No money to pay 800 work force this month

Though workers of the West Africa Mills Company (WAMCO), a Takoradi based cocoa processing firm, have been recalled from their temporary 'leave' to resume work, following the intervention of the Cocobod, the problem that has engulfed the company, which is operating within the free zone, is still far from over.

After overcoming the initial stiff opposition from the German born managing director of the company to resume production, following the impasse between his management and the Cocobod, the company has been hit with yet another deadly blow - no money in the coffers to pay the over 800 strong staff this month. In fact, as at time of filing this report, no worker had been paid his March salary, even though they usually receive their salaries on or before 21st.

Chronicle learnt from unimpeachable sources that management of the company is doing everything, including a possible contact with Cocobod, who gave the order for the production to resume, to see if they could raise loans to pay the staff this month.

As at the time of filing this report, some senior management staff were reportedly preparing to travel to Accra to meet Cocobod on the issue.

Investigations carried by the Chronicle into the latest incident revealed that though Cocobod played a major role for the return of the staff to work, they, this time, stand accused for the inability of management to pay the staff this month.

Chronicle learnt that when Cocobod agreed to resume the supply of cocoa beans to the company after lifting the initial embargo placed on it because of the misunderstanding between them and the German managers of the company, it was agreed that Cocobod would be responsible for the shipment and the sale of the company's finished products.

This gentleman's agreement was to enable Cocobod to recover the cost of the beans supplied on credit terms to the company. The remaining amount or the leftover will then be paid into the accounts of WAMCO to enable management to pay the workers and also meet their other financial obligations.

This reporter gathered that contrary to this agreement Cocobod had allegedly failed to see to the shipment of the finished products though they continued to supply cocoa beans to the processing company. Already the warehouse of the company is full, with finished products that should have been shipped a long time ago.

A source that spoke to the Chronicle said as the situation stands now it would be very difficult for the company to house the finished products that are already on the production line.

Some of the workers who were interviewed by the Chronicle appealed to the government and the Cocobod to come in quickly to do the shipment to enable their management to get money to pay them. "As at now we don't even know who is going to pay us, my brother the situation is very serious," one of the workers told this paper.

All attempts made by the Chronicle to contact Mr. A.K.N. Clement, who is in charge of the production section of the company and a key management figure in the absence of the substantive MD, who is currently in Germany, to comment on the story proved futile.

The receptionist told the reporter different stories anytime he called there to speak to Mr. Clement. She (receptionist) also refused to give the mobile number of her boss to the Chronicle. When the reporter later struggled to get the direct number of Mr. Cement, he was not in the office. A fax message sent to him through the same line was also not replied to, though the reporter provided his phone numbers.

It would be recalled that on Wednesday, March 12, this year, Chronicle carried a report that Cocobod had graciously agreed to resume the supply of cocoa beans to the company whilst negotiations to resolve the impasse between them and management of WAMCO continued.

Though the German born managing director of the company, Mr. Michael Hozaepfel, refused to agree to this kind gesture after his production line had been idle for weeks due to the unavailability of the cocoa beans, Cocobod still went ahead to resume the supply of the beans to the company, following an apparent intervention by the government, who might have taken fate of the workers into consideration.

Mr. Hozaepfel, who spoke to the Chronicle from his German base at that time, however, threatened not to pay for the beans that had been supplied by Cocobod because he did not sign for it. His argument was that the two parties agreed and set March 31, this year to resolve what he described as contractual disagreement.

He told the Chronicle at that time that the period set was not yet due and the problem too had not been resolved so he did not see the reason why he should sign for fresh beans.

Hozaepfel, who is still in Germany for what he prefers to be called a business trip, is expected back into the country next week, according to Chronicle sources.