Business News of Monday, 27 January 2020
Source: www.ghanaweb.live
2020-01-27Listen to the cry of Neoplan Ghana - Group petitions Akufo-Addo
Razak Kojo Opoku, President of the Concern Voters Movement
Having received news of the planned close down of Neoplan (Ghana) Limited, a group known as the Concerned Voters Movement (CVM) is calling on President Akufo-Addo to intervene in averting the impending closure of the company.
In a release signed by the group’s president, Razak Opoku copied to ghanaweb.com, the group says it is important the president steps
Read full articlein to prevent loss of jobs amongst other effects that will follow the closure of the once vibrant bus manufacturing company which government has 55% shares in.
According to the group, the company which over the years counted heavily on government contracts received their last contract under the Kufuor administration.
They added that presidents over the years including President Akufo-Addo and his predecessor, John Mahama, have all ignored the situation of the company.
They therefore appealed to the president to rescue the company from its impending closure.
Read the full statement below
Neoplan (Ghana) Limited Closes Down on 31st January 2020: CVM Urges President Akufo-Addo to Intervene
The Neoplan (Ghana) Limited, a bus manufacturing company has been in existence since 1974. Since its establishment the Company has made history in producing over 4,000 buses for Government Institutions, Universities, Metro Mass Transit (MMT), GPRTU and Private Individuals/Companies.
In 2002, President Kufuor's Government contracted Neoplan (Ghana) Limited to build 450 DAF/VDL buses for Metro Mass Transit, this contract ended in July 2010 and Neoplan (Ghana) Limited has since not gotten any contracts from successive Governments.
Prof. Mills and Mahama's Government never responded to the cries of Neoplan (Ghana) Limited. Akufo-Addo's Government too has not made any meaningful efforts to revamp the Neoplan (Ghana) Limited. This is very sad considering the fact that Government of Ghana has 55% shares in the company and is the majority shareholder, and the remaining 45% is for a private company known as Fadoul Group.
An internal memo from Neoplan (Ghana) Limited dated 15/01/2020 intercepted by Concerned Voters Movement(CVM) indicates that the Company would officially close down all its branches on the 31st of January 2020. The closure is largely due to the lack of support and Contracts from the Government which is the majority shareholder as well as recurring monthly losses.
As the result of the closure, all employment contracts with Neoplan (Ghana) Limited will be terminated by 31st January 2020.
According to President Akufo-Addo he is constantly looking for employment opportunities for our young people and that Ghana's biggest issue is jobs for young people. On this basis President Akufo-Addo has no choice but to see the revamping of Neoplan (Ghana) Limited.
We are urging President Akufo-Addo to intervene and save the collapsing Neoplan (Ghana) Limited since his appointees at the Transport Ministry have failed woefully to support the Company.
Government has an obligation towards Ghanaians, the Government cannot continue to rely on the importation of Chinese, Korea and Indian buses at the detriment of Neoplan (Ghana) Limited, a 55% Government owned Company. This is absolutely unacceptable.
....Signed...
Razak Kojo Opoku
(CVM Founder and President)
