Liberia: Govt Moves to De-Ratify Tia Deal After Audits Cite Illegal Procurement and Over $50 Million in Losses

- The Liberian government has moved to dismantle a multimillion-dollar telecommunications monitoring deal with Telecom International Alliance (TIA), asking lawmakers to de-ratify the agreement after state auditors and anti-corruption agencies concluded it was illegally procured and cost the country more than US$50 million in lost revenue.

The request, submitted by the Executive to the Legislature, follows a series of adverse findings by the General Auditing Commission (GAC), the Public Procurement and Concessions Commission (PPCC), the Liberia Anti-Corruption Commission (LACC), the Liberia Telecommunications Authority (LTA), the Liberia Revenue Authority (LRA) and the Ministry of Justice. The institutions say the original 2018 contract--and its alleged expansion into a 20-year concession in 2022--was executed without mandatory PPCC approval, in violation of the Public Procurement and Concessions Act of 2010.

TIA has rejected the government's conclusions, insisting the contract and subsequent concession were lawfully awarded and ratified. The company has urged lawmakers to renegotiate rather than scrap the deal, warning that de-ratification could disrupt telecom revenues and regulatory oversight.

The sharply conflicting positions came into public view during a weekend hearing before the Senate Joint Committee on Post and Telecommunications and Judiciary, Human Rights, Claims and Petitions.

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PPCC: No Approval, No Legal Standing

PPCC Executive Director Bodger Scott Johnson told senators that the commission never issued the legally required "No Objection" for the award of the 2018 contract to TIA.

"A thorough review of PPCC institutional records confirms that no objection was granted to the LTA for the award of the 2018 contract to TIA," Johnson said. "There is no PPCC board decision, approval or administrative correspondence authorizing the award."

He said the proposed agreement was a six-year arrangement valued at either US$3 million annually or 35% of projected revenue, whichever was higher, for the deployment and operation of a telecom traffic monitoring system.

Johnson added that the PPCC was also never consulted on the November 2022 amendment that allegedly converted the service contract into a long-term concession.

"There was no submission for concession structuring, value-for-money analysis, fiscal risk assessment or regulatory approval, as required by law," he said.

LACC: Contract "Illegal and Voidable"

LACC Executive Chairperson Cllr. Alexandra Zoe said the commission's investigation--triggered by a GAC audit--found the procurement process "fatally defective."

"The contract was awarded to TIA contrary to PPCC requirements and recommendations," Zoe said. "Statutory procedures were bypassed, rendering the contract illegal and voidable ab initio."

Despite the lack of approval, Zoe said, the LTA signed an eight-year contract with TIA on Aug. 31, 2018, represented by TIA Vice President and General Manager Avishai Marziano and the LTA Board of Commissioners.

Under the contract, TIA was to deploy systems to monitor voice, data and mobile money traffic, curb fraud, optimize telecom tax revenues, and provide equipment, training and consultancy services.

From Service Contract to 20-Year Concession

Zoe told lawmakers that after a mid-term review, LTA management moved to extend the arrangement.

On July 14, 2022, a new 20-year agreement was signed between the LTA--represented by Acting Chairperson Edwina C. Zackpah and commissioners--and TIA, represented by William F. Saamoi Jr. The deal was approved by then Finance Minister Samuel Tweah and attested by then Justice Minister Cllr. Musa Dean.

The revised agreement set a revenue-sharing formula under which LTA would receive 51% for the first 10 years and 56% for the remaining 10, while TIA would take 49% for the first decade and 44% thereafter.

Former President George M. Weah later submitted the agreement to the House of Representatives, where it was ratified and published.

However, Zoe said investigators found no evidence that TIA delivered technical training to LTA staff or introduced new services beyond those outlined in the original contract.

Payments, Performance Gaps

LACC figures show that in 2023, TIA earned US$2.33 million from inbound and outbound traffic monitoring--US$1.44 million from Orange and US$889,355.09 from MTN.

In the same year, the company also received US$13.16 million as its share of regulatory fees--US$8.49 million from Orange and US$4.67 million from MTN.

Zoe said the LTA violated Section 32 of the PPCC Act by disregarding concerns about TIA's professional qualifications, financial capacity and past performance raised by PPCC compliance officers.

GAC Flags Corporate Red Flags

GAC Auditor General P. Garswa Jackson Sr. told senators that auditors found the contract was signed just three days after TIA was formed, with its Liberian subsidiary incorporated nine months later.

"We observed no evidence of prior successful performance of similar services by the vendor," Jackson said.

He also questioned TIA's entitlement to a share of the 9% regulatory fee imposed on mobile network operators in 2019, noting the absence of any amended contract authorizing such payments.

"There was no evidence of monthly validation reports or Call Detail Records submitted to the LTA," Jackson said, despite the company receiving nearly half of regulatory fees.

LTA Questions Contractor Identity

LTA Commissioner Patrick Honnah raised concerns over inconsistencies in the contract itself, noting that both the 2018 agreement and the 2022 amendment list "Telecom International Alliance, Inc."--an entity he said does not exist--while the signature page references "Telecom International Alliance, LLC."

"Which company is the actual contractor that can be held liable for breach?" Honnah asked.

He added that although TIA's original bid was US$9.2 million, the company has already received more than US$50 million.

Citing the GAC audit, the LACC investigation and an LTA board resolution alleging fraud, President Joseph Nyuma Boakai issued Executive Order No. 154, suspending the TIA contract and formally seeking its de-ratification by the Legislature.

TIA Pushes Back

Appearing before the Senate committee, TIA Managing Director William F. Saamoi Jr. said the company respects presidential oversight but maintains that the contract and concession are valid.

"Our appearance today is not adversarial," Saamoi said. "It is supportive of the government's effort to ensure public contracts serve the best interest of the Liberian people."

He cited a 2024 Ministry of Justice legal review that he said affirmed the legality of the 2018 contract, a 2021 addendum and the 2022 concession.

Saamoi said the monitoring system has generated over US$100 million in telecom revenue while strengthening fraud detection and national security oversight.

"This is a revenue-sharing concession, not a fixed-price procurement," he said. "Higher TIA receipts simply reflect stronger government revenue performance."

He warned lawmakers that de-ratification could disrupt revenue flows and urged renegotiation instead.

Government Split as Decision Looms

LRA Deputy Commissioner General Gabriel Y. Montgomery supported renegotiation, citing potential revenue losses. But Justice Ministry Deputy Minister Cllr. Emmanuel Tulay told lawmakers the ministry stands with the President's call for de-ratification.

The Senate committee is expected to conclude deliberations and issue recommendations in the coming days, setting up a decisive test of executive authority, legislative oversight and accountability in one of Liberia's most lucrative telecom arrangements.

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