A Magistrate Court in Freetown has ordered Accord Logistics Ltd and its Chief Executive Officer, Johny Koussa, to pay a total of Le609,345.75 in arrears, interest and penalties to the National Social Security and Insurance Trust (NASSIT) after finding them guilty of failing to remit statutory social security contributions.
The ruling, delivered this week at the Magistrate Court in Freetown, marks a significant legal victory for NASSIT in its long-running criminal prosecution against the company and its CEO.
The court found the defendants guilty under Section 32(1)(c) of the National Social Security and Insurance Trust Act No. 5 of 2001, rejecting the defence’s argument that a Joint Venture Agreement (JVA) signed on June 28, 2021 and later ratified by Parliament on February 8, 2022 limited their liability to Le245,843 for the period up to February 2022.
In his judgment, the presiding magistrate held that the provisions of the NASSIT Act are mandatory and take precedence over any conflicting terms in agreements such as the Joint Venture Agreement, even when such agreements have been ratified by Parliament.
The court further ruled that the figure of Le245,843, referenced in Clause 11(2)(e) of the JVA, had not been verified or audited by NASSIT inspectors as required under Section 58 of the Act. As a result, it could not override the Trust’s independently determined liability.
According to the court’s findings, the total outstanding contributions, including accrued interest and penalties for the period between February 2018 and April 2023, amount to Le609,345.75, which must be paid in full.
The court also emphasized that under Section 27 of the NASSIT Act, the imposition of interest and penalties for delayed payments is mandatory and cannot be waived.
The court granted all the reliefs sought by NASSIT and issued the following orders:
• Conviction of both Accord Logistics Ltd and its CEO Johny Koussa under Section 32(1)(c) of the NASSIT Act.
• Payment of the verified sum of Le609,345.75, representing principal contributions, interest and penalties.
• Payment of all additional accrued interest and penalties to be calculated by NASSIT from the due dates of each monthly contribution until full settlement.
• Sentencing of the defendants to four years imprisonment or a fine of Le4,000.
The judgment was delivered by Justice Sahr Kekura, who presided over the matter as magistrate, and was read in court by the current Principal Magistrate, Mustapha Brima-Jah.
The National Social Security and Insurance Trust was represented by a legal team led by U.D. Farakhan Sesay Esq., alongside M. Mitchell Conteh Esq. and I.M. Koroma Esq.
The defendants were represented by M. Forde Esq., T. Fewry Esq., and C. Botchway Esq.
The ruling reinforces the authority of the NASSIT Act in enforcing social security obligations and underscores the legal consequences for employers who fail to remit statutory contributions on behalf of their employees.
