The Central Bank of Liberia (CBL) has issued a statement addressing reports in the media regarding the findings of the General Auditing Commission (GAC) audit of the CBL.
The audit had concluded that former and seconded CBL staff, including Mr. James Wilfred, who was recently appointed as the Acting Deputy Governor for Operations, had defaulted on their loan obligations with the Bank.
In its statement, the CBL Management clarified that it is fully aware of Mr. James Wilfred’s loan repayment situation. The Bank explained that Mr. Wilfred’s loan repayment has not been current due to his secondment with the West African Monetary Institute (WAMI) in Accra, Ghana. However, the CBL noted that Mr. Wilfred has adequate provident fund, severance benefits, and property collateral held by the Bank.
Furthermore, the CBL’s records show that after netting off Mr. Wilfred’s $90,000 loan obligation to the Bank against his provident fund and severance benefits, the CBL actually owes Mr. Wilfred.
The Bank also reaffirmed that other seconded and former staff reflected as defaulters in the GAC Report have provident funds and severance payments held by the Bank, which are adequate for the recovery of the loans.
To resolve these issues, the new CBL Management has commissioned a review to determine the loan status of former employees, on a net basis, with the aim of informing the CBL Management’s decision about the strategy to recover the loans.
The CBL Management emphasized that the loans paid out to seconded staff are fully collateralized by provident fund, severance, and collateral, which are sufficient to secure the facilities.
The CBL Management assured the public that the Bank is committed to prudent financial practices with the aim of protecting the interests of all stakeholders.