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| Central Bank of Liberia under Weeks |
In the latest development, the legislative inquiry on the missing L$16 billion scandal has been abruptly suspended for a time indefinite. But not before then, the testimony of Mr. Weeks, former governor of the Central Bank of Liberia (CBL), before the members of the House of Representative on Nov. 12, 2018, and followed by that of the CBL deputy governor, Mr. Charles Sirleaf (Nov. 20th), have not raised any passion nor much public interest. And for a reason, those who had mobilized so quickly to tarnish Liberia’s international image have certainly been greatly disappointed and confused by the contradictions and ineptitude – if not gross incompetence and amateurism on the part of the former governor and his team. And the silence as a grave, I think, is a sign of their mea culpa due President Weah, the nation, and the people for the irreparable damage done to our national image and credibility.
Massive Economic Scandal In Disguise
First, it is my view that the media report of the testimonies by former governor Weeks and his deputy, Mr. Charles Sirleaf, perfectly summarized how Liberia was governed under Madame Ellen Johnson-Sirleaf. A government in which certain individuals were running major state institutions as their eminent domains or had a carte blanche to do anything as they deemed fit. Or else how could the former governor take upon himself to print billions of L$ without conferring with the President or even the Minister of Finance and Development Planning (MFDP). Since when was the CBL left to run as a free-electron to ruin the national economy without the knowledge or acquiescence of the President? Never, as far as my experience goes with respect to government.
On the other hand, granted that Mr. Weeks’ testimony was true and not a diversion ( as others would think) to shield the former President - can anyone imagine then the extra unlawful irregularities this former governor and his team may have carried out at the CBL after (or even before) printing L$10 billion and obliged the Liberian government with a US$10.4 million debt to the new printer, CRANE of Sweden, without the knowledge of the former President, the national Legislature and the MFDP? And particularly in a government that was on record for the worst corruption in the history of Liberia.
Then in an attempt to take the former governor of the hook (or so I think), deputy governor Charles Sirleaf took the stage and muddied the water still further. For the quiet prodigious son of the former President, there is no money missing; that his mother and the 53rd Legislature had authorized the printing of the additional L$10 billion (see: https://www.frontpageafricaonline.com/politics/Liberia-legislature-president-sirleaf-authorized-the-printing-of-money-Charles – 20 November 2018). Bingo, quickly all the previous media sensational headlines: “Former Pres. Sirleaf, Legislature Off the Hook, etc?” after former governor Weeks’ testimony was revised, but not within the spirit of a real objective and investigative journalism – that is, explaining to the Liberian people this grotesque comedy of the biggest economic scandal – if not sabotage – which was stage-managed by two individuals entrusted to run our highest economic institution. And worst, all this is happening with an absolute absence of interest on the part of some of the most seasoned politicians and personalities in the country.
So, I want to caution that even though the legislative inquiry has been suspended indefinitely, but a crucial question still remains: Who is telling the truth – Mr. Weeks or Mr. Sirleaf? Or could there have been a parallel management scheme at the CBL? There must be a satisfactory clarification here or else we should not be surprised by a greater economic disaster in the too near future. Let us not forget that there was another weird incident at the CBL before where a US$1 million disappeared on the alleged signature of the former President. Some FBI expert was solicited, but not before then an ideal culprit was already designated, ex-filtrated from the bank and sent later as an ambassador to Europe. The case was closed. Perhaps, had we the guts at the time to cry “Bring Back Our Money”, probably we would have saved our country from this massive economic scandal and a national disgrace.
And secondly, I was convinced all along that both Mr. Weeks and Mr. Sirleaf were the two key players to unraveling this mystery of the missing L$16 billion. For one thing, Mr. Weeks was the newcomer to the CBL, while Mr. Charles Sirleaf is one of the senior executives who has survived all the storm at the bank. Oh, what a lucky man. So, if he maintains that the former President (his mother) and the 53rd Legislature authorized the printing of L$10 billion (something the Legislature denied); then perhaps he was the de-facto governor-in-chief (or taking direct orders from somewhere else), while Mr. Weeks must have contented himself only to affixing his signature to documents. Or else any effective, competent governor should have the precise dates the printed money arrived in the country, the point of entry, carrier, detailed record of disbursement to replace the old Legacy Notes up to the time of his resignation from the bank, etc. Anything short of that, for me, the case then requires a serious criminal investigation.
Why Was There So Much Rush To Print Excess L$ At The Last Hour?
I have repeated over and again in these same columns that the move by the Sirleaf government to declare “Liberia a single currency country” at the last hour could have a far-reaching economic consequence for the nation. And as expected, Mr. Weeks now confessed that the need to print the excess L$ was so urgent that he put it to a bidding process. And the lucky winner, CRANE, could not print the exact replica of the old notes because our traditional printer (who, I guess, did not want to get involved in the deal in order not to spoil his reputation) had the exclusive right. Unbelievable, isn’t it? So, Mr. Weeks (and apparently the CBL board) “agreed that the major features on the note will remain, but the notes will be slightly altered in appearance to avoid infringement” (see: file:///K:/Liberia House of Representatives Finds Ex-Central Bank Governor Liable of ‘Unconstitutionally’ Printing L$10 Billion – FrontPageAfrica.htm). In other words, what started off, probably, to be a mere additional printing to augment the volume of the L$ in support of the enacted “Single Currency” law, turned out to be a mass printing of a brand-new currency. Ah, and unbeknown to the President, the Legislature and the Liberian people - in a country not exempted from the money laundering and counterfeit Mafias.
Worse, the Board of Governors’ resolution presented by Mr. Weeks to the Legislature, allegedly authorizing him to print the money, in effect, was a fiasco document. The Speaker of the House of Representatives summarized its content in these words: “As far as we’re concerned, rudimentarily, it (Board of Governors’ resolution to print money) does not meet the standard of any assignment taken over by you to print money. This because here, we see some inadvertent oversights or flaws – no quantity, no volume, no denomination, no date… Nothing. So, if indeed this what led you to print money, then it cannot be justified” (see: FPA – file: idem).
Further, to let Mr. Weeks know that he could not take the members of the House for a ride any longer in such a crucial matter, Representative Edwin Snowe read him the Riot Act: “To stand here today and give us a Board resolution without date, without resolution number, without amount and said that it constitutes a constitutional authority, Mr. Presiding, it’s time that this matter be changed from a legislative inquiry to a criminal investigation and people must go to jail and be held liable for their actions” (see: FPA – file: idem). And for once I concord whole heartily with the Honourable Representative. Bravo!
So, Mr. Weeks, Where Is Our Money?
Having created the new money in precipitation and on his own, Mr. Weeks had no alternative but to collect the old notes for a replacement to avoid flooding the market with new notes that could be considered as counterfeit. But bad luck, he soon found out that the majority of the old banknotes were outside of the banking system; that all the banks combined were holding in their vaults less than 20% of the total cash in circulation. As a result, according to him, he had to use “unconventional means” to get the old notes out of the system. Well, you know in the Liberian parlance we say: ”Hurry, hurry burst trousers.” But Mr. Weeks and Mr. Sirleaf swore to the Holy Bible that all their action was in “good faith and in the interest of the Liberian people.” Truly, God has the patience for Liberia.
Thus, come the “unconventional means” where, according to the former governor’s account, a special program was instituted with the Liberian Marketing Association (LMA) to send CBL’s Cashiers to LMA market to directly replace the old notes held by market women. Or where the CBL also sent teams to rural counties to directly replace notes from the populace. Gosh, is this man really serious for any Liberian to believe a word in this narration of gross incompetence or play, play? No, Mr. Weeks, do not play on the intelligence of the Liberian people.
Frankly, for me, until Mr. Weeks or Mr. Charles Sirleaf can produce the valid records of the 20% (in figures) old banknotes collected and replaced at the various banks; the market women and populace in the rural counties; what was done with old notes collected, and how much old and new notes left in the CBL’s vaults or destroyed before his departure, etc – I will insist that the pair be held liable to account for our money or “Bring Back Our Money.”
The CBL Board of Governors Or A Mere Chopping Ground
Having read the comments on the so-called resolution of the Board of Governors mentioned supra, one does not have to be a genius to know that this enormous, lucrative Board bureaucracy (as designed under the Sirleaf government) and attached to the profitable tenured entities, was nothing but a farce to squander our nation’s meager resources. To pay heftily a selective few for doing absolutely nothing productive, and while the majority are jobless, was a pathetic patent of a visionless national leadership. As a result, the only thing that concerns a board member is the “brown envelope” or “board fees” at the end of the month or quarterly. He or she cares less about how the entity functions or knows nothing about the responsibilities of a board member.
No wonder then that President Weah has taken the first step in dissolving the majority tenured positions, but the quicker he can also dissolve their Boards, the quicker there will be additional resources to effectively finance his ambitious “Free Tuition” university education.
Conclusion
If this case does end with the logical conclusion as expected by the majority of the people, I’m afraid, it will then haunt this current administration for a time indefinite. And that logical end, in my view, is that someone must be held responsible, taken to court and if found guilty should be sentenced accordingly.
And secondly, for the fact that a CBL Governor can take upon himself and print billions of L$ and flood the market with such a worthless currency, I am wondering why the CBL Governor could not have an American expatriate counterpart and our currency be printed in the United States since we use US$ as legal tender. I still do not understand how the United States allows us to use the US$ alongside our worthless currency without any semblance of control from them.
Oh yes, let us be obsessed with sovereignty – forget it, my people!
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