—-As LACC Goes for McGill’s Head Today

IPNEWS: Ahead of today’s commencement of investigation by the Liberia Anti-Corruption Commission’s (LACC), former Auditor General John Morlu has warned the Liberia Anti-Corruption Commission’s (LACC), that its am alleged Payroll padding is a “misplaced” and a “waste of time.”

In a statement, Morlu argued that the issue of supplementary payrolls is not limited to McGill’s tenure, as ministries such as Education, Internal Affairs, State, and Health have had similar payrolls since 2000. He noted that the Ministry of Finance has even had four different supplementary payrolls.

The acclaimed international satisfied auditor stated that while he acknowledges that the use of supplementary payrolls is a governance issue, it does not necessarily amount to corruption, stressing that the “real issue with ghost workers lies elsewhere, not in supplementary payrolls.”

The former Liberian auditor General cited that the supplementary payrolls for the Ministries of Health and Education were financed by USAID, suggesting that the LACC should focus on more serious matters instead of pursuing what he considers a “trivial” issue.

Morlu urged the LACC to instead investigate the $55 million letter transfer to the National Security Agency and audit the Executive Protection Service, stating that these would be more meaningful targets for the anti-corruption efforts.

The young bright scholar warned that the LACC’s focus on the supplementary payroll issue could “turn McGill into a hero” and cautioned that the agency might be “wasting time and resources” on a matter that, at worst, could be considered “bad governance.”

The former auditor General John Morlu’s comments come less than 24hrs after the LACC invited former Minister of State for Presidential Affairs, now Margibi Senator Nathaniel McGill, on the charge of ‘Payroll Padding’.

The Liberia Anti-Corruption Commission (LACC), states that it has begun investigation over an alleged ‘payroll Padding, and Acts of Corruption’ resulting from payments affecting a supplementary payroll containing 728 names at the Ministry of State  for Presidential Affairs , which was allegedly created outside of the framework of the Civil Service Agency (CSA).

In a communication address to Senator Nathaniel F. McGill, dated August 16, 2024, the LACC states that details of the allegation reveal that the supplementary payroll containing 728 names were created outside of the CSA framework during the tenure of McGill, as Minister of State for Presidential Affairs under former President George Manneh Weah.

“Accordingly, the process was marred by irregularities amounting to payroll padding. Given your position as Minister of the Ministry of State at the time, the LACC believes that you could provide some useful information to aid this investigation. Hence, you’re invited. You are also advised to come with your legal counsel and all relevant documents to support your testimony,” the LACC communication reads.

In a swift reaction to the LACC’s invitation, Senator Nathaniel McGill, accused the nation’s anti-corruption watch body as attempts to silence him from speaking on ills in the society.

“In light of our unwavering stance against bad governance and the government’s unsuccessful attempts to silence our voice, we have received formal communication from the Liberia Anti-Corruption Commission (LACC).

“They have requested my presence to provide information that will assist in their ongoing investigation into allegations of payroll padding and corruption related to salary payments on a Supplementary Payroll containing 728 names at the Ministry of State for Presidential Affairs.

“As public servants committed to transparency and accountability, no amount of allegations can deter or silence us. We remain resilient in our advocacy for transparency and accountability, and we will continue to stand firm in our efforts to ensure that good governance prevails. Out of respect for the LACC, we will attend the inquiry session scheduled for tomorrow [Wednesday] at 11 AM, after which I will address the press.”

It may be recalled, the authoritative Independent Probe’s investigation unveiled early July 2024 from a leaked GAC audit report how million when unaccounted for.

In early March 2024, President Joseph Nyuma Boakai, Sr., had instructed the General Auditing Commission (GAC) to conduct a comprehensive audit of the Ministry of State for Presidential Affairs. The audit is part of the Boakai Administration’s commitment to fighting corruption and promoting transparency and accountability.

At a meeting held Monday, March 20, 2024, at the Executive Mansion, officials from the General Auditing Commission and the Ministry of State for Presidential Affairs discussed the audit. Deputy Minister for Administration at the Ministry of State, Atty. Cornelia Kruah Togba, who was also in the meeting, stated that the audit is aimed at ensuring efficiency and effectiveness in the Ministry’s affairs.

Liberia’s Auditor General, P. Garswa Jackson, Sr., responding to the President’s mandate, said the Commission will begin with a System Audit since the Ministry of State for Presidential Affairs has not been audited for a long time. He explained that the audit will focus on budget management, cash management, procurement procedures, and other areas.

Auditor General Jackson expressed the hope that this becomes an ongoing process since the Ministry has not been audited for such a long time. The Commission plans to send out engagements’ communication by March 27, specifying the audit period, scope, and commencement date. The GAC’s report on findings is expected within a month.

The pronouncement for the commencement of audit at the Ministry of State which handles affairs of the Liberian President, comes barely 72hrs since President Joseph N. Boakai decommissioned an earlier audit of the National Security Agency, an intelligence gathering armed of the government of Liberia security mechanism.

The General Auditing Commission (GAC) in early July 2024 released a critical audit report on the Ministry of State for Presidential Affairs (MOS) for the period ending March 31, 2024. The report reveals substantial non-compliance with key financial and governance laws, highlighting severe administrative shortcomings.

The GAC identified significant governance issues within the MOS, noting the absence of essential strategic and operational plans. The Ministry lacked functional audit and budget committees, and there were no records of senior management meeting minutes or monitoring and evaluation reports, indicating a failure to maintain adequate oversight and governance structures.

The audit uncovered that the Ministry exceeded its approved budget for 2023 without any evidence of supplementary budgetary approval. Furthermore, the MOS failed to prepare comprehensive annual budgets or budget performance reports, pointing to a lack of fiscal discipline and transparency.

The MOS did not prepare financial statements in accordance with the International Public Sector Accounting Standards (IPSAS) cash basis from July 1, 2018, to December 31, 2022. Discrepancies were found between various financial reports, indicating issues with financial accuracy and accountability.

Significant irregularities were found in personnel management, including the absence of approved human resource policies, organizational and salary structures. The Ministry failed to maintain proper attendance logs, performance evaluations, recruitment documentation, and retirement records, raising concerns about the integrity of its personnel practices.

The audit report highlighted unauthorized and undisclosed bank accounts, a lack of monthly bank reconciliation statements, and inadequate segregation of duties. These deficiencies suggest weak cash management practices and potential risks of financial mismanagement.

The MOS lacked a functional procurement committee and did not prepare necessary procurement plans. The Ministry made substantial payments without supporting documents, indicating a disregard for procurement regulations and accountability standards.

The GAC found that the MOS did not have policies for fixed assets management, lacked registers, and did not conduct periodic physical verification of assets. Inventory management was also inadequate, suggesting potential misappropriation or loss of assets.

The audit report noted the absence of policies for revenue projection, collection, and recording. Revenue collected was not deposited in a timely manner and was used for operational purposes without supporting documentation, highlighting severe revenue management failures.

The GAC’s findings stresses the urgent need for reforms within the Ministry of State for Presidential Affairs to ensure compliance with financial and governance standards. These revelations call for immediate corrective actions to address the systemic issues identified in the audit.

In response, Senator Nathaniel McGill acknowledged receiving a communication from the LACC requesting his presence to provide information related to the allegations of payroll padding and corruption. McGill expressed his commitment to transparency and accountability, stating that he would attend the inquiry session and address the press afterward.

The Auditor General’s criticism of the LACC’s approach to the investigation highlights the ongoing debate around the impartiality and open-minded nature of the government’s anti-corruption war.