Monrovia – Aminata and Sons is the third to be let off the hook after its CEO, Siaka Toure, was indicted by the Liberia Anti-Corruption Agency (LACC) for the commission of multiple financial crimes and violating the Public Procurement Concession Commission (PPCC) laws in a case surrounding the Japanese oil grant.
Report by Bettie K. Johnson-Mbayo/ [email protected]
Toure was indicted for economic sabotage, misapplication of entrusted property, criminal facilitation, and criminal conspiracy.
The government of Japan, during the period of 2011-2012, donated a consignment of oil valued up to US$13 million to the government of Liberia as part of its bilateral assistance to Liberia to assist the country in its reconstruction strive.
But the state said the oil products were reported to have been mismanaged by the Liberia Petroleum Refining Company, leaving government at a loss of over US$5 million under the management of T. Nelson Williams.
Williams, former Managing Director of LPRC, former Deputy LPRC Managing Director for Operations, Aaron Wheagar, former Commerce Minister Miatta Beysolow, and Ministry of Commerce Director for Price Analysis, Steve Flahn Paye and the Managing Director of the Aminata Gas Company Siaka Toure were indicted in connection to the mismanagement of the grant.
The indictment alleged that defendant Toure and his cohorts willfully and intentionally connived, conspired to deprive the people of Liberia of the amount US$ 5,764,110.84.
According to the indictment, US$ 48,932.45 was criminally disbursed to Augusta Energy S.A. of which US$ 3,908,367.21 was converted by the defendants to their own use and benefits for the non-reflection of their 21.19 percent in the pump price. An additional amount of US$1,806,811.14 was diverted to their own use and benefits.
Toure waived his right to jury trial after being granted severance by the court.
Three witnesses of the prosecution took the stand including Deputy Director for General Auditing Commission Winsley Nanka, Aaron Henry Aboah of LACC, and Patrick Nah, a mathematics instructor.
The prosecution’s first witness, Nanka, testified that while auditing LPRC, the issue of Japanese non-profit oil grant was brought to his attention and after reviewing the documents, he discovered that there were possible issues of abuses in the transaction.
He said he initiated the special audit of the Japanese oil grant.
“During the conduct of the audit several issues came to light including the gift element that was enshrined in the Japanese grant agreement was not passed down to the consumers at the pump price as indicated in the agreement.”.
“There were no evidence or awareness created as it was stated in the MOU.
There was no evidence of an audit conducted at the conclusion of the transaction; the revenue realized by the defendant was not disclosed.
The price set for the product was based on the expected quantity instead of the actual quantity that was lifted, thereby allowing the parties to the contract to unjustly earn an amount they were not entitled to,” Nanka told the court.
He testified: “The audit established that the MOU called for a minimum threshold amount to be deposited into the Government of Liberia account but that amount was a floor and not a ceiling, the defendant deposited the minimum threshold amount indicated in the MOU, but did not take into consideration that the Japanese oil grant was not intended for social and economic development of Liberia.”
Over 12 thousand metric tons of products were released to defendant for distribution in keeping with the term of the MOU.
The mixed product was released by quantity but there was no monetary value attached to each quantity released to defendant as was indicated in the report submitted by LPRC based on defendant’s lifting.
In his testimony, Aboah, the LACC second witness, alleged that the petroleum company, after selling the not-for-profit product, which included diesel and gasoline, “criminally managed to deposit an amount of US$8,504,177.50, holding back US$5,788,134.01.”
Aboah further alleged that the plot was uncovered during an audit conducted by the General Auditing Commission (GAC).
The witness claimed that Aminata & Sons also sold the product at the then market price of US$4.22 and US$4.37, without taking into consideration the gift element of the Japanese Oil of 21.19 percent of the market price.
He alleged that the company sold the products (both diesel and gasoline) for US$4.22 and US$4.37, of which the petroleum company realized a surplus amount of US$5,788,134.01, contrary to the agreed pump price.
Taking the witness stand, Defendant Toure said that records pertaining to the transaction were in possession of LPRC including an oral report.
He told the court that Aminata was the contracting agent and LPRC was the executing agent.
Also his entity was under the obligation to honor the price set by the Ministry of Commerce (MOCI) and the price set by both MOCI and LPRC not him.
Toure: “Aminata sold the products at the reduced price set by LPRC and MOCI, and I was not party to the price fixing as such, we do not know what the reduction was. The total amount of US$8.5 million being the cost of the product was accepted to us.
“The MOU and the letter from the Managing Director of LPRC clearly stated that we are to pay to the Government of Liberia account at the Central Bank of Liberia as directed by the letter as mentioned in the MOU. We therefore do not owe anything more, so I can say we do not owe the Government anything.”
Judge Emery Paye said the court took notice of the MOU executed by LPRC and defendant Toure on August 30, 2011.
He further stated in his ruling Thursday that in the mind of the court, only contracting parties can enforce the rights and obligations of the contract.
“If defendant had breached any provision of the MOU, LPRC by and thru the Government is the only party that has the legal right and standing to sue defendant for such breach,
“The LACC, an agency established to fight corruption in Liberia, cannot arbitrarily set aside or ignore the MOU between LPRC and defendant and proceed to prosecute the defendant for any perceived breach. Accordingly, the prosecution has failed to establish the commission of the crimes as alleged in the indictment by the defendant, hence prosecution case crumbled.
“Wherefore in view of we have said above this court is of the considered opinion that the prosecution failed to prove the guilt of the defendant beyond reasonable doubt. It is therefore, adjudged that the defendant Aminata and sons Inc., by and thru its CEO Siaka Toure is not guilty of the crimes charged in the indictment.
The defendant is hereby ordered discharged without day from further answering the charges levied against him in the indictment and to go without let harassment, or molestation on account of this identical matter excerpt other valid matter not in connection with this case,” Judge Emery Paye asserted.
Miatta Beyslow was to first to be released by court on grounds that the government failed to prove corruption charges pressed against her.
Nelson Williams’s indictment was dismissed following the court ruling which stated that the LACC did not bring in substantial evidence to gold the indictment.