Two Employees Convicted of Stealing $1.9 Million in Aid Money from Liberian Families

In the post-civil war era of Liberia, where unemployment and illiteracy exceeded 75 percent and the economy was in shambles, the U.S. Agency for International Development (USAID) funded a large international humanitarian organization to the tune of $2 million for a Community Resettlement and Rehabilitation Program. In this context, the grant, which aimed to provide much-needed food commodities in exchange for beneficiary labor, unfortunately became a breeding ground for financial fraud.

The Fraud Scandal

Two Liberian employees, who held managerial positions within the program, were recently convicted of diverting US$1.9 million in food and tools from thousands of hungry and needy families. In a country with a 2009 per capita GDP of just $128, this theft represented a significant loss.

The Challenges of Investigating in Liberia

The fraud took place in a country where corruption ranked high according to the Transparency International Corruption Perceptions Index. The anonymous tip about the missing food and tools came at the end of the two-year grant, leaving investigators with the challenge of discovering the extent of the losses.

The Audit Process

The audit process revealed that the fraudsters had diverted the food meant for the most vulnerable population and covered it up by falsifying documentation.

• Beneficiary receipts and waybills were tampered with.
• Only 9 percent of the commodities had reached the intended beneficiaries.

Obstacles Faced During the Investigation

The team faced numerous challenges during their investigation:

1. Gathering evidence in remote areas.
2. Determining the true extent of the losses.
3. Dealing with beneficiaries who lacked regular schedules or fixed addresses.
4. Managing cultural differences, including Africans’ concept of time and limited communication methods.
5. Navigating tribal alliances and dealing with accused individuals being members of the Vai tribe.

Obstacles Faced During the Evidence Collection

Moreover, documentation, which had been stored in an unsecured, temporary, and unlit storage area, was difficult to secure and sort through:

• Harsh conditions.
• Extensive digging required to find the documentation.

Despite these obstacles, the team persevered in their pursuit for the truth:

1. Responding to U.S. authorities.
2. Calculating and reporting the losses.
3. Making necessary repayments to USAID.