New evidence and insider accounts obtained by The Liberian Investigator suggest that Liberia's stalled multi-million dollar biometric identification project was derailed not by technical or legal hurdles, but by alleged bribery demands from within the government, a chain of events that prompted President Joseph Nyuma Boakai to step in, halt all activities, and set up a review committee after Austrian contractor OeSD International GmbH refused to pay.
According to a highly placed government source, the National Identification Registry (NIR) had already secured permission from the Public Procurement and Concessions Commission (PPCC) to engage OeSD and even signed an agreement. But before work could begin, "some unscrupulous folks" in the process allegedly demanded US$120,000 from the company. When OeSD refused, those officials moved to derail the deal, pushing the matter back to the PPCC for a competitive process.
"The agreement was in place, the technical justifications were clear, and national security was part of the reason for selecting OeSD," the source told The Liberian Investigator. "But because certain people couldn't get what they wanted, they tried to embarrass the government and the president."
A Deal with Deep Security Justifications
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The source said the government's decision to work with OeSD, a 220-year-old identity technology giant holding most of the patents in the identity management space, was based on security considerations. The proposed new Liberian ID cards were to feature high-level security elements unavailable in the current system.
"The IDs being issued now are not biometric," the source said. "OeSD's technology would have been a game-changer. If you hired another company to match their sophistication, they'd have to license OeSD's patents, which would make the cost even higher."
Documents seen by The Liberian Investigator confirm that an MoU between the government and OeSD was signed as far back as 2024. The plan, the source explained, was for OeSD to begin work even before Executive Order 147, the legal framework mandating biometric IDs, took effect.
When Money Demands Backfired
The source alleged that after the deal was signed, certain officials sought illicit payments from OeSD. "When OeSD refused to play ball, those same people ran to PPCC and pushed for a competitive process," the source said.
That maneuver, according to the source, stalled the project and forced the government into an embarrassing position internationally. "Liberia was literally disgraced as being ineffective because officials put personal gain ahead of national interest," the source said.
Boakai Steps In After Complaint
The source disclosed that OeSD formally complained to President Boakai about the money demands. In response, the president halted all ID project activities and set up a steering committee to review the matter.
That presidential intervention, however, came just two days before the PPCC issued its July 7, 2025, letter rejecting NIR's request to single-source OeSD, insisting instead on a full international competitive bidding process. The PPCC cited sections of the Public Procurement and Concessions Act (PPCA) that require a formal concession plan and transparency in vendor selection.
A Timeline of Contradictions
From documents obtained by The Liberian Investigator:
- May 9, 2025 - PPCC issues a letter granting "no objection" for NIR to engage OeSD, but conditions it on the submission of a five-year concession plan.
- May 28, 2025 - PPCC reaffirms "no objection" under the same concession plan condition.
- June 10, 2025 - NIR requests PPCC clearance to use restricted bidding for the biometric ID project.
- July 5, 2025 - President Boakai appoints a 10-member steering committee, instructing it both to "finalize the selection of a contractor" and "uphold" OeSD's contract.
- July 7, 2025 - PPCC rejects the restricted bidding request and orders international competitive bidding.
Procurement experts note that if OeSD's contract was already signed and binding before July 5, it would conflict with Liberia's procurement laws, which prohibit locking in a vendor before regulatory review is complete.
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Political Fallout and Legal Questions
The case now sits at the intersection of legal compliance, presidential credibility, and allegations of bribery. The source told The Liberian Investigator that the scandal was avoidable:
"The president was trying to safeguard a national security project after receiving a complaint. What he didn't know was that some of the same officials pushing for the competitive process were the ones who had tried to shake OeSD down for money."
The source added that NIR's later refusal to obtain signatures from the Justice and Finance Ministers before reverting to competitive bidding was a deliberate tactic after the payment demands failed.
The OeSD deal was billed as a zero-cost-to-government arrangement, with the Austrian company financing the system and recouping its investment through service fees. The source warned that prolonging the procurement fight could leave Liberia lagging in secure identity infrastructure, and possibly paying more if another company is contracted.
