The Deputy Speaker of Sierra Leone’s Sixth Parliament, Hon. Ibrahim Tawa Conteh, has revealed significant contract breaches and government exploitation by Socfin Agricultural Company Sierra Leone Limited, a major operator in Pujehun District.
This disclosure was made on Wednesday, November 13, 2024, during a Public Accounts Committee (PAC) hearing at the New Administrative Building in Parliament.
Chairing the session, Hon. Conteh emphasized that Socfin must compensate the government for illegally encroaching on additional land beyond its original concession.
According to the PAC’s findings, based on the Auditor General’s 2021 and 2022 reports, Socfin unlawfully utilized over 200 acres of land—more than ten times the concessionary allocation initially granted by the government.
“Socfin Agricultural Company has exceeded the boundaries of the land allocated to them, utilizing over 200 acres beyond what was agreed. They must pay for the extra land they have occupied,” Hon. Conteh stated firmly.
The Deputy Speaker also criticized Socfin for failing to honor its investment commitments while continuing to exploit the country’s resources. “Socfin claims they have exhausted their investment funds and are unwilling to inject further capital,” he noted.
Additionally, Hon. Conteh highlighted that the company’s agreement with the government, originally signed in 2012, expired in 2022.
Despite this, Socfin operated without a valid contract for a year before the agreement was irregularly renewed in 2023 under then-Minister of Trade and Industry Ibrahim Sesay.
“The agreement was not ratified retrospectively, and Socfin operated for a year without legal authorization. This is a serious breach that needs immediate rectification,” Hon. Conteh remarked.
In response to these violations, the Deputy Speaker instructed the National Revenue Authority (NRA) to withhold any corporation tax benefits from Socfin.
“The company is not eligible for any tax relief or government incentives, especially given their contract violations and failure to invest further,” he asserted.
Hon. Conteh’s strong stance underscores the government’s commitment to holding companies accountable for breaching contracts and ensuring they meet their obligations to Sierra Leone.
His revelations have prompted renewed calls for stricter oversight and enforcement of agreements with foreign investors operating in the country.
The PAC is expected to follow up on these issues in future sessions to ensure compliance and accountability from all stakeholders involved.
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