The government is currently negotiating with the NSBC bank to terminate the agreement under which the Gulfstream jet was contracted for use as a Presidential Jet. The negotiations, which are at an advanced and delicate stage, are to ensure the disposal of the jet at a minimum cost to Ghana.

A press release issued in Accra on Sunday and signed by the Minister of Information and Presidential Affairs, Mr Jake Obetsebi-Lamptey, said in line with government’s policy of transparency, the full details of the whole agreement would be made public in due course.

The aircraft, according to the statement, is most unsuitable for use as Presidential Jet in view of its very limited capacity, with a space for only 10 passengers.

Explaining the arrangement under which the jet was acquired, the release said the NDC government pledged over $14 million of the Ghana Armed Forces and Ghana Police Service earnings on peacekeeping operations to an untouchable account in a New York Bank to be drawn down in the event of default on payments due on the lease without any reference to the Government of Ghana.

It said another, “offensive” aspect of the NDC government deal was the fact that while the market value of the 25-year old plane within the industry at the time of the transaction was estimated at around $7 million for an outgoing sale, the deal which was only for a lease of five years, was to cost the Ghanaian taxpayer $23 million.

The release pointed out that the Ghana government did not own the aircraft and therefore had not been at liberty just to sell it off. Furthermore, the lease agreed by the NDC government was written in such a way as to open Ghana to potential huge losses in the event of a forced sale.

“The objective of the government’s negotiation team has therefore, been to ensure that Ghana minimizes any loss in abrogating the contract by agreeing on arrangements that will not make the country liable for the potential penalty of the sleazy deal,” it added. It said that in the course of the negotiations last year, the terrorist event of 11 September in the U.S. occurred, making it impossible to dispose of the plane without great loss.