Cronyism, private profit motive & politics want GH¢97 million NSS tech killed

….150,000 Personnel stranded; Mahama’s 6-week basic military orientation programme hit

The Herald’s investigation into the delays in processing the 2025/2026 national service year’s batch of National Service Personnel by the National Service Authority (NSA) has revealed some intriguing developments, including a GH¢97 million investment for the efficient registration, posting, and monitoring of personnel.

At the heart of the delay, which has affected over 150,000 personnel, are cronyism, political connections, childhood friendships, and various private financial interests driven by the profit motive of a firm that is tolerated by politicians and operates the Electricity Company of Ghana’s (ECG) billing system without proper legal authority, according to the recently published Auditor General’s report. 

Some government officials had assured that the contract would be awarded to Hubtel, leading them to develop a computer programme to compete with the National Service Scheme’s current digital platform, operated by Inpath Technologies Limited, without considering competitive bidding or value for money.

The Herald has obtained documents indicating that George Opare-Addo, the Minister for Youth Development and Empowerment with supervisory authority over the NSA, the Board Chairman of the NSA, Emmanuel Okai Minta, and Ruth Seddor, the Acting Deputy Director-General of the National Service Authority (NSA), are making concerted efforts to have Hubtel take control of the NSA platform.

The position of the three runs conflicts with that of the Auditor-General, KPMG, the global auditing and consulting firm, and the National Investigations Bureau (NIB), who, in separate audit reports on the Inpath’s have praised its platform as excellent, but noted that it experienced interventions from humans who saddled it with ghost names.

The Auditor-General, in particular, wanted the existing platform to be enhanced with features beyond simple registration, including verification. The National Identification Authority (NIA), which also contributed to the existing platform, sought a system consistent with those used by banks, with traces left behind to identify who enters the system using unauthorised names.

These audit reports, which The Herald has obtained from multiple sources, are on the desks of the named officials in the Office of the President. They were presented as evidence by the Director-General of the NSA, Felix Gyamfi, to demonstrate that the state should not waste money on another digital platform, like the one being secretly developed by Hubtel.

However, senior government officials are openly divided on the platforms, Inpath, which has been operational for years, and Hubtel, which is yet to be seen. Interestingly, while Inpath has been tested, deployed, and is functioning according to the audit reports, Hubtel has not been tested. It is also being developed under emergency conditions.

A Transition and Implementation Steering Committee has been established by the Board and is chaired by Ruth Seddor. However, reports suggest it merely serves as a façade, as the owners of Hubtel are recognised childhood friends of Mr Opare-Addo, the Minister for Youth Development and Empowerment.

Contacts within the ruling National Democratic Congress (NDC) have indicated a possible conflict of interest involving Mr Opare-Addo, who has consistently promoted his ties with the promoters of Hubtel, even when the party was in opposition.

The current platform has been in operation for the last 7 years, with the Akufo-Addo government spending GH¢97 million. Interestingly, the state is to own the platform within three years, but the Minister and his supporters are not willing to wait; they favour Hubtel. The company has since stormed the NIA, demanding very crucial data without the necessary legal authorisation.

The development has resulted in a deadlock, also leaving the NDC government’s agreement with the Ghana Armed Forces to train some Ghanaian youth in limbo.

On  August 4,  2025, George Opare Addo, during the government accountability series, announced that the NSA, would begin implementing a six-week Basic Military Orientation Programme on August 31, this year, with an initial cohort of 10,000, to be expanded in subsequent years, but the standoff between the minister and NSA boss has hit that too.

This is despite over GH¢194 million being released to the Authority, and the military having, through the late Defence Minister, Dr Edward Kofi Boamah, sent a senior military officer attached to the NSA to coordinate the arrangement with the NSA.

Hutbtel’s cost, completion date, and competence remain unknown, yet it is being promoted mainly because of a GH¢10 charge added to each posting, which they hope to benefit from.

The situation has left the country’s youth, who were hoping to register and complete their national service, stranded at home for six weeks. They are meant to start the service in October this year, but the system remains shut down.

Furthermore, the current platform has been designed with approximately 37 features, including Course Categorisation, which categorises courses read by students at their respective accredited tertiary institutions; School List Manager; Payment Management; Identity Manager; Registration Manager; Authentication Manager; Biometric Device Manager; and Payment Validation Manager, among others. These features help prevent fraud by requiring prospective national personnel to enter a code and register to access their services.

Private companies and state institutions utilise it as their database to request personnel with specific qualifications tailored to their human resource needs. This allows the companies to use the platform to recruit workers, while the NSA also generates revenue. Currently, the platform is reported to have generated approximately GH¢30 million, which is awaiting claim. Therefore, shutting down the platform as demanded by the minister will result in the state losing revenue, which can be easily verified through the IGF Manager feature on the platform and claimed.

Mr Opare-Addo, known as “Pablo” in the NDC, is reported to have immediately, after becoming minister, attended a Hubtel programme where he was the guest speaker.

According to NDC insiders, he had many times insisted that the owners of Hubtel are his childhood friends and that they all grew up in Dzorwulu. He even mentioned that he witnessed how Hubtel started from scratch. This gave NPP supporters ammunition to criticise the NDC for claiming Hubtel was owned by Bawumia.

Interestingly, among the many documents in the custody of The Herald is one authored by the Chairman of the NSA’s board. It was written in response to a letter directly addressed to him by the Minister, dated 25 August 2025.

The letter, referenced as “Ref: M/DE/NSA/P1A/009”, revealed that the minister, a lawyer, wanted the termination and replacement of Inpath Technologies Limited as of August 25, 2025, citing the findings by the Auditor-General and directives from the Office of the President. However, President John Mahama only recommended that the NIB investigate, and had not demanded that the platform be terminated as claimed by the minister.

Once again, the Board Chairman’s letter dated  August 27, 2025, titled “RE: Directive On Termination Of Contract With Inpath Technologies Limited, Request For Reconsideration On Timing Of Transition”, demonstrated how he and the minister had sidelined the NSA boss while pushing for the Hubtel deal.

Some members of the board, told The Herald that Minta only disclosed the content of the Minister’s letter at what appears to be an emergency board meeting on August 26, 2025. Three board members told The Herald that they only became aware of the minister’s directive to shut down Inpath Technologies Limited’s platform at the meeting, but there was no consensus on termination.

There are suggestions that the entire process, including the late arrival of the letter, was orchestrated to deliberately cause panic and enable the deployment of the Hubtel system at a reported annual cost of around GH¢60 million, compared to the GH¢4 million paid to Inpath Technologies Limited, which includes a Central Service Management Portal (CSMP) and Digital Identity Service (Metric App)for verification, each year.

The current NSA digital transformation, anchored on an advanced technology contract, is set to deliver full ownership of its core systems by August 2028 under a Build–Operate–Transfer (BOT) arrangement. The 10-year contract, now in its seventh year, encompasses four integrated service areas designed to streamline operations, enhance transparency, and improve service delivery for graduates and institutions across the country.

At the centre of the platform is the Central Service Management Platform (CSMP), which automates the entire posting lifecycle from graduate list submission through to monthly evaluations. This reduces administrative bottlenecks while ensuring efficiency and accountability.

The second key component, the Digital Identity Service (Metric App), provides biometric verification linked to the National Identification Authority (NIA) database. This ensures robust system control and minimises the risk of fraud.

Also included is a Digital Certificate Management System, which manages certificate issuance, validation, and verification. By enabling digital distribution, the system enhances authenticity checks and improves accessibility for both service personnel and employers.

The fourth area, the Internally Generated Fund (IGF) Module, dynamically assesses NSA revenue based on attendance records, creating a transparent mechanism for billing and collection across non-subvented institutions.

Under the BOT model, the contractor operates and maintains the system before transferring all intellectual property, software, and hardware assets to the NSA. In 2028, the Authority will assume full ownership, requiring only minimal budgetary provision for ongoing support costs.

The assets to be transferred include all program codes, design documents, and documentation for the CSMP, Digital Identity Service, IGF Module, and Certificate Management System. On the hardware side, the package comprises 345 biometric devices, deployed across regional and district offices, alongside 276 internet devices and 345 data SIMs.

The agreement further mandates that all systems must be upgraded to their latest versions prior to transfer. The CSMP has already advanced to Version 3, which incorporates lessons from earlier deployments, integrates stronger controls against emerging fraud patterns, and is designed to future-proof the Authority’s operations.

With full ownership approaching, the NSA is positioning itself to harness technology not only to improve service efficiency but also to deepen public trust and strengthen revenue mobilisation. The transition marks a significant milestone in Ghana’s effort to digitalise public sector operations and ensure sustainable, technology-driven governance.

However, Minta’s August 27, 2025, letter to the minister agreed to the termination order, saying, “The National Service Authority (NSA) fully aligns with the Ministry’s commitment to transparency, accountability, and the urgent need to address the operational and technical shortcomings identified in the current system. We are committed to ensuring a seamless transition to a new, secure, and efficient digital platform that meets the highest standards of governance and service delivery”.

He said, “However, in the interest of legal prudence, financial responsibility, and operational continuity, we respectfully seek your reconsideration of the directive to immediately terminate the existing contractual arrangement with Inpath Technologies Limited. Instead, we recommend that the Authority allow the current contract to expire naturally at the end of its agreed tenure, 31st August 2025, while simultaneously accelerating the procurement and deployment of the new system. This counter suggestion has become necessary for the following reasons: Contractual Tenure and Commencement Date.

He argued that “The Agreement with Inpath Technologies Limited, signed in August 2022, is structured for a term of three (3) NSS years, with an automatic renewal for another three years subject to satisfactory performance (Clause 5, Commencement, Duration and Review of Agreement). As of the date of your directive, the initial three-year term has not yet concluded. The current NSS year runs from October. On the Financial Implications of Premature Termination, Mr Minta argued that “August, and the contractual term is therefore set to expire at the end of the current NSS cycle, which concludes at the end of August 2025”, adding, “Given that the contract remains within its initial term and has not been renewed, the Authority is legally entitled to allow it to expire without triggering the more onerous consequences associated with unilateral termination.

He pointed at the Clause 22.3(g) of the Agreement, which explicitly provides that “If this Agreement is terminated by NSS before the end of the Term, NSS will compensate the Service Provider by paying an amount equal to Seventy percent (70%) of the current registered candidates multiplied by the current fee (rate/candidate) and multiplied by the unexpired remainder of the Term”.

“This constitutes a substantial financial liability to the Authority and, by extension, to the State. A premature termination now, just weeks before the natural expiry of the term, would trigger this compensation clause, resulting in avoidable public expenditure. By contrast, allowing the contract to expire on its own terms would avoid any compensation liabilities; fulfill the Authority’s obligations under the Agreement in full; maintain the Government’s reputation for honoring contractual commitments”.

He stated that “While we fully support the transition to a new platform, the abrupt suspension of the legacy system and the immediate withdrawal of service provider access have already exposed the Authority to significant operational risks, which includes but not limited to disruption to ongoing enrolment, posting and payroll processes”.

“In light of this suspension, it is imperative that the Authority implements immediate measures to safeguard service continuity until the new platform becomes fully operational. Also, we shall undertake structured and a well-documented handover of data and systems to avoid further gaps and maintains strict accountability and audit trails throughout the transition process”.

“The Authority wishes to emphasize that the Ministry’s core objectives, namely transparency, security, and real-time verification, can be fully realized without the necessity of immediate termination”.

“In full compliance with the Ministerial directive, the NSA has already commenced the required actions. The Transition and Implementation Steering Committee is being constituted within the stipulated five-day window, and procurement processes to engage a best-in-class provider for the design and deployment of the new platform are being actively initiated”.

“Furthermore, preparations for the forensic imaging of production databases, application servers, logs, and associated credentials are underway in close coordination with internal audit and cybersecurity experts. To mitigate risk during this interim period, the Authority will ensure that no new changes or modifications are made to the legacy system. Access controls will be tightened and oversight strengthened to prevent unauthorized activity, thereby safeguarding data integrity and system functionality pending the full transition”.

“In light of the foregoing, the Authority respectfully recommends that the current agreement with Inpath Technologies Limited be permitted to expire naturally at the end of August 2025 in accordance with its contractual term. This would allow the new platform to be developed, fully deployed, and rigorously tested in parallel during the final weeks of the current service cycle”.

“A seamless cutover can then be executed at the beginning of the next National Service Scheme year, ensuring zero disruption to operations. This approach effectively balances the urgency of reform with fiscal prudence, legal compliance, operational stability, and responsible governance. It enables the Authority to meet the Ministry’s directives while avoiding unnecessary financial liability and operational risk”. 

The post Cronyism, private profit motive & politics want GH¢97 million NSS tech killed appeared first on The Herald ghana.

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