Land Acquisition In Kumasi - A New Light

Late 2011, a ‘gargantuan’ crime hit the Asantehene’s Lands Secretariat. It was reported that the office was bridled with bribery and corruption. The case caused the then Liaison Officer’s job. Several officers also lost their job, as a result. For more than a month, the Asantehene’s Lands Office remained closed.

In or around November 2011, when the office was opened to the public a new administration had be instituted, reforms had taken place and land acquisition and registration processes was to be simplified.

Before January 2012, a land owner wishing to register his land was only required to present allocation note and site plans to the Asantehene’s Lands Secretariat for processing. The Secretariat then enquired from the Lands Commission whether the plot was free and could be registered in the current allottee’s name. This attracted a small fee. When a favourable response was received, the land owner had to pay drink money, and would Asantehene endorsed the allocation note and it was then released to the Lands Commission to prepare the lease document for execution by the proposed lessee, the caretaker chief, Asantehene. The lease document had to be sent from the Lands Commission to the Asantehene’s Lands Secretariat for the execution to take place. Then the document would be returned to the Lands Commission for the transactions to be recorded finally.  Experts said the process involved over hundred steps in addition to the cost.

This process existed up to December 2011. Starting January 2012, to register land in Kumasi one must first obtain a search report on the land from the Lands Commission. The search report is to show that the land can be registered and that it has not been registered in anybody’s name. You must add the search report to your allocation note, Cadastre plan and five passport size photograph and present them to the Asantehene’s Lands Secretariat at the Manhyia Palace. The Secretariat would check the validity of your submitted documents. Drink money (1/3 of land valued would be assessed. This and other fees and charges must be paid. The Lease or indenture would be prepared for execution. After execution, the document is sent to the Lands Commission for final registration.

The process of stool land acquisition and registration may be reduced into seven simple steps.

 1.       Negotiate and pay for land,

2.       Secure allocation note and cadastre (site) plans,

3.       Conduct a search at the Lands Commission over the Land,

4.       Submit the allocation note, cadastre (site) plans and five (5) passport pictures to the Asantehene’s Lands Office,

5.       Pay Drink Money & other fees & charges

6.       Lease document is prepared and executed

7.       Executed document is released to Lands Commission for plotting and registration registration.

In my opinion, this was by far the simplest process ever drawn up for land acquisition and registration in Kumasi. However, there still remains some unloosed knots. I, therefore, attempt a critique of the new process in place. To do the best your views, questions and contributions will count. What are the areas you wish that I discuss?

What is in an Allocation Note?

I wish to dare say that  most people who buy or own land in Kumasi know very little about allocation notes. There mounting secrets about allocation notes that most land experts and  land buyers don't know? Secrets, mountains of them which affect the fate of land buyers everyday, exists. Land buyers, thousands of them, buy land in the thick darkness of the knowledge of allocations notes. That is why most land buyers continue to experience avoidable land ownership problems long after they have paid money for land. But before we go ahead to unravel these secrets about allocation notes, let's first of all ask ourselves this question: what is an allocation note? If we are able to answer this question clearly without an iota of ambiguity , we will  pave the right way to bring to light the secrets of allocation notes.

In Kumasi, when someone buys land from a chief, the buyer  is often given a piece of paper to show that he is the owner of the land. The piece of paper is often well known as an allocation note or paper. An allocation note, therefore, indicates that there has been an original transfer of land from a Stool or a Chief to another person. Allocation notes often bear the logo or letterhead of the Stool  or the chief selling the land. On it are often written the terms and conditions of the transaction. Such as, for example, development of the land  should begin within one year and be completed in three years and that 'ground rent must be paid annually'. Allocation notes are signed by the chief and his principal elders. The date on which the sale took place is written on it, a brief description of the land that is being given out such as the plot number. In addition, three site plans of the land being sold are also attached to allocation notes. At least anyone who has bought land in Kumasi know this. 

What most people, including some land experts, do not know about allocation notes is that before 1943, allocation notes were not known in the corridors of buying, selling, and owing land in Kumasi. Most land sales were oral. The practice was that anyone wishing to acquire land had to  just see the elders of the town  with drinks and that person had land. Land was in abundance. And land was often given out without hesitation. No allocation notes were issued to cover such transactions.

In 1943, when the British came into the scene., everything changed. A law was passed to establish a Land Office for the Asantehene. Located at the Manhyia Palace, where it is still at today, the office was to help the Asantehene keep records on all of it's land transactions. Thereafter ‘43, when chiefs gave out land, they were required to inform the Asantehene’s Lands Office in writing so that the transaction would be recorded. At that time most chiefs could not read nor write. But developed simple letters to introduce people whom they gave land to send to the Asantehene’s Lands Office. On the 15^th of February, 1955 the Tafo Stool for example gave out a plot of land at Nhyiaso to one Kyeami Kwasi Yeboah. In my research I had the opportunity to see the letter. It read; 

“I have the honour to inform you that the above plot has been allocated to Kyeami Kwasi Yeboah and I should be obliged if you would prepare the necessary papers for him.”

This letter, like most allocation notes issued in the olden days by our ancestors points to the fact that allocation notes were not meant to be only an an introductory papers. But with time, these letters meant for introducing land buyers to the Asantehene become known as allocation notes. allocation notes did not attached conditions  to the sale of land such as; ‘you should start developing the land within one year and complete in two or three years’. Allocation notes didn’t require the endorsement of the Asantehene to be valid. Though when leases were prepared, the Asantehene had to sign to make it valid. Today, most land buyers clinch to allocation notes as land documents. However, most land experts see nothing legal in allocations notes. As a matter of fact, these two opposite beliefs about allocation notes is the genesis of the secret world of allocation notes in Kumasi.

I believe you now have an idea about what constitute an allocation note. I believe you now know that allocation is very new in the tradition of buying and selling land in Kumasi. And I believe you are asking many more questions about allocation notes. Don't worry. Ask those questions, share your opinions as comments and I will do my best to respond. In our subsequent articles on this blog, we will be unraveling lots and lots of secrets in the world of allocation notes. Tell your friends about this blog.

Better Not Own Land Than Disputed Land

September 10, 2010. I called a Muslim friend to wish him ‘Barka Da Salla’. It was a holiday, a public holiday for the Ghanaian Muslim community.

As a Christian I taught I was going to be free, lie in bed the whole day and relax. I was wrong. A close lady friend of mine asked me out, not to a restaurant, not to a bar, but to accompany her inspect and investigate the genuineness of some plots of land she was thinking to buy. I accepted the invitation.

The site inspection was schedule for midday. She was on time. I was on time. The estate agent too was on time. The agent said there were four plots available for sale but when I did my professional checks, I realised two of the plots had uncompleted buildings on them and their prices outrun my friend’s budget.  Secondly, she was only interested in undeveloped plots. So we settled on only two plots.

We chartered a KIA Pride taxicab. The driver’s price was moderate but we bargained for a reduction.

Our first visit was at Atwima Amanfrom, a fast developing residential neighbourhood near Denkyembuoso in Kumasi. The agent said the owner wanted GH¢4,500 but will be willing to take GH¢4,300. Judging with the eyes, the plot was ok. My friend taught it was too close to a stream, the kind she had always disliked. I didn’t argue. I only asked the agent if we could see the other plot.

The second place we went was Ampabame No. 1 New Town. There too, judging with the eyes, the plot was perfect. Instantly, my friend fell in love with it. She said, ‘Kwaku, this is the kind of plot I want’. And I said ‘that’s fine’ and then I asked the agent to take us to the owner of the plot. The price was GH¢3,500.

On our way, the agent told us the owner of the land was the chief of the town. He said a certain woman abroad wanted to buy but this woman had not paid for the land. It was not long when we reached the man’s house. He wore some dirty cloths, as if he was from the farm. Nevertheless, we did not look down on him. We performed the necessary custom of handshaking and were offered seats.  

The man confirmed that the plot was indeed his but a certain woman abroad was interested in buying it some six months ago. So he requested her to pay GH¢500 to enable him prepare the Allocation Note and the site plans in her name. The woman did as he requested. He too prepared the documents in her name but since that time the woman was yet to send money towards payment for the land.

He removed the allocation note and three site plans from a black polythene bag, which was on a wooden table and handed it to me for us to see. I took it. Looked at it, took note of some key requirements and handed it over to my friend. Then I asked, ‘so Nana, how do we get papers to show that the land is now ours?’

Quickly, he said, ‘oh that’s simple. I only have to do an affidavit that the land is now yours. In addition, I will give you the Allocation Note and the site plans.’

I took his words in, quickly assessed the situation but asked. ‘But Nana, isn’t you who signs the allocation note?’ He said it was he who signs. ‘Then she will like a new Allocation Note in her name instead of the Affidavit.’ I said.

The man looked perplexed, then said, ‘I will tell you the truth’.

He started narrating that he was just a sub-chief of the town but there was a dispute between his faction and that of the substantive chief. That they were disputing over the land at the Asantehene’s Palace because the substantive chief was wantonly selling their lands without accounting or having any recourse to them. So the reason he wanted to do an affidavit was that the substantive chief might not sign a fresh Allocation Note from him. But since he had already signed one in respect of the same plot, which was in his custody, and the woman who wanted to buy the land was no more showing interest in it, he thought it would be fine to do an affidavit.

What the man didn’t know was that the affidavit had to be done by the person whose name was on the allocation note for it to be valid. Unfortunately, the woman was abroad. We informed the chief that thought we were interested in the plot but will call him through the agent on the next Monday.

When we left the man’s house, my friend said, ‘Kwaku am confused’. Then I said, ‘it’s better not to buy land than a dispute land.’

That brings me to what Reverend Dr. Mensah Otabil said on Sunday, September 12, 2010, on one of the Radio stations in Kumasi that people shouldn’t wait for dispute free land before they buy land. Mensah Otabil is one of the pastors in Ghana that I respect so much. I like and listen to his motivational gospel messages on TV and Radio almost every week. But I disagree with him when he said that people shouldn’t wait for dispute free land before they buy land.

I believe with diligence and the service of land professionals such Land Economists people can buy dispute free land in Ghana. That is why I always advise people to solicit the services of Land Economists and Real Estate Consultants who have the right knowledge, skill and experience to aid them acquire dispute free land.

The Dream of Ghana's Electronic Conveyancing

Land acquisition and title registration in Ghana will soon to see a dramatic technological transformation. The current system of buying, selling and registering land which is bedevilled with bureaucracy, insecurity, long delays and high cost will soon change dramatically.

If what I read and hear will indeed come to pass, then, Ghanaians will soon be buying, selling and registering title to land on the internet, probably, through their e-mails.

You will just need a computer connected to the internet. Make some few keystrokes and mouse clicks. Fill a paperless form. Send an email requesting to buy, sell or register title to a piece of land and, there you are. Within minutes, a valid land title certificate downloadable from your inbox will be ready. Simple!

That is the magic of electronic conveyancing or e-conveyancing.
E-conveyancing is a computerised land registration system in which land transactions are processed through the use of the internet from the initial stages of the acquisition to the final stage of registration. It’s like the online stock trading on the Ghana Stock Exchange.

It is simple, fast, and cheap. With e-conveyancing, the bureaucracy and long delays in registering land will be history, a thing of the past. E-conveyancing shortens the time of registration from months to minutes. It saves manpower, buries bureaucratic delays, makes registration simple due to standardization, and improves accessibility of the general public to land title registration. The availability of land information will also improve dramatically due to use of the internet.

E-conveyancing will consolidate land acquisition and make title registration accessible from remote areas. It will bring Lands Commission to every house that has a computer connected to the internet. It will make land registration accessible on every mobile phone with an internet and at the internet café where you live.

But the positive showers of e-conveyancing may not fall unless the proposed Lands Bill, which is currently receiving stakeholder consultations, is finally passed into law. The Bill, when it becomes law, will make it possible for people to buy, sell and register title to land on the internet within munities, and such transactions will be lawful and valid.

I must say that the Lands Bill is a pregnancy of the Land Administration Project (LAP). It is a draft law taking its life from the womb of the LAP. Among others, it seeks to revise and consolidate laws on land in order to harmonise land policies with existing customary. This is to ensure sustainable land administration and management and effective land tenure. It is this proposed law that seeks to legalise online land transactions and registration.

E-conveyancing is a laudable idea. When I first read about it I was enthused. So I went straight on the internet for more information. Within seconds of a browsing, Australia, Canada, British Columbia, United Kingdom, Scotland, the United States of America was caught in the web as among countries across the globe that were experimenting with e-conveyancing.
I realised that responses from the people of these countries were overwhelming.

Of course, naturally, most land buyers will be attracted to a land registration system that is simple, cheap, fast and safe. That is why the Torrens system of land registration is still the toast of most land administrators the world over even after it was developed about 155 years ago. And e-conveyancing will make it even more accessible and allow transactions to be completed as swiftly as the presidential entourage in Ghana, no clog of traffic. I think this is an innovation Ghana should embrace.

I am envisaging that, within a comparatively short time, when the Lands Bill is successfully passed into law, electronic conveyancing will be the only means by which land may be bought and sold.

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