Appiatse Explosion: USD5M Maxam Fine To Be Paid Into Appiatse Support Fund
The Minister for Lands and Natural Resources, Samuel Abu Jinapor, following a directive from President Akufo-Addo, has directed the Minerals Commission to supervise payment of five out of the six million United States Dollars fine slapped at Maxam Ghana Limited, into the Appiatse Support Fund.
“The President of the Republic H. E. Nana Addo Danquah Akufo-Addo has directed that five million United States Dollars to be paid by Maxam Ghana Limited to Government, be donated to the Appiatse Support fund…Accordingly, I have directed Minerals Commission to ensure that the said five million dollars is paid to the Appiatse Support Fund, in accordance with the agreed terms of payment”, the statement from Abu Jinapor said.
This together with other funds that will be generated will be used to support victims in the incident and reconstruct the community.
Maxam Ghana Limited, the Company at the centre of the January 20 explosion at Appiatse in the Western Region was found to have engaged in regulatory breaches in respect of the manufacture, storage, and transportation of explosives for mining and other civil works.
According to the Lands and Minerals Resources Minister, Samuel Abu Jinapor, the breaches per L. I. 2177, attract fines ranging from ¢600 to $10,000.
Nevertheless, Abu Jinapor said the nature and totality of the circumstances leading to the tragic incident have called for the imposition of an administrative fine of cedis equivalent to one million United States dollars at the prevailing commercial rate.
Additionally, it has been agreed, after extensive discussions with Maxam, that the company will pay to the government, the cedis equivalent of five million United States dollars also at the prevailing commercial rate.
This was after a commission of inquiry set up by Abu Jinapor and led by former Chief Executive Officer of the Minerals Commission, Mr. Benjamin Aryee, presented its report to the Minister on February 1 to corroborate the Minerals commission report after the incident.
In a press release, the Ministry of Lands and Natural Resource explained that Maxam shall pay the fine of one million United States dollars or its cedis equivalent at the prevalent commercial rate before restoration of its permit to manufacture, store, supply, and or transport explosives, while, the remaining five million United States dollars shall be paid in eighteen equal monthly instalments, beginning from March 1, 2022, to August 12023.
This means the company will pay an amount of 277,777.78 United States Dollars from March 1, every first day of each month till the last day.
Source: opemsuo.com/Hajara Fuseini