liquidated because it was a just debt.

He added that the “Finance Ministry then entered into agreement with the judgement creditors as to how the state was going to pay this judgement debt of about $140 million.”

He noted that although part payment was made, the state reneged on its promise to go by the agreement.

“Having failed to do so, the judgement creditor decided to execute the judgement. They attached property belonging to the Republic in the UK, and then they sought to serve us with that process. We then filed a motion trying to set aside the process through which we were served but the High Court in England said no, and that the service on us [state] was properly made. So now, the Ministry of Finance has been advised to once again approach the judgement creditors and make every effort to pay that money,” he explained.

Background

On the 26th of January 2021, Trafigura obtained the final award in its favour against the government of Ghana in arbitral proceedings in England.

A written agreement for the installation and operation of two power plants gave rise to the award, which was roughly $140 million. However, Ghana illegally terminated the agreement before the terms were provided.

On the 4^th of November 2021, the Court granted Trafigura leave to enforce the award in the same manner as a judgment of the High Court.

According to sources, service was effected and the deadline for challenging the order was two months and 22 days after service. The deadline date was 1^st August 2022, and later it was made by Ghana.

On 17th May 2022, Trafigura issued an application for charging orders in relation to the five London properties and which Ghana had a freehold or leasehold interest.

On the same day, the company also issued an application for alternative service. On 28 April, 2023 an order was made permitting alternative service upon Ghana.

So Trafigura served the ICOs the order and other related documents on 5th May, 2023 by a post by email.

In response to one of the emails, a legal counsel in the Ministry of Finance, whose email address was one of those listed in the appendix to the order, in particular, sent an email on 5th May, 2023, specifically acknowledging receipt of the documents.

On 24 May 2023, Trafigura received an email from White and K stating that it expected to receive instructions to act for Ghana and seeking to agree on a revised timetable in relation to Trafigura’s applications.

However, on 30th May 2023, the hearing was subsequently vacated consents.

On 23rd June, 2003, Ghana issued an application to set aside the order. The order was subsequently dismissed, but a substantial basis for the application was that Trafigura had been obliged to serve not only the order but also the application for the charging orders and the ICO themselves by diplomatic procedure.

Ghana then filed the objections on the 21st of July, 2003 in relation to making the ICOs final but on the 2^nd of August, 2023, Trafigura made an application for a receivership order in relation to Ghana's leasehold interest in one of the London properties.