Monrovia, Liberia – There are disparities in the numbers that former President George Weah stated, according to an audit carried out by the General Auditing Commission (GAC) to reconcile the net account balances of the government’s consolidated finances as of January 17 and 19, 2024. The audit discovered that, in contrast to his claim that he left US$40,044,305.90, on January 17 and 19, 2024, he really left US$3,378,848.89 and US$6,918,142.97.
President Boakai stated in his State of the Nation Address that there was a balance of US$20.5 million, however former President Weah claimed in his departure speech that there was a balance of US$40,044,305.90.
Due to this, the Liberian Senate’s Joint Committees on Public Accounts Audits and Expenditure (PAC), Banking and Currency Committee, and Public Accounts Audits requested that the Auditor General conduct a Special Reconciliation Audit on the Consolidated Fund Accounts’ net account balances as of January 17 and 19, 2024.
Apart from the significant differences between the amounts reported as balances in the consolidated accounts by the current and former Presidents, the audit also uncovered liabilities totaling US$16,526,842.58 and US$16,526,121.90 on the same dates, indicating a net commitment made by the previous administration for President Boakai to fund. As of the conclusion of the 2023 budget year, these amounts were due and payable within a ninety-day period.
Contrary to Weah’s claim that he left US$40,044,305.90 in the national coffers, the audit revealed that the previous administration left net commitments of US$9,608,699.61 for President Boakai to pay.
A commitment is described as “an undertaking to make an expenditure following the conclusion of a binding agreement that will result in public outlays/payments” under Section 4, Count 10, of the Public Finance Management Act of 2009 as Amended and Restated 2019. Revenues and expenses are also recorded at the time cash is received or disbursed under the cash basis of accounting. In contrast, accrual accounting records expenses when they are incurred and income when it is produced, regardless of when cash is collected or paid.
Additionally, the GAC determined that checks totaling US$9,144,138.95 and L$457,680,522.71 as of January 17, 2024, and US$11,836,676.49 and L$457,680,522.71 as of January 19, 2024, had been issued after the legally mandated six-month period. Regulation R.6 of the PFM Act of 2009 is broken by such acts.
As per the Amended and Restated 2019 PFM Act of 2009, Regulation R.6, “Checks issued by the Republic of Liberia shall be valid for a period of six months from the date of issue.” The Minister may print or stamp a legend requiring that all government checks be cashed within six months after the date of issuance on the checks.
Additionally, there was no proof that the cash receipts in the transitory accounts were compared to the bills that the Liberia Revenue Authority (LRA) raised, the revenue sharing agreement with entities, or the amounts swept and remitted to the Consolidated Accounts. Moreover, the revenue collected in commercial banks’ transitory accounts was not promptly swept in compliance with Regulation H.9 of the PFM Act of 2009 as Amended and Restated 2019.
