NPA Scandal: OSP Seizes GH₵100 Million and US$100,000 Assets in Extortion and Money Laundering Probe

Explore the latest developments in Ghana’s NPA scandal, including asset seizures by the Office of the Special Prosecutor (OSP), charges against former CEO Dr. Mustapha Abdul-Hamid, and implications for anti-corruption efforts.

Introduction

The National Petroleum Authority (NPA) scandal has captured national attention in Ghana, highlighting serious allegations of extortion and money laundering within the downstream petroleum sector. On November 6, 2025, the Office of the Special Prosecutor (OSP) disclosed the freezing of assets exceeding GH₵100 million and US$100,000, linked to former NPA CEO Dr. Mustapha Abdul-Hamid and nine associates. This action stems from a probe into financial crimes that allegedly caused losses over GH₵291 million and US$332,000 to the state.

Understanding the NPA scandal requires grasping the roles of key institutions: the NPA regulates petroleum pricing and distribution, while the OSP, established under Act 959 of 2017, combats corruption through investigations, prosecutions, and asset recovery. This introduction sets the stage for a detailed examination of the OSP asset seizure in the NPA extortion case, offering clarity on its scope, legal basis, and broader impact.

What is the OSP’s Role in the NPA Scandal?

The OSP’s intervention underscores its mandate to preserve suspected proceeds of crime, preventing dissipation before judicial resolution. These frozen assets—spanning business and personal holdings—represent a critical step in recovering public funds lost to alleged illicit schemes.

Analysis

A deeper analysis of the NPA scandal reveals a sophisticated extortion ring allegedly operated between 2022 and December 2024. Public officers at the NPA are accused of demanding illegal payments from bulk oil transporters and oil trading companies, disguised as legitimate duties. These funds were purportedly laundered through three private entities: Propnest Ltd., Kel Logistics Ltd., and Kings Energy Ltd., funding the acquisition of now-frozen properties.

The OSP’s strategy exemplifies proactive asset recovery, a core function under its enabling law. By securing over GH₵100 million in Ghanaian cedis and US$100,000 in foreign currency equivalents, the OSP signals zero tolerance for corruption in strategic sectors like energy. Investigations continue, with additional assets under trace, potentially escalating the total value seized.

Breakdown of Alleged Financial Losses

• Ghanaian Cedis: Over GH₵291 million in estimated state losses.
• US Dollars: US$332,000 linked to the scheme.
• Frozen Assets: GH₵100 million+ and US$100,000, suspected as crime proceeds.

This NPA money laundering probe not only targets individuals but also corporate veils used to obscure illicit gains, demonstrating the OSP’s forensic approach to financial crimes.

Summary

In summary, the OSP has frozen a comprehensive portfolio of assets valued at more than GH₵100 million and US$100,000 in the NPA scandal. These measures target Dr. Mustapha Abdul-Hamid, two fellow NPA officials—Jacob Kwamina Amuah and Wendy Newman—four directors, and the three aforementioned companies. Facing 54 charges, the “NPA 10” are accused of conspiracy, extortion by public officers, money laundering, and using public office for profit.

The scheme allegedly siphoned funds from oil sector players, laundering them into tangible assets now preserved for potential state recovery. This OSP action in the NPA extortion case reinforces Ghana’s anti-corruption framework.

Key Points

Practical Advice

For oil traders, bulk transporters, and public sector employees in Ghana, the NPA scandal offers vital lessons in compliance amid the OSP’s money laundering probe.

Compliance Tips for Oil Sector Businesses

Avoid falling victim to extortion schemes by documenting all payments to regulators as legitimate duties. Maintain transparent financial records, conduct regular audits, and report suspicious demands to authorities like the OSP. Implement anti-money laundering (AML) training to detect red flags, such as unusual fund channeling through third-party entities.

Guidance for Public Officials

Adhere strictly to ethical guidelines: never solicit or accept unofficial payments. Use official channels for all duties and declare assets promptly. Familiarize yourself with Act 959 to understand OSP scrutiny risks.

Points of Caution

The NPA extortion case warns against underestimating OSP vigilance. Businesses should caution against engaging with unverified intermediaries in the petroleum supply chain, as they may facilitate laundering. Public officers must beware of schemes promising quick profits via office influence, as asset seizures can extend to personal holdings. Investors in related companies like Propnest Ltd. or Kings Energy Ltd. should monitor legal proceedings to assess risks.

Risks of Asset Dissipation

Attempting to transfer or hide assets post-freezing order violates OSP mandates, potentially worsening charges. Always seek legal counsel before transactions in investigated sectors.

Comparison

Compared to prior OSP cases, the NPA scandal mirrors the 2021 Ghana Airports Company probe, where assets were frozen for similar corruption allegations, recovering millions. Unlike the smaller-scale Customs Division scandals (under GH₵50 million), this GH₵100 million+ OSP asset seizure in the NPA money laundering probe stands out for its scale and involvement of high-profile executives.

NPA Scandal vs. Other Ghanaian Corruption Cases

This comparison highlights the NPA case’s magnitude, emphasizing escalating OSP enforcement in public sector financial crimes.

Legal Implications

The OSP’s actions are firmly rooted in the Office of the Special Prosecutor Act, 2017 (Act 959), which empowers freezing orders for assets suspected as corruption proceeds. In the NPA scandal, this prevents dissipation, supporting convictions under Ghana’s Criminal Offences Act (extortion) and Anti-Money Laundering Act, 2020 (Act 1044).

Potential Penalties

Convictions could lead to imprisonment (5-15 years per count), fines, and permanent asset forfeiture. Companies risk dissolution if proven as laundering vehicles. The 54 charges amplify risks, with joint liability for the “NPA 10.”

Legal precedent from OSP cases affirms these powers, ensuring state recovery post-trial.

Conclusion

The OSP asset seizure in the NPA scandal marks a pivotal anti-corruption milestone, safeguarding over GH₵100 million and US$100,000 while pursuing justice against Dr. Mustapha Abdul-Hamid and associates. This probe into extortion and money laundering reinforces institutional accountability in Ghana’s petroleum sector. As investigations expand, the case promises stronger deterrence, asset recovery, and public trust restoration. Stakeholders must prioritize integrity to avert similar crises.

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