MONROVIA, LIBERIA, OCTOBER 3, 2024 – The Center for Transparency and Accountability in Liberia (CENTAL) has raised alarms over a series of corruption allegations, off-budget spending, and low asset declaration compliance by public officials, calling on President Joseph Boakai to take immediate and decisive action.
At a press conference held CENTAL headquarters today, Tuesday, October 3, 2024, CENTAL’s Program Manager, Atty. Gerald D. Yeakula, emphasized that the current administration’s failure to address recent controversies threatens to undermine Liberia’s progress on transparency and accountability. He pointed to specific issues, including a $150,000 vehicle purchase scandal involving Minister of Commerce Amin Modad, off-budget expenditures amounting to $15 million by the Ministry of Finance and Development Planning (MFDP), and widespread violations of asset declaration laws by government officials.
Minister Amin Modad and the $150,000 Vehicle Purchase Saga
One of the most pressing concerns raised by CENTAL relates to the Ministry of Commerce and Industry (MOCI) and the Liberia Revenue Authority (LRA) over the purchase of a vehicle for Minister Amin Modad. According to media reports, the Ministry requested $150,000 from the LRA for the vehicle. While the LRA later clarified that the actual amount approved was $96,000, CENTAL believes this purchase raises serious questions.
“Why were funds meant for capacity building in trade-related activities diverted to purchase a luxury vehicle?” asked Atty. Yeakula. He noted that the procurement violated the 2024 Budget Law, which caps vehicle purchases for officials, excluding a few top positions, at $45,000.
CENTAL urged President Boakai to commission an independent investigation into the purchase and hold Minister Modad accountable. The organization also stressed the need to strengthen the management of funds generated through customs services to prevent future abuse.
$15 Million in Off-Budget Spending by the Finance Ministry
Atty. Yeakula further highlighted reports of off-budget spending totaling $15 million from January to August 2024, in direct violation of Liberia’s Public Financial Management (PFM) law. The PFM law allows for spending only within approved budget lines, except in exceptional circumstances where contingency funds may be used.
According to the law, contingency fund expenditures must not exceed 2% of annual domestic revenue, which amounts to $13.92 million for the 2024 budget. However, the Ministry of Finance and Development Planning reportedly exceeded this threshold.
CENTAL expressed its deep concern that both the current and previous administrations have shown a pattern of ignoring financial regulations. “We call on President Boakai to take action against those responsible for these violations and to provide a comprehensive report justifying the off-budget expenditures,” Yeakula stated.
Widespread Non-Compliance with Asset Declaration Laws
Another key issue addressed by CENTAL is the lack of compliance with Liberia’s asset declaration laws. According to the Liberia Anti-Corruption Commission (LACC), only 26.5% of the 1,900 government officials required to declare their assets had done so as of July 31, 2024. In the Legislature, only 26 out of 73 Representatives and 12 out of 30 Senators complied, while none of the Senate’s administrative staff submitted declarations. The Executive and Judiciary branches showed similarly poor results, with hundreds of officials failing to meet the legal requirements.
CENTAL called on President Boakai to suspend all Executive officials who have failed to declare their assets and urged citizens to demand greater accountability from their elected leaders. “This widespread non-compliance amounts to a flagrant disregard of the law,” said Yeakula. He also called on the Chief Justice and Legislature to ensure full compliance within the Judiciary.
CENTAL’s Recommendations and Call for Action
In its final recommendations, CENTAL pressed for immediate administrative actions from President Boakai, including an independent investigation into the vehicle purchase scandal, sanctions against officials responsible for off-budget spending, and the suspension of non-compliant officials. The organization also urged the public to hold lawmakers accountable, as asset declaration is a critical component of transparency in public service.
“We cannot allow these violations to continue unchecked,” concluded Atty. Yeakula. “President Boakai must take decisive action to uphold the rule of law and restore public trust in Liberia’s institutions.”
As Liberia faces these ongoing challenges, the pressure on President Boakai to address corruption and strengthen governance structures is mounting. CENTAL’s call for action serves as a stark reminder that the fight for accountability in Liberia remains far from over.
