Ghana’s Payroll Fraud Crackdown: OSP Prosecutes Six for Corruption in GES and CAGD

Mr Kissi Agyebeng

Corruption within government payroll systems has long been a challenge in Ghana, draining public funds and undermining trust in public institutions. 

On February 12, 2025, Ghana’s Office of the Special Prosecutor (OSP) took a decisive step by announcing the prosecution of six individuals implicated in a payroll fraud scheme within the Ghana Education Service (GES) and the Controller and Accountant General’s Department (CAGD)

The accused are charged with offenses related to manipulation and diversion of public funds through fictitious salary payments.

Key Takeaways

  1. OSP Targets Payroll Fraud: Six officials from GES and CAGD are facing prosecution over corruption-related offenses.
  2. Millions Saved: Investigations uncovered GH¢2,854,144.80 in unearned salaries, leading to GH¢34,249,737.60 in government savings for 2024.
  3. Fake Schools & Ghost Names: The probe revealed a non-existent primary school in Kumbungu District and fraudulent salaries paid to deceased, retired, or nonexistent workers.
  4. High-Profile Court Case: The accused will face criminal charges at the High Court in Tamale.

Who Are the Accused?

The six individuals facing prosecution include teachers, payroll coordinators, and financial officers who allegedly manipulated the payroll system for personal gain. The accused are:

Yakubu Tahidu: Former Balogu M/A Junior High School, Yendi, Northern Region teacher.

Abdulai Abubakari SadicIntegrated Personnel Payroll Database Coordinator of GES, Yendi, Northern Region.

Sammy SuukSchools Improvement Support Officer for Yendi North Circuit, Northern Region.

Mohammed Yusif Jay:  Headmaster of Balogu M/A Junior High School, Yendi, Northern Region.

Stafford Korletey Azudey-BarresAssistant Chief Accounts Technician at CAGD, Accra, Greater Accra Region.

Osman Issahaku: Headmaster of Balogu M/A Junior High School, Yendi, Northern Region.

How the Payroll Fraud Was Uncovered

The investigation, which began in late 2023, was a joint effort between the OSP and CAGD, focusing on corruption in government payroll administration. A pilot exercise in the Northern Region revealed significant irregularities, including:

A fictitious primary school in Kumbungu District that was receiving government funding despite being nonexistent.

Salaries were paid to individuals who were deceased, retired, or untraceableAn estimated GH¢2.85 million in fraudulent salary disbursements.

By eliminating these fraudulent payments, the Ghanaian government achieved substantial cost savings of over GH¢34 million in 2024.


The Impact of Payroll Fraud in Ghana

Payroll fraud has been a persistent issue in Ghana, costing the government millions of cedis annually. Key impacts include:

1. Financial Drain on Government Resources

Fraudulent salary payments divert funds that could otherwise be used for education, healthcare, and infrastructure development.

2. Reduced Public Trust in Institutions

Corruption in public service payroll systems undermines confidence in government accountability.

3. Operational Inefficiencies in Public Services

Paying “ghost workers” reduces available resources for actual employees, affecting service delivery.

4. Encouragement of Corrupt Practices

The lack of strict oversight allows corruption networks to flourish, creating a culture of impunity.


Government’s Commitment to Fighting Payroll Fraud

The OSP’s latest prosecution is part of a broader anti-corruption agenda aimed at tackling financial mismanagement within public institutions. Some of the key strategies being employed include:

1. Biometric Payroll Verification

The Ghanaian government is implementing a biometric payroll system to prevent the inclusion of fictitious names.

2. Digital Forensics and Audits

Regular digital audits are being conducted to detect fraudulent transactions and uncover irregularities.

3. Legal Reforms and Tougher Penalties

Stronger anti-corruption laws and penalties are being proposed to deter payroll fraud.

4. Public Sector Whistleblower Incentives

Encouraging employees to report fraudulent activities by offering protection and incentives.


Lessons from the Payroll Fraud Scandal

This case highlights critical lessons for Ghana’s governance and financial oversight systems:

1. Stronger Payroll Oversight Is Necessary

Governments must implement rigorous monitoring mechanisms to detect and eliminate payroll fraud.

2. Technology Can Help Prevent Fraud

Leveraging biometric verification and AI-driven payroll analysis can enhance transparency.

3. Whistleblower Protections Are Crucial

Encouraging insiders to report fraud can significantly improve detection efforts.

4. Public Accountability Must Be a Priority

Greater transparency in financial operations will help restore public trust.


Public Reaction and Calls for Accountability

The news of the prosecution has sparked widespread discussions in Ghana, with many citizens calling for harsher penalties for corruption-related crimes. Some notable reactions include:

Civil Society Groups – Advocating for more transparency in government payroll administration.

Political Analysts – Stressing the need for systematic reforms to prevent future fraud.

General Public – Expressing concerns over corruption in education and finance sectors.


What’s Next? The Upcoming Court Trial

The accused individuals are set to face criminal charges at the High Court in Tamale. If convicted, they could face:

Severe financial penalties

Long-term imprisonment

Permanent disqualification from public service employment

This case will serve as a landmark test for Ghana’s judicial system and its commitment to curbing corruption.


Conclusion

The prosecution of six individuals for payroll fraud in Ghana is a significant step toward public sector transparency. The GH¢34 million savings achieved highlight the urgent need for continued reforms, better oversight, and technological integration to prevent future corruption.

By enforcing strict measures and ensuring prosecutions lead to convictions, Ghana can move toward a more accountable and transparent public service system.

What do you think about the recent payroll fraud crackdown? Do you believe the government is doing enough to fight corruption? 

Share your thoughts in the comments below and help spread awareness by sharing this article on social media!