Tue, Sep 09, 2003 - Page 7 News List

Ousted Taylor keeps tight grip on Liberian economy

TENTACLES The former president ran the country by controlling all aspects of the economy -- and experts say he is still pulling strings from his jungle hideout

AP , MONROVIA, LIBERIA

Charles Taylor used fear, patronage and state monopolies to control what diplomats and business leaders estimate amounted to 90 percent of Liberia's economy -- everything from the imported rice that feeds the country to fortunes in diamonds, timber and lucrative shipping registry fees.

Tracking that money, and breaking Taylor's control of what's left, is crucial to rebuilding war-ruined Liberia. But diplomats say Taylor, working the phone from his new villa in exile in the jungles of southern Nigeria, isn't letting go easily.

These officials, citing intelligence reports, paint this picture of the ousted warlord-president's attempts to keep his hand in the pot:

Within days of his Aug. 11 acceptance of asylum in Nigeria, Taylor began making multiple calls each day to his successor, Moses Blah, and to Foreign Minister Lewis Brown. He also is trying to collect debts from Liberian business figures still in Monrovia and attempting to solicit donations by phone for unknown purposes.

"We don't know why he's raising money. What's clear is that he's keeping contact with the remnants of his government," Geoff Rudd, the EU's top diplomat in Liberia, told reporters.

Taylor, a longtime rebel leader who won the presidency in 1997, yielded power and flew out in a Nigerian presidential jet last month, bowing to pressure from the US, African leaders and rebels laying siege to his capital. He left behind a country in ruin from 14 years of power struggles under Taylor.

Liberia, once sub-Saharan Africa's most prosperous nation, today has no electrical system, a train system that runs on back-powered hand carts, and a water plant operated as a charity by the EU.

Taylor never made good on repeated promises to repair Liberia. But it wasn't for lack of funds, Liberians and Western diplomats say.

"Taylor was into everything," says Rudd.

Taylor's regime had dealings in gold, diamonds, gas and rice imports, timber exports, printing and Liberia's shipping registry business, which is among the world's largest. Diplomats and Liberian business figures describe a system in which six or seven prominent business figures close to Taylor control all but 10 percent of Liberia's export and import businesses and through that, the economy.

The Liberians are speaking out now with Taylor's departure, but still insist on anonymity for fear of retribution. Longtime international officials in Monrovia, also unwilling to give their names, confirm the accounts.

Gasoline -- an essential commodity powering generators in a country without electricity since 1992 -- is offloaded at the government-controlled port for less than US$1 a gallon (3.78 liters). At the pumps, one gallon (3.78 liters) is sold at the state-dictated price -- around US$3.20.

Rice -- Liberia's staple -- is charged import duties and other taxes totaling US$5.50 per 50kg sack, much higher than in other West African countries, according to Georges Haddad, a Lebanese businessman who Liberians say is the nation's sole rice importer.

Haddad says he imports about 1 million bags of rice a year, but insists he doesn't run a monopoly.

Taylor at one point assumed 52 percent of the country's sole printing company -- getting it for free, diplomats say. "He made them an offer they couldn't refuse," says the EU's Rudd, without elaborating.

This story has been viewed 2389 times.
TOP top