Rejoinder: Finance Committee Chairman sends third rejoinder on 1D1F hotel story

The Chairman of the Finance Committee of Parliament, Kwaku Kwarteng, has sent a third rejoinder. In keeping with our editorial policy, we publish unedited. 

In his second rejoinder to The Fourth Estate, the Chairman of the Finance Committee of Parliament, Kwaku Kwarteng, stated that we had not provided specific details regarding our interview request on the 1D1F hotel. The MP conveniently omitted the fact that he had received two other WhatsApp messages clearly outlining The Fourth Estate’s interview details. Despite his claim that the mention of 1D1F was a mistake in the Finance Committee’s report, The Fourth Estate highlighted in its last story that Thomas Nyarko Ampem, a member of the committee and MP for Asuogyaman, had corrected a paragraph related to 1D1F while addressing Parliament, without acknowledging the mention of 1D1F as error in the report.  Mr Kwarteng sought to discount the role of the Finance Committee’s report in the approval of the tax exemption although he has apologized for what he says is an error.

This third rejoinder is a response to The Fourth Estate’s last story.

“I write again with reference to Article 162(6) of the national constitution to respectfully ask
The Fourth Estate to publish this rejoinder to its publication dated August 30, 2023, and
captioned “1D1F Hotel: Finance Committee Chair omits facts on The Fourth
Estate’s interview request”.

2. I have read the above publication and would advise as follows: The next time the Fourth
Estate asks a legislator for update on the implementation of the Exemption Act and he refers you to the implementing agency, say so. And if you ask him to comment on a
hotel that has been granted one-district-one-factory (1D1F) tax incentives and you do
not get a response, say so. Don’t cunningly twist the two to give the impression that
the legislator shifted blame to the Ministry of Finance when the story was presented to
him.

3. In any event, if The Fourth Estate believes that your request for interview on this subject
was ignored, the Committee through me, has subsequently given you more explanation
and documents than we could have given you in any interview. Why do you continue to
hold on to this false claim that a hotel has been granted exemptions meant for factories?
How come The Fourth Estate is the only media house in the country that still believes
this falsehood? Be honest; the initial public anger that your false publication caused has
dissipated after superior evidence to the contrary was made available to the public.

4. I find it surprising that a reputable media house such as The Fourth Estate would
dedicate its banner headlines to a needless campaign that has proven to be founded on
falsehood. In a public policy matter such as this, you the people in The Fourth Estate
feel too big to admit that you were wrong? What kind of bloated ego is this?

5. For the sake of the reading public, and in hopes that you would reflect on the
unreasonableness of your posture in this matter, let me provide further education on
what constitutes a request to Parliament for tax waiver, and also, what constitutes a
decision of Parliament in answer to the request.

6. Before a Minister of State comes to Parliament with such a request, he or she first sends
the request in a “Cabinet Memo” for the approval of Cabinet or for executive approval.
As the records show, the cabinet memorandum in respect of this matter made no
reference to 1D1F tax incentives. It got the needed approval.

7. Clothed with the executive approval, the Minister then put together “Parliamentary
Memo” which was laid in Parliament for approval. Again, as the records show, the
Minister’s memorandum to Parliament made no reference to 1D1F.

8. The approval of the request for tax waiver by Parliament is expressed through a
Parliamentary Resolution in accordance with Article 174(2) of the national constitution.
Again, as the records would show, the resolution for the said tax waivers (which was
published on the Order Paper of Parliament before the vote on the resolution was taken)
made no reference to 1D1F. It was this resolution that was conveyed by Parliament in
a letter to the Minister for Finance dated 7th December 2022 for implementation, which
letter also made no reference to 1D1F.

9. So, where lies the concern by The Fourth Estate that tax incentives meant for the
development of factories are being implemented for a hotel?

10. My respectful advice to The Fourth Estate is that you re-instate your sense of honesty
and back off this needless and false campaign to convince the public that the state is
implementing 1D1F tax incentives in favour of a hotel.

Kwaku Kwarteng
(Chairman, Finance Committee of Parliament”

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