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Home Featured

Confusion Rocks NDC Over E-Levy

by John Kekeli
December 8, 2021
in Featured, News
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Confusion Rocks NDC Over E-Levy
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Information gleaned indicates that there is simmering tension, acrimony and total mistrust within the opposition National Democratic Congress (NDC) and its Minority Caucus in parliament over the issue of the electronic transaction levy (E-Levy) proposed in the 2022 budget statement and economic policy of Government.

THE CUSTODIAN gathered that there was a crunch meeting by the leadership of the main NDC and its minority caucus during which a declaration by Minority Leader Haruna Iddrisu on the e-levy was angrily challenged.

Mr Haruna Iddrisu had indicated that his side will readily accept a reduction of the levy to 1% from current 1.75% proposed.

“A week ago, it was no, no, no, we won’t accept e-levy but having listened to officials in government, including the Minister of Finance.

“I am convinced to accept a departure from my original no to accepting a one per cent e-levy,” Minority Leader stated during the 10th Anniversary launch of the Ghana Chamber of Telecommunications in Accra last Thursday.

However, shortly after this declaration, the paper learnt that the NDC held the crisis meeting during which it denounced the stance of the minority leader.

This apparently created confusion as some party leaders insisted the e-levy should be outrightly rejected.

The party, it is further gleaned, put pressure on the minority leader to beat a retreat on his earlier stance and this was visibly exhibited on the floor of Parliament yesterday.

U-turn

Whilst making a submission on the floor of parliament yesterday in reaction to the Finance Minister, Ken Ofori-Atta’s recent announcement of concessions on the 2022 budget, the Minority leader made a dramatic U-turn, saying his side is resolved to reject the government’s proposed 1.75% E-levy in its entirety.

According to him, e-levy in any shape or form since it will inflict more hardship on Ghanaians and also derail Ghana’s efforts to grow a digital economy.

“It is true that we engaged. We were part of the engagement, but at that engagement, regrettably and unfortunately, on the matter of e-levy we could not have agreement and consensus.

“We believe that the e-levy is punitive, and will undermine our quest to grow a digital economy in seeking to tax transactions”, he said.

Mr Haruna Iddrisu said the minority agrees with most Ghanaians that the tax is against the public good and suggests that the government scraps it, and rather go after surcharges of the Auditor-General to compensate for the levy.

“We are guided by the public good, and we think that monies recoverable from the Auditor General’s report can as well compensate for the imposition of an e-levy… We, on this side [Minority], are unable to support the government in its quest to impose an e-levy at 1.75% on MoMo, and associated transactions including remittances and bank transfers, and therefore we stand opposed, and at every level, we will stand united and opposed to it because it will inflict hardship on the core poor of the Ghanaian people,” he added

Minority divided

Even before the e-levy brouhaha, the Minority caucus was said to be divided over their refusal to join the New Patriotic Party (NPP) Majority group in the budget debate, which reversed the Minority’s unconstitutional decision to reject the budget.

This followed a heated argument over whether or not they should join the NPP MPs in the chamber and challenged them on the floor.

Whilst the Minority Leader supported by a sizeable number of MPs insisted their side should be part of the debate, a group of ardent Mahama loyalists kicked against the move.

The Mahama loyalists who are highly suspicious of the minority leader, the paper gathered, vetoed the move, insisting that 2022 Budget had already been rejected despite not having the quorum to take such a decision as they did with the support of the Speaker of Parliament, Alban Bagbin.

This, according to NDC sources, is also because of some rift between the MPs who support former President John Mahama and those who support Minority Leader Haruna Iddrisu.

Even unconfirmed reports indicate that the Mahama loyalists reportedly led by North Tongu MP Samuel Okudzeto Ablakwa, has allegedly been undermining the Haruna Iddrisu group.

The Mahama camp, according to the reports, are working hard to outshine the Haruna group and get them out of leadership positions in the Legislature.

However, the Minority Leader and his team are said to be unperturbed.

At a point, one of the leaders who works closely with the minority leader, reportedly threatened to remove one of the Mahama loyalists as the ranking member of a famous committee of Parliament.

Resignation

The infighting within the minority was said to have heightened when the vetting of ministers presented by President Akufo-Addo was ongoing around April.

In a move that was widely described as ‘populist’ move, Mr Okudzeto Ablakwa said he was resigning from the Appointments Committee of Parliament which vetted the ministers, one matters of “principle”.

He then wrote to the Speaker to state his intention to resign from the Committee after they all approved Ministers of State for the second term of the Akufo-Addo administration.

In a letter dated March 30, 2022, addressed to the Speaker, Mr Ablakwa said his decision was borne out of “days of careful reflection and thoughtful considerations” and that “the reasons for this difficult decision are both personal and on principle.”

“Respectfully, do take note that my resignation is with immediate effect and therefore I shall not be available for the vetting of nominees for Deputy Ministerial positions,” he added.

However, addressing the House at the opening of the first Sitting of the Second Meeting of Parliament, Speaker Bagbin said the resignation remained “purported” and that it would require approval of the House.

“I received the purported letter of resignation from the Member of Parliament from North Tongu, Hon Samuel Okudzeto Ablakwa just a few hours before Parliament’s recess. By the rules of the House, my acceptance of the resignation could have been ultra vires from my position and powers as a Speaker of Parliament,” he explained.

Mr Bagbin said the members of the Committee of Selection would also sit and consider the purported resignation of the MP, and finalize and report it back to the House.

Car propaganda

It appears Mr Ablakwa is not a stranger to controversy and propaganda.

On Wednesday, July 14, 2021, the North Tongu MP engaged in another show of propaganda when he claimed that he and some of his colleague MPs from across the political divide had made progress in getting parliament to reject the $28 million car loan facility for MPs as had been presented by the Finance Minister at the time.

Mr Ablakwa claimed he was no longer interested in the loan, which sparked public outrage.

However, his own NDC colleague MP, Mr Murtala Mohammed from Tamale Central blasted him and said Mr Ablakwa was being hypocritical on the matter.

He then dared the minority spokesperson on Foreign Affairs to return the two cars he bought with loan facilities for legislators during the 6th and 7th Parliaments if he was a principled individual as he wanted the public to believe.

“I remember in the coffee shop he (Okudzeto Ablakwa) called me while he was standing with the contact person of one of the companies and he was asking me whether I will take my car from that company, so where is the principle in this? Since when did he realise that taking the car is unconscionable?”

“He has gotten two cars and a new MP who is coming who doesn’t even have a motorbike, whose constituency is farther than his, whose constituency is broader than his, who also needs to discharge his responsibilities by being mobile, such an MP should not be given a car? Let us get serious in this country.

“This is not a principle. Then he should return the other two cars,” he had fired on Joy Prime on Thursday July 15.

“Okudzeto is not just a colleague Member of Parliament, myself and him we have come a very long way. He has taken the loan two times. I went to Parliament with him the same time when he took the car loan. In the Seventh Parliament, I wasn’t there but he took the loan”, Mr Murtala Mohammed added.

Tags: #Ken Ofori-Atta#NDC#NPP
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