Legislature Requested To Undo Faulty Concession

Legislature-Requested-To-Undo-Faulty-Concession

President Joseph N. Boakai has formally requested the Legislature to de-ratify a Concession Agreement between the Liberia Telecommunication Authority (LTA) and Telecom International Alliance (TIA).  In a communication addressed to the Liberian Senate, President Boakai explained that the Executive’s decision to suspend the LTA and TIA Concession Agreement for Telecommunication Traffic Monitoring Services arose from the discovery of multiple statutory and procedural violations.

Following investigations conducted by the General Auditing Commission (GAC), the Liberia Anti-Corruption Commission (LACC), and the Board of Commissioners of the LTA, it was determined that the contract had been awarded in violation of the Public Procurement and Concession Commission (PPCC) Act of 2010.

President Boakai noted, “All required legal procurement processes were bypassed. TIA was incorporated in the State of Delaware, USA, just four days after receiving bid documents and was registered in Liberia ten months after the contract was awarded.”

He also indicated that the revenue share granted to TIA increased to 49%, although its initial bid proposed only 35%. Furthermore, the contract was extended for an additional twenty years without clear evidence of value for money, and instances of fraud were identified in the procurement process, rendering the contract “void ab initio.” In light of these findings, and under his authority as President of the Republic of Liberia, President Boakai has requested that the Legislature take appropriate legislative action to de-ratify any previous legislation or endorsements related to the Concession Agreement.

This communication was sent to the Joint Committee on Judiciary, Investment and Concession, as well as Post and Telecommunication, for further advice to the Plenary of the Senate.

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