Appiatse explosion: Asking Maxam to pay $6million harsh, could scare investors — PIPA

The Private Investors Protection Agency (PIPA) has commended the Government of Ghana for swift action following the explosion at Appiatse in the Western Region in January.

The explosion happened when a vehicle belonging to Maxam Ghana Limited was carting dynamite to Chirano Gold Mines.

Maxam was subsequently fined $6 million for breaching safety protocols.

Although PIPA empathizes with the victims, it believes government was harsh with the fine it slapped on the explosives company.

“…as an agency that is seeking the welfare of investors, we believe the government should have been a little decorum or lenient on the Spanish company, Maxam Ghana Limited, which is in charge of a truck that exploded and killed the 13 people at Appiatse,” a statement signed by Kweku Otoo said.

Below is the statement;
PIPA on $6m fine for Maxam Ghana Limited against Appiatse disaster

Private Investors Protection Agency (PIPA), a Ghanaian agency aimed at protecting the interest of investors, both local and international, has been monitoring the sad happenings at Appiatse in the Prestea Huni-Valley Municipality of the Western Region.

The situation is unfortunate and we are by this expressing our heartfelt condolence to the families who lost their 13 relatives and the victims whose properties have been destroyed.

We hope the government, through the Ministry of Lands and Natural Resources, which is headed by Hon. Samuel Abu Jinapor, would live to its assurance to the people of Appiatse that the modern, green and sustainable community Government intends to build would be based on equity, fairness, and justice.

PIPA also acknowledge the government and its agencies for the prompt actions they took during the after the sad incident and we are optimistic this would continue until the inhabitants are back to their normal life.

Kudos government. But, as an agency that is seeking the welfare of investors, we believe the government should have been a little decorum or lenient on the Spanish company, Maxam Ghana Limited, which is in charge of a truck that exploded and killed the 13 people at Appiatse.

Maxam Ghana Limited has been fined $6 million for regulatory breaches regarding the manufacture, storage, and transportation of explosives for mining and other civil works and like we stated above, PIPA applauds the government and its agencies.

Maxam Ghana Limited has also agreed to pay because they believe their truck brought the disaster and we also applaud them on that for not being litigants and settling the issue amicably.

But, we are of the view that the amount was on the higher side. This could scare other investors who have the plans to come and invest in Ghana because such accidents could also happen.

The government should have been concerned about at the number of employment opportunities being created by Maxam Ghana Limited and be lenient on them.

PIPA hope the government would take steps to address the issues raised above in order to rake in more investors to create more employment for the teaming unemployed youth across the country.

Thank you