By By: Alphanso G. Kalama
The Commissioner and CEO of the Liberia Maritime Authority (LiMA), Cllr. Neto Zarzar Lighe Sr., officially opened a three-day Certified Fraud Examiners (CFE) Conference in Monrovia on Wednesday, November 13, 2024. During his remarks, Cllr. Lighe called for collective action to combat fraud and corruption across both public and private sectors, underscoring the importance of integrity in governance. The event, hosted at LiMA’s headquarters, is held under the theme: “Together, Reducing Fraud Nationwide.”
In his opening address, Cllr. Lighe stressed that the fight against fraud is essential not only for the country’s development but also for maintaining trust in institutions. He explained that leaders must actively ensure that those in positions of power uphold ethical standards, as they cannot oversee everything personally.
“When we assumed leadership at LiMA, we implemented a risk management unit to proactively identify potential fraud before internal auditors conduct their reviews,” Cllr. Lighe stated. “If our auditors raise concerns about a transaction, I refuse to approve it. The role of checks and balances is vital for maintaining a sound system, and it’s why I support the work of Certified Fraud Examiners in their efforts to reduce fraud.”
Cllr. Lighe emphasized that the conference and its mission were vital for the future of Liberia. “Fighting fraud is a noble cause, and it deserves the backing of every citizen committed to a fair and transparent society,” he added.
Atty. Augustine G. Chenoway, President of the Liberia Chapter of the Certified Fraud Examiners (CFE), also addressed the gathering, acknowledging the widespread nature of fraud and its impact on individuals, organizations, and governments globally. He noted that fraud in Liberia, including identity theft, financial manipulation, and other fraudulent activities, poses significant threats, undermining trust and causing severe financial losses.
“Fraud has devastating consequences, from asset misappropriation to corruption, and it continues to escalate in complexity,” Atty. Chenoway explained. “To combat these challenges, we must reinforce internal controls, embrace technology, and foster a culture of accountability and transparency in every sector.”
Atty. Chenoway highlighted that financial frauds, including the misrepresentation of financial statements, are among the most dangerous schemes, particularly when they involve falsifying earnings to avoid taxes or attract investors. He called for heightened scrutiny from regulatory bodies to ensure that companies are transparent in their financial reporting, thereby safeguarding public resources.
According to the Association of Certified Fraud Examiners’ (ACFE) Occupational Fraud 2024 Report: A Report to the Nations—which tracks fraud cases between January 2022 and September 2023—global losses due to fraud amounted to approximately $3.1 billion. While financial statement fraud had fewer occurrences, it resulted in significant financial damage, totaling $766 million. Misappropriation of assets and corruption were identified as the most common fraud schemes.
The report also revealed that Sub-Saharan Africa accounted for around 299 fraud cases, highlighting the scale of the challenge for fraud examiners worldwide. Atty. Chenoway stressed that to effectively address fraud, CFEs need continuous training and collaboration to improve their expertise and ethical standards.
“We must operate with the highest levels of objectivity and integrity, as outlined in the ACFE Code of Ethics,” he said. “This conference provides an opportunity to exchange knowledge and strengthen our collective ability to fight fraud.”
He concluded by urging participants to engage actively in the conference discussions and to promote awareness about fraud in their workplaces and communities. Atty. Chenoway also reminded attendees of the upcoming International Fraud Awareness Week, which will take place from November 17 to 23, 2024, encouraging them to take part in educational initiatives during this important week.
