An arbitration panel appointed by the Debt Court for Montserrado County on yesterday, September 30, released its findings, declaring the Liberia Electricity Corporation (LEC) liable in the amount of US$309,929.40, as unpaid debt for electrical materials supplied by a Swedish Company, ELTEL Network.
The panel was established to assist the court to reconcile the 2016 agreement between ELTEL Network and LEC for the Swedish Company, to supply the electricity company with Low Voltage (LV) materials. Despite receiving the materials, LEC has repeatedly challenged the US$434,459, indebtedness to ELTEL Network.
It was based on claims and counterclaim that led to ELTEL Network, Attorney-In- Fact, Hans Armstrong, a British national, to file a debt action before the Debt Court.
Yesterday's decision followed a four-month arbitration with the LEC and ELTEL Network, reviewing invoices, purchase requests and delivery notes among others.
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Initially, Hans Armstrong sought US$434,459, as unpaid debt, but, after careful consideration, the panel reached the agreement of US$309,929.40.
The money in question resulted from a 2016 agreement between ELTEL Network and LEC for the Swedish Company to supply the electricity company with Low Voltage (LV) materials, which they did.
LV applications are diverse and include control rooms, distribution systems, lighting, communication systems, and security systems. LV wiring is often used in these applications, as it is designed for smaller currents and offers increased safety compared to regular wiring.
The company, since 2019-2020, had repeatedly complained about the management of LEC indebtedness, but, LEC has deliberately refused to settle the outstanding balance of US$434,459 despite several emails and official letters written to them.
Furthermore, on January 1, 2020, ELTEL Network wrote to then LEC Chief Executive Officer, Monie Captan, reminding him of the promises he made to settle the outstanding balance. Unfortunately, Captan refused and failed to respond to the letter, leaving them with no option but to seek legal redress with the Debt Court.
They claim that between 2019-2020, they offered to the LEC management a settlement agreement based on a direct payment of US$360,000, meaning if they were to accept the offer, ELTEL Network was going to waive US$74,452, which LEC failed to honor.
Despite numerous emails and official letters written to the Chief Executive Officer (CEO) of LEC, Monie Captan, he has refused to settle the debt, claims ELTEL Network's Chief Executive Officer.
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