Pan African Plaza: The Pan African Plaza was owned/managed by The Libyan-Liberian Holding Company (LLHC) but was replaced by Pan African Real Estate Corporation (PAREC).
ASSETS: 8-storey Building at 1St & Tubman Boulevard, Monrovia, Liberi
Shareholders: 50% LAICO Libyan Government 50% Liberian Government
P E R S P E C T I V E S
Public Policy. Economics. Democratic Politics. Political/Economic Decentralization. Public Dishonesty. Dual Citizenship
With Bai M. Gbala, Sr.
April 7, 2018
Introduction
With an annual income of US $2.8 million and total of US $34.5 million for the 12 years ending December, 2018 from the UN Mission in Liberia, UNMIL, there appears to be shocking mystery regarding “ownership”, in terms of the identities of the Shareholders and corporate activities of Pan African Real Estate Corporation (PAREC)” during this digital, computerized age of information technology. The corporation was, or is, supposed to be the state-owned enterprise that replaced the dissolved, state-owned Libyan-Liberian Holding Company (LLHC) as owner/manager of the Pan African Plaza in which the Governments of Libya and Liberia held 50-50 interests.
The Libyan African Investment Company (LAICO) was established in 1990 under the provision No. 660 of the Libyan Government and was later acquired by the Libya Africa Portfolio (LAP) in 2006 with a share capital of 992,912,800 Libyan Dinars. In accordance with its articles of association, LAICO is a holding company, acting as one of the arms of the Libyan sovereign wealth through investing Libyan funds in Africa, mainly in hospitality, hotels and real estate sectors, as well as other multipurpose sub-holding companies, with a long-term, pragmatic vision of developing and diversifying national wealth and revenue streams of the Libyan economy. Therefore, The Libyan-Liberian Holding Company (LLHC) represented Libyan African Investment Company (LAICO) in Liberia.
The Libyan-Liberian Holding Company (LLHC)
The “Liberian-Libyan Holding Company (LLHC) was established in the early 80s by a treaty between the two governments of Libya and Liberia which was signed in 1974. Prior to the civil war, the partnership was on a 50-50 level and the company was involved in real estate and related economic development (www.winne.com/lr/interviews/mr. Eugene Peabody)”.
“On the basis of . . . agreement, the Liberian-Libyan Holding Company (LLHC) was formally established in 1978, remained in existence in 1983 and apparently stood at the centre of relations between the two countries. The purpose of the company is ‘to develop and execute financial, commercial, industrial, maritime transportation’ (https://books.google.com/books?isbn=1461659310)”.
The Libyan-Liberian Holding Company (LLHC) & Others Dissolved
The Libyan-Liberian Holding Company and six other state-owned enterprises were dissolved by Legislations upon request dated June 5, 2015 by President Ellen Johnson-Sirleaf on the grounds that “they are no more viable and significant to the economy of the country”, Liberia. The LLHC was replaced by the Pan African Real Estate Corporation (PAREC).
Information Blackout
Research information shows complete blackout on the activities of the Pan African Real Estate Corporation (PAREC), according to the New Democrat, April 5, 2018. Such information as corporate income and withholding tax liability; annual return on investment; annual dividend payments and identity of its shareholders under law are denied publication. Much of that which is known was from the struggles by the warlords of the Association for Constitutional Democracy in Liberia (ACDL), human rights violators and killers began, that:
* In 2004, the late Harry Greaves, Jr., Treasurer of the ACDL, and the late Willie Knuckles claimed that former President Taylor had granted them ownership of Pan African Plaza Building through lease agreement. Therefore, Mr. Jacques Klein, Special Representative of the UN Secretary-General in Liberia in 2002 and head of UNMIL seeking offices for the Peacekeepers, sent a Miss Linda Fawaz to the exiled President Charles Taylor in Calabar, Nigeria. But Mr. Taylor’s response was that there was no such agreement.
- UNMIL, then, negotiated a lease agreement with “owners unknown” of the Pan African Plaza and paid US $2.8 million per year would pay a total of US $34.5 million ending December, 2018. But who are the shareholders (or new owners) of this former state-owned enterprise? The answer has become a mystery, while the issue of corporate income, withholding tax and shareholders’ payment of annual return on investment, including the Government of Liberia, were critical to the tax authorities of the Liberia Revenue Authority (LRA).
- In an email statement, LRA’s Communication & Public Affairs Manager, Mr. D. Kaihenneh Sengbeh wrote, “This property (Pan African Plaza) is not in compliance with its real estate tax liability nor withholding on rent. The building is currently occupied by UNMIL and it is difficult to access the premises by enforcers to enforce the tax laws. This challenge/impediment is attributed to the reference to Geneva Convention of 1946 on the work of the UN and their diplomatic immunity”.
- Furthermore, Miss Leigh Robinson, Head of UNMIL Public Information Office, wrote in a response that “UNMIL rents the Pan African Plaza (PAP) from the Pan African Real Estate Corporation (PAREC), a company registered under the laws of Liberia. Amongst others, the Government of Liberia is significant shareholder in PAREC . . . UNMIL has rented PAP since 2006. The rent that UNMIL pays to PAREC is governed by contractual confidentiality. However, UNMIL has no objection if PAREC releases this information to the public”.
- According to the New Democrat newspaper, “from the accounts between UNMIL and LRA there is one company with ownership of the building, the Pan African Plaza. That is the Pan African Real Estate Corporation (PAREC) which replaced the dissolved Libyan-Liberian Holding Company (LLHC). The offices of PAREC are at N/N 7th Street, Sinkor. It is forbidden to talk about the company’s activities and its shareholders. Contacted on April 2, 2018, the un-identified manager said, ‘this is top secret, why do you want me to give you my secret? Go and ask your government’”.
Our Conclusions
From the foregoing we conclude, reasonably, that:
a). The Pan African Real Estate Corporation (PAREC) located on 7th Street, Sinkor, is owner of the Pan African Plaza; that UNMIL contracted to pay annual rent to the PAREC in the amount of US $2.8 million per year since 2006; and that is aw it is reasonable that LRA is aware of and/or in apparent collusion of the tax delinquency with the PAREC; and that UNMIL was, apparently, threatened with false Geneva Convention regarding UN diplomatic immunity;
b). Diplomatic immunity as provided by the Geneva Convention does not apply to “for-profit” entities or corporations such as PAREC from income and withholding tax liabilities, including employees of Diplomatic Missions. The Liberia Revenue Authority (LRA) should know or is well aware of this.
c). Regarding disclosure of the identities of shareholders and related activities of an organization is a legal requirement in general; and that the “contractual confidentiality” for non-disclosure clause imposed is in clear violation of Freedom of information Act, particularly, in the case in which the Liberian Government is major “shareholder” in PAREC; and
d). UNMIL says, clearly, that it entertains no objection for PAREC to release the contracted non-disclosure information to the public.
e). That the illegal non-disclosure contract was designed, apparently, to protect the identities of the Ellen Johnson-Sirleaf & company who, also apparently, have been pocketing public resources to the tune of US $34.5 million, including loss of income, withholding and real estate taxes.
The Liberian-Libyan Diplomatic/Economic Connection
The Libyan-Liberian Holding Company (LLHC) in which the two governments hold 50% share each, was financed 100% by the Libyan Government of Colonel Mumar Khadaffi.
Indeed, the fact of the matter was that the Libyan Leader was one of the major supporters of the ACDL civil war of Mrs. Ellen Johnson-Sirleaf. The ACDL delegation led by the late Harry Greaves, Jr. as special representative of Mrs. Sirleaf, travelled to the Libyan Capital, Tripoli, for audience with Colonel Khadaffi. The Colonel provided military training in Libya for the ACDL’s NPFL/INPFL fighting forces, arms and ammunitions for the War. But apparently . . .
After former President Taylor of Liberia was convicted of war crimes against Humanity and given a prison term of 50 years; and after the Western states’ “no-fly-zone” over territorial Libya with the murder of the Libyan President who financed 100% the Libyan-Liberian Holding Company (LLHC), Mrs. Ellen Johnson-Sirleaf & company, apparently, saw and availed itself of an excellent opportunity to kill and did “kill several birds with one stone”:
- Announced public support of the Western States’ war of “no-fly zone” over Libya, political/economic isolation of and against Colonel Khadaffi and the Libyan nation,
- Dissolved the 100% Libyan-financed Libyan-Liberian Holding Company (LLHC) and took complete control of its assets, the Pan African Plaza, the 8-stoey building at 1st Street & Tubman Boulevard, Sinkor, Monrovia; and
- Formed the Pan African Real Estate Corporation (PAREC), apparently, owned by Mrs. Ellen Johnson-Sirleaf & company but governed by non-disclosure (of identities of shareholders) contract, an illegal gag-order in violation of the Freedom of information Act.