An Accra court has reduced the bail amount for Dr Edwin Alfred Provencal, former Managing Director of the Bulk Oil Storage and Transportation Company Limited (BOST), from GHS 60 million to GHS 30 million. The court also ruled that the two sureties required for bail do not have to justify the amount.
The decision comes after Provencal spent eight days in custody of the Economic and Organised Crime Office (EOCO) following his arrest on November 10, 2025, at Kotoka International Airport as he prepared to board a flight to Maputo.
Reports indicate his name had been on a flight watchlist since October 8, 2025, though he was reportedly unaware of this designation. EOCO initially set the GHS 60 million bail without formal charges being filed, prompting the court’s intervention.
The arrest connects to an ongoing investigation into an alleged financial loss arising from a $4.9 million demurrage claim filed by Polypro, a Dubai based oil trading company. The claim stems from a shipment of diesel that was not cleared in Ghana for some time, accruing substantial demurrage fees.
BOST has disputed the claim, asserting it had not contracted for the cargo when the demurrage costs were incurred. The financial claim is currently before arbitration, and BOST has not paid any money to Polypro. The alleged financial loss to the state has not yet materialized, making Dr Provencal’s arrest and detention noteworthy given that no actual loss has occurred.
Speaking after the court hearing, Charles Okyere, Provencal’s lawyer, stated his client has been charged with causing financial loss to the state but there is no evidence to back the claim. He noted that EOCO breached the 1992 constitution when it continued to hold his client beyond 48 hours without presenting him before a court.
The lawyer expressed optimism that his client will meet the new bail conditions and leave the EOCO cell within the shortest possible time. To date, no formal charges have been filed against Provencal, though his lawyer says he faces accusations of causing financial loss.
The case has attracted significant attention because it touches on the Gold for Oil initiative. The Gold for Oil (G4O) programme was an initiative of the Akufo Addo government designed to use the existing Bank of Ghana (BoG) Domestic Gold Purchase programme to provide import finance facilities supporting petroleum product importation into Ghana.
The initiative was launched to address Ghana’s depleting foreign currency reserves and the high demand for dollars by oil importers, which was exerting downward pressure on the Cedi and driving up living costs. While the programme saved Ghanaians from fuel shortages during the economic crisis of 2022 and 2023, it also helped BOST post significant profits.
Provencal oversaw BOST during a period when the company reportedly recorded impressive revenue growth. Reports indicate the company’s net profit reached GHS 398 million in 2024, up from GHS 208.01 million in 2023, representing an increase of approximately 91 percent.
This performance makes the focus on criminalizing demurrage costs relative to BOST’s annual performance rather curious. Dr Provencal, who was only recently hailed as an exemplary public servant, now faces reputational damage with this alleged criminal tag over a trading matter.
A recent forensic risk assessment by policy think tank IMANI Africa alleged that the government’s Gold for Oil initiative suffered governance lapses, fiscal losses, and structural weaknesses. The report called for prosecutions and recovery of what it described as misappropriated revenues, citing issues including pricing control failures, preferential access, and the absence of contracts between the Bank of Ghana and the Precious Minerals Marketing Company.
Dr Provencal has dismissed the allegations, insisting that the programme was executed transparently and adhered to corporate governance standards. The reduction in bail marks a pivotal moment in the legal proceedings, which continue to unfold.
BOST serves as Ghana’s state owned entity responsible for bulk petroleum storage and transportation infrastructure. The company plays a critical role in the country’s energy security by managing strategic fuel reserves and distribution networks.
Source: newsghana.com.gh
