MONROVIA: “The scandals keep piling up but President Joseph Nyuma Boakai is ignoring them and doing nothing. We did not support President Boakai to condone wrongdoings. We love Liberia and Liberians far more.”
The assertions above were contained in a Writeup, by a key supporter of incumbent President Joseph Nyuma Boakai, Martin Kollie, who played a pivotal role for Boakai’s victory in the 2023 Presidential and Legislative elections.
Kollie’s comments were in sharp reaction to report that President Boakai’s Minister of Commerce and Industry, Amin Modad, has purchased, and now riding 2024 Chevy Suburban, a luxurious vehicle, at the cost of a whopping US$100,000.
It is also alleged that funds for the vehicle were made available by a Dubai-based screening/scanning company, identified as MedTech Scientific Limited (MTS), through the Liberia Revenue Authority (LRA).
Kollie: “It is okay for a ‘Rescue’ Minister to use a 2024 Chevy Suburban, costing more than US$100,000 while thousands of Liberian parents cannot afford tuition and fees to send their children to school this academic year amid rising costs of education in Liberia.
“It is okay for thousands of civil servants to earn an average of US$150 for a whole month while a single Minister rides a US$121, 000 car in Monrovia.
“Just the vehicle of Commerce Minister Amin Modad alone can pay 807 civil servants a month.
“Is this what we promised our people, especially the ordinary people who struggled to bring this government to power and are currently suffering and catching hard times?”
Kollie: “This is NOT ‘Rescue.’ This is an abuse of our people’s power, struggle, and sacrifice.
“It is okay for one person to have this luxurious car while thousands of residents are being displaced right now in Monrovia due to unprecedented floods and millions are still unemployed as a result of a dead private sector,” he indicated in the Writeup.
“When Minister Amin Modad defended the increase in the price of rice (our staple food) and even justified why such an increment could not be prevented, we became suspicious of his motive.
“We had thought that a Minister of Commerce and Industry would have pushed back against importers’ unreasonable demand to hike rice prices.
“Instead, he defended importers amid far-reaching economic implications for poor households and low-income consumers due to such a hike,” Mr. Kollie who is also a civil society activist pointed out.
He contended that the 2024 Chevy Suburban that Minister Modad has was bought with money from a “criminal company (MedTech) that has stolen millions of U.S. dollars from our country.”
“It is of no surprise to us that Minister Modad again was defending MedTech when he appeared before the Liberian Legislature. Now we know why he said MedTech should stay. The money used to buy this car came from MedTech through the Liberia Revenue Authority (LRA), and this is a fact. We are challenging anyone, including Minister Modad, to disprove this,” Kollie stressed in the Writeup.
“Secondly,” Kollie explained, “Minister Modad as per his position is the regulator or referee of the Commerce, Trade, and Industry Sector in Liberia. But he is receiving a car or a ‘gift’ bought with cash from MedTech through LRA. This so-called and ‘dubious’ screening/scanning Dubai-based company is also a player/actor in this same sector. But Minister Modad thinks there’s nothing wrong to take a car from them through a MedTech-LRA arrangement.”
Activist Kollie maintains that “Minister Modad has violated the 2014 Code of Conduct Law of Liberia specifically Section 1.3.3 (Casual Gift) and Section 1.3.2 (Conflict of Interest).
According to him, “Receiving a car from the proceeds of a ‘criminal’ company that is currently under investigation at the Liberian Senate over allegations of defraud and other criminal activities amounts to complicity and conflict of interest.”
“This is also a violation of the 2005 Public Procurement Concession and Commission (PPCC) Law of Liberia and the 2021 New Anti-Corruption (LACC) Law of Liberia. A company that you are supposed to exercise oversight over is now providing cash through LRA for you to purchase a vehicle costing over US$100K. Huh ?
“How can this be reconciled? Should you even be riding a car valued at more than US$100,000 in the world’s 8th poorest country? The car you ride is more expensive than the cars of the Speaker and the Senate Pro-Temp. How can you even justify this as a minister?”
Minister Modad doesn’t deny this but argues on SPOON FM recently that his brand-new 2024 Chevy Suburban was bought with remittances from MedTech but through LRA as a form of “Capacity-Building Support” to his Ministry.
Kollie declared: “This is a joke, and it is this same joke that we, the people, fought/struggled against from 2018 to 2023. How can a US$100,000 plus car for a Minister be equated to ‘capacity enhancement’ or ‘capacity-building’? We have to be serious in Liberia.”
According to Activist Kollie, the car being used by the Minister of Commerce and Industry “is almost similar to what U.S. President, Joe Biden, rides; not the value same though.”
“But a single minister from a poor country that begs everywhere for financial aid, food assistance, medical supplies, safe drinking water, etc. has such a car. The scandals keep piling up but President Boakai is ignoring them and doing nothing. We did not support President Boakai to condone wrongdoings,” the activist added.
However, the ruling Unity Party (UP), through its National Chairman, Luther Tarpeh, underscored the importance for Commerce Minister Amin Modad to address the growing public discontent on the issue.
Chairman Tarpeh told a news conference held recently in Monrovia that the ruling Unity Party (UP), is particularly troubled by the potential implications of these allegations for public trust in state officials.
“There is growing public outcry, not only among Unity Party partisans but also throughout Liberia,” he stressed.
Chairman Tarpeh reminded public officials about the Unity Party (UP) led government’s stance on ethical governance, declaring that “no business as usual.”
Reacting to the vehicle purchase issue involving the Ministry of Commerce, the Liberia Revenue Authority (LRA) said its attention has been drawn to recent media reports concerning the purchase of a vehicle for the Ministry of Commerce & Industry (MOCI) and various other allegations.
In a statement issue in Monrovia, LRA disclosed that it has not purchased a vehicle, valued at US$150,000, as reported.
However, LRA confirms the approval of the MOCI’s request in early May 2024 for US$96,000.00 from its Customs Capacity Building Fund under the Destination Inspection (DI) Contract held with MEDTECH Scientific Limited (MTS) for the purchase of vehicles to support the MOCI.
These vehicles are intended for trade-related activities in collaboration with Customs. The specifications of the vehicles, as well as their deployment within MOCI, are determined by the Ministry of Commerce and Industry, not the Liberia Revenue Authority.
It is important to note that in accordance with Section 1822 of the Liberia Revenue Code as amended (the Code), the LRA is authorized to collect customs service fees (which is separate from custom duty) for the performance of custom services (handling of documents, cargo inspection, etc.) and the hiring of any third-party inspection service provider.
This is the basis for the DI contract with MEDTECH, under which LRA is entitled to 20% share of the fees collected.
Upon the inception of the new LRA administration in March 2024, the LRA’s share under the DI Contract was held and managed by MEDTECH based on a previous arrangement between the former LRA’s leadership and MEDTECH.
The request from the Ministry of Commerce for logistical support and LRA’s subsequent approval were done at the time this fund was still held and managed by MEDTECH.
It is further important to note that the Supreme Court placed a stay order on MEDTECH account in July 2023 and lifted it in June 2024, the LRA stated.
Immediately thereafter, the LRA formally requested the Ministry of Finance and Development Planning (MFDP), as required by the Public Financial Management (PFM) Act, to open an escrow account for depositing this 20% share which at the time had accumulated to US$3,381,035.99.
According to the LRA, the escrow account was opened on July 8, 2024, at Ecobank, and the funds were transferred from MEDTECH to the new account on July 11, 2024. Since then, the LRA’s share has been deposited into the escrow account monthly. As of August 31, 2024, the balance in the account stood at US$3,457,718.34.
The allocation of resources from the Customs Capacity Building Fund to the Ministry of Commerce and Industry has been a standard practice for over eighteen years, spanning multiple customs inspection service contracts, LRA further stated.
“This allocation plays a critical role in facilitating trade, where MOCI serves as the lead government agency for trade policy. The LRA remains committed to this long-standing collaboration in a transparent and accountable manner as it works to increase revenue collection to billions,” the statement added.
Additionally, over the years, the LRA has similarly provided support to various government agencies that are involved with revenue mobilization, including the Ministries of Foreign Affairs, Transport, Mines and Energy, Labor, as well as the Liberia Immigration Service, Liberia National Fire Service, and the National Legislature, among others.
These collaborations have, in part, contributed to revenue increase of over US$53 million as of August 31, 2024, compared to the same period in 2023.
Regarding the allegation that the LRA granted Minister Amin Modad duty-free clearance for a yacht or boat, the LRA confirms that no such duty-free clearance occurred. Our records show that in July 2024, Minister Modad cleared a “motor vessel” (boat) and paid the required duties.
Concerning allegations of bribery, the LRA firmly denies any involvement with bribes from MEDTECH or any other business or individual.
“While the LRA welcomes public scrutiny to promote transparency and accountability, we encourage media outlets to verify information before publication to prevent the spread of misinformation and disinformation that has the propensity to undermine revenue collection. The LRA remains committed to collecting lawful revenue for the Government and people of Liberia in a professional and transparent manner,” said the statement, signed by D. Kaihenneh Sengbeh, Manager for Communication, Media and Public Affairs, Liberia Revenue Authority (LRA).
There have also been public reactions to the controversial vehicle purchase saga involving the Ministry of Commerce and the Liberia Revenue Authority. So far, the Minister of Commerce has denied any wrongdoing.
However, many Liberians, via social media, underscored the need for President Joseph Nyuma Boakai, to investigate the LRA-Commerce Ministry vehicle purchase allegations and take appropriate corrective measures aimed at enhancing the government’s declared commitment to transparency, accountability and probity in governance.
“Let the President put his feet down by setting up credible committees to thoroughly probe the various reports of apparent corruption-related scandals allegedly involving some of his officials to enhance public confidence and trust in the government’s operations,” said James Sambolah, a student of Economics and Public Administration at the University of Liberia.
Student Sambolah strongly believes that there are so many officials in the Boakai-led government who now consider themselves as “untouchables” because they see themselves as part of the President’s ‘kitchen cabinet.’
“No public official should be made to believe, by the President’s action or inaction that he/she is above the laws of the country, and cannot be made to account for public funds and assets entrusted into their care for state operation,” he stressed.
“President Boakai must rise to the challenge, by calling for some of his officials who feel untouchable because of their close proximity to the Presidency and their connection to the ruling Unity Party (UP) to do things that are embarrassing his administration, no matter what their status may be,” added Nancy James, a business woman in Central Monrovia.
“In the Nation’s fight against corruption, there should not be sacred cows, otherwise, we will not achieve our goals to fight poverty and create much needed jobs, if the President fail to come down hard on some of his officials who are doing things to discredit his administration,” added Oldman Peter Swen, a father of eight and civil society activist.
Other commentators said they are watching the prevailing situation as to whether or not the President will appropriately punish any of his officials that have the potential to undermine the essence of the RESCUE Mission.
