The Debt Court on Tuesday ordered the temporary closure of the headquarters of the Liberia Electricity Corporation (LEC) after the state-owned utility failed to comply with a court-mandated payment of US$309,929.40 owed to Swedish electrical supplier ELTEL Network.
Sheriffs acting on a writ of execution issued on January 5, 2026, and signed by Judge James Jones, sealed the main entrance of LEC’s headquarters in Monrovia. The court order authorizes the seizure and sale of LEC assets to satisfy the outstanding debt.
According to the writ, if the seized assets are insufficient to cover the amount owed, sheriffs are instructed to arrest and bring before the court LEC Managing Director Mohamed Sheriff and other senior officials.
Arbitration Panel Found LEC Liable
Judge Jones’ ruling followed the findings of an arbitration panel appointed by the Debt Court on September 30, 2025, which concluded that LEC is liable for US$309,929.40 in unpaid obligations for electrical materials supplied by ELTEL Network.
The arbitration panel was tasked with reconciling disputes arising from a 2016 supply agreement under which ELTEL Network provided Low Voltage (LV) electrical materials to LEC. The panel reviewed invoices, purchase orders, delivery notes, and other documentation over a four-month period before reaching its decision.
While ELTEL Network initially claimed US$434,459 in unpaid debt, the panel, after careful review, reduced the amount owed to US$309,929.40.
Nine-Year Dispute
The case stems from a nine-year contractual dispute in which ELTEL Network filed an Action of Debt against LEC, asserting non-payment for materials delivered under the 2016 agreement.
The lawsuit was filed by ELTEL Network’s Attorney-in-Fact, Hans Armstrong, a British national, following repeated unsuccessful attempts to secure payment.
Despite acknowledging receipt of the materials, LEC consistently challenged the original claimed amount of US$434,459, prompting the matter to proceed through arbitration.
Failed Settlement Attempts
ELTEL Network maintains that between 2019 and 2020, it made multiple efforts to amicably resolve the matter.
The company reportedly offered a settlement of US$360,000, agreeing to waive US$74,452 of the outstanding balance. LEC, however, failed to honor the proposed settlement.
On January 1, 2020, ELTEL Network wrote formally to then LEC Chief Executive Officer Monie Captan, reminding him of prior commitments to settle the debt.
According to the company, the letter went unanswered, leaving legal action as the only remaining option.
Materials Delivered
The unpaid debt relates to Low Voltage (LV) electrical materials, which are commonly used in control rooms, electricity distribution networks, lighting systems, communication infrastructure, and security installations. LV systems are designed for lower current loads and are considered safer than standard high-voltage wiring.
ELTEL Network insists that all materials covered under the agreement were fully delivered and accepted by LEC.
Enforcement Underway
With the writ of execution now in force, enforcement actions will continue until the debt is fully settled or further directives are issued by the court.
