Background on the Yellow Machines Controversy
A significant controversy has emerged regarding the evaluation of bids for the supply of 285 yellow machines, which are intended to support Liberia’s infrastructure and agricultural projects. These machines, often used in construction and farming, have become the focal point of a heated debate over alleged irregularities in the procurement process.
The government-appointed committee responsible for evaluating the bids is under scrutiny for what some describe as procedural lapses, oversight errors, and a disregard for legal provisions that favor Liberian businesses. This situation highlights a recurring pattern of inconsistencies that have plagued the process from its inception.
The Origins of the Controversy
The controversy traces back to May 2024 when Minister of State Without Portfolio Mamaka Bility introduced a US$79 million proposal for the acquisition of equipment. The plan faced sharp criticism from lawmakers, civil society groups, and anti-corruption advocates, who raised concerns about the lack of legislative approval, transparency issues, and allegedly inflated costs.
In response to the backlash, President Joseph Nyuma Boakai tasked Vice President Jeremiah Koung with renegotiating the deal. Koung later announced a reduced price of US$22 million, payable over three years, and pledged a more transparent procurement process.
The Role of the Evaluation Committee
Vice President Jeremiah Koung, leading a high-powered delegation, visited the People’s Republic of China in search of reputable companies to supply and procure the yellow machines. However, it soon became apparent that the government would not directly finance the purchase. In line with public procurement policy, authorities later announced a competitive bidding process for the procurement and importation of the equipment.
The evaluation committee comprised representatives from the Ministry of Public Works, the Public Procurement and Concessions Commission (PPCC), and the Office of the Vice President. It was tasked with ensuring transparency and fairness in the bid review process.
Alleged Irregularities in Evaluation
Despite expectations for a fair evaluation, concerns have been raised about serious oversights. Notably, the committee reportedly failed to account for a crucial discount and a legally mandated margin of preference.
ABK alleged that its discount was overlooked. The company reportedly offered a 0.5% discount, which was not factored into the final evaluation— an omission that may have altered the ranking of bids.
The Public Procurement and Concessions Act (PPCA) mandates that Liberian-owned companies receive a 15% margin of preference to enhance domestic participation. Observers say this advantage was not applied in ABK’s case, potentially giving a foreign firm an undue edge.
Three companies submitted bids for the supply of the 285 machines, including ABK Incorporated (Liberia): US$25,275,120.00, American Procurement Service: US$30,382,479.00, and Evergreen Import & Export Federation (Foreign): US$21,646,035.00.
American Procurement Service was reportedly disqualified for exceeding the US$30 million threshold, leaving ABK and Evergreen as the two main contenders.
When applying the 15% local preference and the 0.5% discount, ABK’s adjusted bid should have been US$21,376,432.42, making it lower than Evergreen’s US$21,646,035.00. However, ABK was allegedly told its bid was “unresponsive,” a decision that has raised red flags about the committee’s transparency and evaluation methodology.
ABK Flags ‘Irregularities’
ABK Inc. has raised red flags over what it terms “inconsistencies and irregularities” in the government’s evaluation of bids for the supply of 285 yellow machines.
In a letter dated August 27, 2025, and signed by Public Works Minister Roland Layfette Giddings, the Ministry informed ABK that its bid submission “met all of the qualification requirements and specifications” as outlined in the bidding documents.
However, the same letter went on to state that the company’s financial proposal was “not satisfactory” and “not responsive” to the Government of Liberia’s pre-financing plan—a justification ABK says lacks merit.
This has led to a formal complaint from ABK, invoking Section 125 of the PPCC Act, which allows aggrieved bidders to seek an administrative review of procurement decisions.
Financial Capacity and Support
ABK maintained that it possesses the financial capacity to pre-finance 100% of the contract within four months, pledging adherence to all terms and conditions outlined in the Local Purchase Order and Specific Contract Conditions.
The company listed US$20,575,000 in total assets and outlined its sources of funding:
- US$10 million as income
- US$10 million as a bank letter of credit
- US$575,000 in real estate and transportation assets
The United Bank for Africa (UBA) also confirmed ABK’s financial standing, forwarding a credit letter to the Ministry of Public Works verifying that ABK maintains active corporate accounts with the bank.
“We would like to recommend Messrs. ABK Incorporated for any legally suitable partnership venture that you may intend to undertake because the company has proven to be financially viable, reliable, and honest since inception of operations with the United Bank for Africa (Liberia) Limited,” UBA wrote.
Potential Breach of Procurement Laws
Analysts and civil society groups argue that failure to apply the local preference and discount constitutes a breach of Liberia’s Public Procurement and Concessions Act and undermines President Joseph Nyuma Boakai’s pledge to prioritize local content in national development programs.
Presidential Preference for Caterpillar Equipment
Meanwhile, FPA has gathered that President Boakai had previously expressed a preference for Caterpillar-branded machinery, citing their durability and suitability for Liberia’s tropical terrain. That position was reportedly communicated to Vice President Jeremiah Koung in a March 27 letter from the President, further complicating perceptions of neutrality in the evaluation process.
Calls for Investigation
In light of the controversy, stakeholders and civil society organizations are demanding an independent investigation into the committee’s conduct. They argue that ABK should have been declared the rightful winner based on both its bid value and its compliance with Liberian ownership laws.
“The controversy surrounding the evaluation of the 285 yellow machines underscores persistent challenges in Liberia’s procurement system—chiefly, the enforcement of transparency, fairness, and local participation. As calls for accountability grow louder, the government faces pressure to act decisively to restore public trust and ensure that Liberian businesses receive fair treatment in national projects.”
