The Liberia Electricity Corporation (LEC) has issued a public statement clarifying the circumstances surrounding the temporary closure of its Waterside Customer Service Center, following court action linked to a long-running financial dispute with Swedish firm ELTEL Network.
The clarification comes a day after court sheriffs sealed portions of LEC facilities in Monrovia in enforcement of a Debt Court writ of execution, intensifying public attention on the corporation’s legal battle with the foreign contractor over unpaid claims.
According to LEC, the Waterside Customer Service Center was briefly shut down between 11:00 a.m. and 12:00 noon on Tuesday, pursuant to a court order issued by the Debt Court of Montserrado County. The action relates to a monetary claim, including penalties, totaling US$415,327.08, allegedly asserted by ELTEL Network.
LEC emphasized that the court action was procedural in nature and did not disrupt electricity generation, transmission, or distribution services nationwide.
Dispute Traced to 2011 Contract
In its statement, LEC traced the origin of the dispute to 2011, when the corporation entered into the Monrovia Electricity Grid, Accelerated Transmission and Distribution Expansion Project with ELTEL Network. The contract, valued at approximately US$22 million, required ELTEL to supply and install medium- and high-voltage electrical materials and was formally executed and closed in 2016.
LEC disclosed that after the contract’s closure, and following three successive management administrations between 2016 and 2022, ELTEL submitted a demand letter claiming over US$700,000 for materials it alleged were supplied under the 2011 agreement.
However, LEC said it was unable to trace any contractual records, authorizations, or source documentation supporting the alleged transaction. The corporation further stated that documents later submitted by ELTEL referenced low-voltage materials, which LEC says fall outside the scope of the original contract.
Mediation Efforts and Legal Escalation
According to LEC, mediation efforts were undertaken in good faith to verify the claim, including reviews of authorization procedures and source documents. These efforts, LEC said, failed to establish evidence of senior-level approval or contractual authorization for the alleged supplies.
Citing unresolved inconsistencies, LEC declined to honor the claim, prompting ELTEL to file an Action of Debt against the corporation. LEC, in turn, applied for the matter to be referred to arbitration, arguing that the governing contract requires disputes arising from the agreement to be resolved through that process.
LEC also stressed that neither the current management team nor the present Government of Liberia entered into any contractual relationship or transaction with ELTEL Network related to the disputed claim.
Closure Lifted, Operations Restored
LEC confirmed that the temporary closure of the Waterside facility was subsequently lifted following a Stay Order issued by the Justice in Chambers, pending further proceedings tied to a Petition for a Writ of Prohibition filed by its legal team.
As a result, full access to the facility has been restored, and normal customer service operations have resumed.
Commitment to Transparency
LEC said its current management remains engaged in a comprehensive review of historical records and contractual obligations covering the 2011–2016 period, reaffirming its commitment to transparency, accountability, and the rule of law.
The corporation assured the public that it will provide a detailed update as the legal process continues and thanked customers and stakeholders for their patience and understanding.
