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UG disputes news report on alleged GH¢59.2m compensation overstatement

by Ama Nyameye
May 17, 2025
UG disputes news report on alleged GH¢59.2m compensation overstatement
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The University of Ghana (UG) has issued a formal response to a Joy News report alleging that the institution overstated employee compensation by GH¢59.24 million between 2022 and 2024, as cited in a recent special audit by the Auditor-General.

In a statement released by the Office of the Registrar, UG described the report—authored by journalist Anthony Manu and published on 16 May—as misleading and a distortion of facts.

The University said the figure reported was a gross misrepresentation arising from a misunderstanding of its dual payroll structure.

UG explained that it operates two payroll systems: one funded by the Government of Ghana (GoG) and the other through Internally Generated Funds (IGF). The IGF payroll, the University said, covers payments to staff employed directly by UG, including professors on post-retirement contracts who continue to serve the institution with Cabinet approval.

“These were not irregular or unaccounted expenditures,” the statement read, adding that payments were made transparently and in accordance with public financial reporting standards.

UG further stressed that the IGF payroll is submitted for audit only to provide a complete picture, not as a request for government reimbursement, and thus cannot be classified as disallowed expenditure.

The University also took issue with the audit report’s presentation of payroll data, arguing that the failure to distinguish between GoG and IGF payments created a misleading impression of financial mismanagement.

According to UG, this oversight ignored its compliance with Section 48 of the Public Financial Management Act, 2016 (Act 921), which mandates the disclosure of IGF usage.

Citing operational challenges, UG disclosed that between August 2021 and 2024, it lost 887 staff through various forms of separation but only received government clearance to hire 102 new employees in 2024.

Meanwhile, student enrolment increased significantly over the same period, necessitating internal recruitment strategies to maintain academic quality and service delivery.

“These appointments were made in full compliance with institutional and national financial regulations,” the University stated, defending the decision to use IGF resources to hire critical staff without government clearance.

UG also criticised the Auditor-General’s Office for failing to follow standard audit protocols, claiming the institution was not given a chance to respond to preliminary findings before the report was made public.

The University expressed disappointment that Joy News published the story without seeking its perspective, describing the omission as a breach of journalistic ethics.

Calling on the public to disregard what it called a “false narrative,” the University reaffirmed its commitment to transparency and regulatory compliance.

It urged the media to verify facts and consult with institutional representatives before reporting on sensitive matters.

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