Liberia: House Expresses Dismay Over Petroleum Importers' Failure to Pay U.S.$20.3 Million Owed Gov't

Monrovia — The House of Representatives has expressed disappointment over the failure of major petroleum importers to pay more than US$20.3 million owed the Liberian through the National Road Fund between 2017 and 2021.

In line with the National Road Fund Act, petroleum importers are to add an extra US$.30 fuel levy on a gallon of fuel, and said money should be remitted to the National Road Fund to enhance the financing of road and bridge maintenance works in Liberia.

However, the major importers and the government owned Petroleum and Refining Company - LPRC failed to remit the money collected between 2017 and 2021, despite the Supreme Court's intervention.

As the result, the Liberia Revenue Authority (LRA) and the petroleum importers were summoned by the House on Thursday to state why they have not paid the money collected from retailers in the form of taxes placed on gallons of fuel sold.

The House's decision to summon the importers was based on a request by Rep. Prince Tokpa of District #2, Nimba County.

Taking the witness stand, the Deputy Director General for Technical Services of the LRA, Gabriel Montgomery said the importers owe the Liberian government 20.3 million between 2017 and 2021, with CONEX owing the highest amount in the tune of US$7,116,278 followed by SRIMEX, US$5,982,251.66 and LPRC with US$5,826,829.51.

Also, on the list of petroleum importers indebted to Government include Aminata: US$688,982.20, Petro Trade: US$603,065.12 Kailondo: US$94,886.23, Nexium: US$17,075.10, NP: US$15,820.48 and West Oil: US$6132.25.

Montgomery told plenary that the Supreme Court placed the responsibility to collect the liabilities from the importers into the hands of the Ministry of Justice, and not the LRA. He said the collection may have been more effective if the LRA had been responsible to collect the government's liabilities.

He also mentioned that since 2021, the importance has been current with their payment.

One the importers' representatives, T. Nelson Williams of Connex acknowledged their indebtedness to the government, but called for all parties to sit at the table and renegotiate.

Williams, former Managing Director of the LPRC said their failure to remit to government the road fund, was due to both external and internal problems including the COVID-19 outbreak.

But most of the lawmakers disagreed. Rep. Ben Fofana of Margibi said the importers were indebted to the Government long before COVID-19 outbreak, and ruled against any flexibility in their favor. He pleaded with his colleagues to ensure the court's order is enforced.

Following a sustained deliberation, Plenary voted in favor of a motion filed by Rep. Isaac B. Roland, calling for the importers to reappear next Tuesday, along with the LRA and the Ministry of Justice led by Justice Minister and Attorney General Cllr. Musa Dean.

Earlier, the Road Fund General Manager, Boniface Satu thanked the Legislature for the support over the years.

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