Former Managing Director of the Tema Oil Refinery (TOR), Kweku Asante Berko, has been convicted in the United States for his involvement in a foreign bribery and money laundering scheme connected to the development of a power plant in Ghana.
Berko, a former investment banker with Goldman Sachs, was found guilty of helping facilitate more than $1 million in bribe payments aimed at influencing the award of a major power plant contract in Ghana.
The conviction follows allegations by the U.S. Securities and Exchange Commission (SEC) that Berko violated the Foreign Corrupt Practices Act (FCPA) by arranging illegal payments to Ghanaian government officials.
According to court documents and U.S. regulatory filings, Berko allegedly helped coordinate millions of dollars in bribes on behalf of a Turkish energy company seeking to secure the lucrative Ghanaian power project.
The SEC previously alleged that as much as $4.5 million was channelled through an intermediary and subsequently distributed to Ghanaian public officials to influence the contract award.
Kweku Asante Berko accused of paying Ghana officials
U.S. prosecutors also alleged that Berko personally paid approximately $66,000 in bribes to members of Ghana’s Parliament and other government officials between 2015 and 2016.
The alleged payments were intended to help advance the Turkish company’s bid to secure the contract to build and operate the power plant.
The Foreign Corrupt Practices Act prohibits individuals and companies from offering money or other things of value to foreign government officials in order to obtain or retain business.
The SEC further alleged that Berko attempted to conceal aspects of the alleged bribery arrangement from Goldman Sachs after the bank’s compliance officers raised questions about the transaction.
Goldman Sachs eventually withdrew from the project after the Turkish energy company failed to adequately explain the role of the intermediary company involved in the transaction.
Former Goldman Sachs executive faces money laundering conviction
Berko, who holds both U.S. and Ghanaian citizenship, was also prosecuted for money laundering in connection with the alleged bribery scheme.
Prosecutors said the criminal conduct occurred between December 2014 and March 2017. During this period, Berko allegedly conspired with others to make substantial illegal payments to secure the power plant contract for the Turkish energy company.
At the time, Berko was an Executive Director in the Investment Banking Division of Goldman Sachs’ U.S. banking subsidiary and played a significant role in managing the transaction.
The conviction came after a nine-day trial before United States District Judge Diane Gujarati.
Kweku Asante Berko faces up to 30 years in prison
Following the guilty verdict, Berko remains in custody pending sentencing. He faces a maximum prison sentence of 30 years if convicted on the applicable charges.
The verdict was announced by Joseph Nocella Jr., United States Attorney for the Eastern District of New York; A. Tysen Duva, Assistant Attorney General of the U.S. Department of Justice’s Criminal Division; and James C. Barnacle Jr., Assistant Director in Charge of the FBI’s New York Field Office.
The case has renewed attention on foreign bribery, money laundering, corruption allegations, international business transactions and Ghana’s power sector, particularly transactions involving foreign investors and government contracts.
Source: newsthemegh.com