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Citizens demand explanation: How Grand Bassa’s US$400K scrap metal money was used

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-US4 3.6m County Development Funds stuck in the cracks

By Christopher Yarwoe in Buchana, Liberia Email: tam.yarwoe106@gmail.com

Citizens of Grand Bassa County are demanding explanation from their county’s leadership on the usage of the scrap metal money estimated at over US$400,000.

The citizens’ demand comes in a wake of the new county administration’s pronouncement that they have taken over a county that has almost no money in its various accounts.

The new administration of the county stated on Wednesday, July 4,2018 at a joint press conference in Buchanan that they took over a “broke county”.

Making the disclosure, the Assistant Superintendent for Fiscal Affairs, Daniel Willie said the “new county administration did not meet any money in the county’s account.”

According to Mr. Willie, with barely two months since they took office, there have been no financial statements or reports from the past leadership of the county.

Superintendent Janjay Baikpeh in his Buchanan office

The Fiscal Affairs Superintendent told reporters that the balance in the US account of the County Social Development Fund is $1,262.00 and Liberian Dollars is $ 23, 207.12 LD; the County Service Center Account balance is $ 0.00 USD.

He added that they met the balance of US$ 20,995.00 in the County’s Scrap Escrow Account.

His Boss, Superintendent Janjay Baikpeh informed the citizens that the 20 – Thousand United States Dollars was credited by his new administration from the scrap account through a resolution signed by the 54th Legislative Caucus of the Grand Bassa to settle some arrears owed in the county.

According to Mr. Baikpeh, the money will be replaced to the scrap account as soon as the county gets its Social Development Fund from the national government.

The report of the new administration triggered serious concern from the citizens of the county. They are demanding explanations from their past and present county leadership about the scrap money.

In expression their disappointment about the amount left in the scrap account, they recommend for an audit to be conducted with the past county leadership regarding the use of the scrap metal money.

The Former Chairman of the scrap committee, Eddie Williams disclosed that upon turning over to his successor, US$400,000.00 was in the County’s Scrap Account.

And his successor, Mr. Jerry Garyeazohn who later resigned, said that he deposited an additional US$20,000.00 in the scrap account.

However, Mr. Garyeazohn told the local Magic FM community radio in Buchanan that the news took him by surprise, because he left money in the account.

When contacted, Senator Nyonblee Karnga Lawrence who is Former Chairperson of the Grand Bassa County Legislative Caucus told Journalists at a local hotel that she did not play any role with the scrap money.

Senator Lawrence challenged anyone to prove that she is involved in the use of the scrap money.

Article 3.5 of the scrap MOU states that the people of Grand Bassa County, through their representatives and in consultation with Arcelor Mittal Liberia Limited supposed to decide on projects to be financed by proceeds from the sale of scrap metal in line with the warning that was placed on the money to be used strictly for education and literacy projects.

But some of the citizens told Magic FM that there had been no meeting called by the county;s leadership to get their views about projects to be financed by the scrap money.

According to them, decisions about the scrap money were done only by county leadership not involving the citizens as mentioned in the Memorandum of Understanding between Arcelor Mittal and Grand Bassa County.

Besides the US$20,000.00 credited by the new administration, the past county administration headed by Superintendent Levi Demmah in 2015 – 2016 borrowed 130 – Thousand United States Dollars to the Project Management Committee (PMC) to finance roads and educational projects in the county, without getting the citizens involved in the decision making on the usage of the money.

This information was made possible through a Freedom of Information (FOI) request filed by Magic FM to the PMC to know the impact of the scrap money on the citizens of the county.

They called on the past county authority to call a meeting but it did not happen, while others said they were not informed how the scrap money was being used.

During the past administration of former Superintendent Levi Demmah, the PMC told magic FM that they could not speak to scrap money except permission was gotten from him.

But former Superintendent Demmah did not grant the radio station the permission to interview the staffers of the PMC, neither did he agree to be interviewed too about the money from the scrap account.

His justification was that the Code of Conduct gave him approval power before any of his staff can be allowed to be interviewed.

The last Grand Bassa County Superintendent in the Ellen Johnson Sirleaf government demanded the radio station to write another FOI request at which time he was going to grant the permission to the PMC to speak to it.

When the radio station made the request, the Superintendent sent the communication to the Former Senior Legal Counsel to the County Authority, Cllr. Samuel K. Jacobs.

As lawyer of the county, Cllr. Jacobs informed the radio station that he was going to encourage the Superintendent and the PMC to cooperate by providing the necessary information because; he knew the importance of the FOI law but his promise failed.

However, under the new administration, the PMC decided not to remain tight lip but to speak to the concern of the citizens about projects financed by the scrap money.

The Comptroller of the PMC, Mr. Uriah Bryant told this Reporter that the reason why the past and present Legislative Caucus signed several resolutions to transfer money from the scrap account to finance County and Social Development Funds Projects. The reason was delay in getting money from the National Government.

Mr. Bryant said that it has been difficult for the PMC and the County Authority to get the County Social Development Fund from the Ministry of Finance Planning and Development.

He said this has caused the PMC to make request to the Legislative Caucus for the scrap money to finance more than nine projects of the County Social Development Fund in Grand Bassa County.

Also speaking, the Treasure of the PMC Mr. Moses Henry disclosed that the county has applied for US$1.2 million to the Ministry of Finance from its Social Development Fund.

According to Mr. Henry, the leadership of the county is presently engaging the Finance Ministry to get portion of its County Social Development Fund.

The Treasure of the PMC told Magic FM that for the past three years, the government has owed Grand Bassa County about US3.6 million. And he said when the money is received from the Ministry of Finance, they will replace the scrap money and inform the citizens as a means of promoting transparency and accountability in the county.

On August 27, 2013, Arcelor Mittal Liberia Limited and Grand Bassa County signed a Memorandum of Understanding to assist the people of the county with proceeds from the sale of scrap located within the concession area.

The purpose of Arcelor Mittal giving the scrap metal to Grand Bassa County was to clear up all old and discarded structures and equipment within the concession area, in order to prepare the development of phase two of its operations.

According to Article 3.4 of the MOU, the scrap metal supposed to be used mainly for education and literacy projects for the benefit of the communities in the county.

The MOU further said that these educational projects should benefit the entire county, such as the construction of a county library and education resource center, but that did not happen.

Additionally, the mandate of the MOU in article 3.3 was that after the sale of scrap metal, the money should be deposited at the Central Bank of Liberia, in an escrow account but, was rather placed in a local branch of the Liberia Bank for Development and Investment (LBDI) in Buchanan.

Based on the work of the county outside of the MOU, the Auditor General’s Report (.covering June 2014 to July 30, 2016) criticized the county for misusing the scrap metal money on county development funds projects. It seems to still be happening due to the challenges the county continues to encounter in getting its money from the national government.

But whether the money will be replaced to the scrap account when the county succeeds in getting its County Social Development Fund remains a serious challenge and a serious concern to the citizens.

Some local analysts say except the Grand Bassa citizens hold the county leadership’s “feet to the fire”, it is the only way that the scrap account money will go towards the education and literacy projects mentioned in the Memorandum of Understanding.

In the absence of constructive citizens’ engagement, they would have nothing to show as projects done with the over US$400,000.00 scrap money in one of Liberia’s oldest counties, Grand Bassa.

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