Fisheries Revenue of US$ 200,000 in Jeopardy

A 2024 audit of the Ministry of Fisheries and Marine Resources has uncovered serious weaknesses in revenue collection and regulatory compliance, placing almost US$200,000 in unpaid licence fees, fines, and royalties at risk. The findings highlight systemic enforcement failures and raise broader concerns about accountability in one of Sierra Leone’s most economically vital sectors. According to the audit, outstanding arrears total over US$198,814, arising from unpaid industrial fishing licences, penalties for illegal fishing, and under-assessed royalties. Auditors warned that the Ministry’s failure to recover these funds represents a significant loss to the state at a time when domestic revenue mobilisation is critical. One of the most notable cases involves Allantaco Fishing Company, whose vessel Jianmei accrued US$93,900 in unpaid licence fees, alongside US$3,500 in fines after it was arrested for fishing illegally within the inshore exclusion zone — a legally protected area reserved for artisanal fishers. Despite clear audit recommendations calling for recovery, there was no evidence that the Ministry took concrete steps to collect the US$97,400 owed. Instead of enforcing recovery, Ministry officials disclosed that Cabinet approval had allegedly been sought to waive all arrears owed by fishing companies, including those linked to Allantaco. However, auditors reported that no written approval or supporting documentation was provided to substantiate this claim. In the absence of formal authorisation, the proposed waiver remains unverified and the debt outstanding. Beyond individual cases, the audit exposed broader irregularities in the assessment of licence fees and royalties. Auditors found that the Ministry applied rates and t imeframes inconsistent with the Finance Act 2020, resulting in a revenue shortfall of US$101,414 — comprising US$76,094 in licence fees and US$25,320 in royalties that should have been paid to government. The Ministry defended its approach, stating that companies testing new or refurbished vessels were charged for only one month’s licence and royalty, rather than receiving free test licences. Officials maintained that this practice did not result in financial loss. Auditors disagreed, emphasising that the Finance Act requires industrial fishing vessels to be licensed for a minimum of three months, with no legal provision for reduced testing periods. The audit cautioned that such deviations weaken regulatory discipline and create opportunities for abuse. When combined with unresolved arrears, the inconsistencies push the total potential revenue loss close to US$200,000, a figure auditors described as significant given the fisheries sector’s importance to the national economy. The report recommended that the Permanent Secretary and the Acting Director of Fisheries urgently recover all outstanding sums and ensure strict compliance with the Finance Act in future licensing and royalty assessments. While the Ministry has pledged to comply fully with the law going forward, the audit underscores persistent accountability gaps. Until outstanding payments are recovered and enforcement strengthened, concerns will remain over transparency and effective revenue management in Sierra