GAC Audit Report covering Jan. 2018 to Dec. 2023
Monrovia – Liberia: As audit reports for various line ministries and agencies continue to land on the desk of President Joseph Boakai, the government is wasting no time going after alleged culprits linked to massive corruption and the abuse of State resources under the regime of former President George Weah.
The findings from dozens of LACC investigative and GAC audit reports show that hundreds of millions of dollars under the government of ex-President George Weah were allegedly misapplied, misappropriated, and siphoned.
It can be recalled that Verity News investigated, uncovered, and published a news story dated July 19, 2024, about a leaked GAC audit report revealing how over 11.8 million USD was awarded in contracts without bidding by the Central Bank of Liberia https://verityonlinenews.com/cbl-exposed-no-evidence-of-bidding-for-us11-8m-contracts/
The latest suspension of the CBL Governor, Mr. J. Aloysius Tarlue, which was announced by Information Minister Jeremiah Piah at the MICAT’s regular press briefing, raises more questions about the integrity and independence of the bankers’ bank or the lender of last resort in Liberia as the GAC report highlights excess over-the-counter currency transactions, absence of competitive bidding, exceeded expenditures, among other financial irregularities.
The suspension of Tarlue by President Boakai is happening in less than 24 hours after the Boakai-led administration indicted four (4) senior ex-officials, including ex-Finance Minister Samuel Tweah and ex-Solicitor General Nyenati Tuan, on charges of economic sabotage, misuse of public money, theft, illegal disbursement and expenditure of public money, theft of property, criminal facilitation, and criminal conspiracy.
As public outcry for accountability and transparency in Liberia intensifies, the CBL Audit Report as released by the GAC shows that contracts amounting to US$11,866.308.34 were awarded without competitive bidding which is in gross violation of the 2009 Public Financial Management Law (PFM).
The GAC report claimed that CBL disbursed 1.94 Billion LRD and 178.33 Million USD in cash over the counter to six (6) public entities for the period 2018-2023.
As civil society actors and pro-justice advocates heighten calls to end longstanding impunity of war and economic crimes in Liberia, the Boakai-led administration is under pressure to prosecute past government officials based on damaging findings of dozens of audit reports that the General Auditing Commission (GAC) has forwarded to the Office of President Joseph Boakai.
The CBL audit report in possession of Verity News covering January 1, 2018, to December 31, 2023, has also exposed 50.2 Million USD in the financing of GOL payroll by the CBL without legislative ratification contrary to Article 34d(iii) of the 1986 Constitution of Liberia and Section 46.2 of the 1999 CBL Act. The audit report further reveals that 32.8 Million USD was borrowed from commercial banks to pay salary in December 2023.
Additionally, the report shows that the LRD component of the General Reserved Account has been in an overrun balance of 18.06 billion LRD since January 2018. The GAC claimed that it could not physically verify land valued at US$737.46K in the asset register due to the absence of its location. The report shows no evidence of payment totaling US$386.7K for goods and services and no proof of payment to vendors amounting to US$896K.
“No evidence that 19 contracts, totaling US$1,537,044.76, awarded in FY 2020 are included in the approved procurement plan for FY 2020,” Section 1.3.6.5 of the GAC Report stated.
The GAC report also revealed that there was no evidence of supporting documents (Delivery note, Tax clearance, Business Registration, Good Receipt Notes) for payments totaling US$386,740.45 for goods/services procured in FY 2020. The management of the CBL claimed to have paid vendors a total of US$896,363.10, but the GAC report revealed that there was no proof of said payment.
Furthermore, the GAC report established no fuel distribution/consumption log for fuel “procured” for some transactions totaling US$126,390.
During the reporting period, it was also observed that CBL Management awarded contracts totaling US$1,765,380.96 and US$2,285,038.95 for the fiscal years 2018 and 2019 respectively without evidence of an approved procurement policy, approved procurement plans, and approved budgets.
The report concluded that the approved procurement plan for FY2020 appropriated US$12,000 to purchase generators; however, a contract valued at US$317,619.00 was awarded to Family POL Business for purchasing two generators. According to the report, Iridum Solutions was awarded a contract valued at US$108,240.00 for Microsoft License; however, Iridum Solutions was paid US$110,400.00 on December 14, 2022, for an annual Microsoft License subscription in Fiscal Year 2022.
The report showed no evidence that the bank’s officers responsible for making decisions affecting contracting, tendering, and or procurement declared their assets and did sign performance or financial bonds.
The report claimed that the Procurement Policy adopted in 2010 by the Board of Governors in May 2020 did not corroborate with provisions of the PPCC Act such as provisions for procurement planning, procurement committee, etc. Additionally, there was no evidence of the bank maintaining a policy on Anti Money Laundering and Countering /Combating Financing of Terrorism.
As dozens of damning audit reports continue to descend on President Joseph Boakai’s desk, a huge trunk of the population, including pro-Boakai supporters, is demanding full accountability and an end to impunity in Liberia.
