Newly uncovered classified documents in possession of Verity News have exposed widespread procurement irregularities and alleged fraud at the Bureau of State Enterprises (BSE), prompting an ongoing investigation by the Liberia Anti-Corruption Commission (LACC) and an audit by the General Audit Commission.
The BSE oversees state-owned enterprises (SOEs) and has been accused of failing to enforce contracts and paying vendors without providing services, potentially costing the government hundreds of thousands of U.S. dollars. Among the companies under scrutiny is Flex Group, Inc., which was awarded a $239,662.50 contract to develop a Management Information System (MIS) for SOEs. However, after receiving an initial payment of $40,000, the company reportedly failed to complete the project. Sources indicate that Flex Group returned the payment check to the Ministry of Finance & Development Planning before the new government assumed office, raising concerns about the fate of the funds.
Several other companies are also under investigation for not fulfilling their contractual obligations even though they received their payments in full. S.O.K Group of Companies contracted for renovation work at the BSE, reportedly received an advance payment of $20,000 but failed to complete essential tasks such as office painting, electrical work, and civil repairs. Best Choice Stationery, a company owned by businessman Habib Kebbeh, was contracted to supply $3,000 of scratch cards for the BSE, but the order was never fulfilled. Similarly, LIB AAK Company, hired to provide office furniture and equipment valued at $16,500, has yet to deliver. 2Tango Incorporated, a office equipment supplier, including computers and printing materials, is also under LACC investigation for failing to deliver products worth $26,800.
In response to the allegations, the General Auditing Commission (GAC) has requested an audit of the Bureau of State Enterprises under Section 2.1.3 of the GAC Act of 2014. In a letter dated March 3, 2025, the GAC informed BSE management of a meeting on March 13 to discuss the audit’s scope and other procedural matters.
A whistleblower within the Bureau of State Enterprises has urged the LACC to take swift action and ensure accountability. The anonymous source emphasized the need for transparency and proper oversight in public procurement processes.
Meanwhile, Verity News has obtained a draft of a proposed amendment to the BSE Act, which seeks to expand the Director-General’s powers while reducing the Deputy Director’s role. With a potential validation exercise scheduled for this Thursday, critics argue that these changes could concentrate power in the hands of a few individuals, potentially undermining accountability, transparency, and openness. Section 7 of the proposed Act states that the Director-General serving prior to the enactment of the law would retain their position, while Deputy Directors would be reassigned according to the new framework.