Monrovia –The Monrovia City Court has ordered the incarceration of a Lebanese national, Leonard Wayne Kragness, following his indictment for allegedly defrauding a foreign company and the Government of Liberia of over US$4.8 billion in mineral assets and revenue.
By Victoria G. Wesseh
Kragness, along with Liberian nationals Koisee L. N. Garmo II and Fahn Garmo, is accused of criminal conspiracy, criminal facilitation, forgery, and theft of property in violation of Sections 15.70, 15.51, 10.4, and 10.2 of the New Penal Law of Liberia.
“You are hereby commanded to arrest the living bodies of Leonard Wayne Kragness… and forthwith bring them before the Monrovia City Court, Temple of Justice Building, Montserrado County to answer to the charge,” Stipendiary Magistrate L. Ben Barco stated in the court’s arrest warrant.
The charges stem from a complaint filed by Fida Sardor Hussian, a foreign businessman, who alleges that Kragness, while serving as an employee responsible for filing mineral exploration licenses for three mining blocks, conspired with co-defendants to misrepresent ownership of those licenses and siphon company funds.
Kragness allegedly colluded with attorney Koisee L. N. Garmo II, purporting to be the 100 percent shareholder of Sinoe Mining and Exploration Inc. Garmo, acting as legal counsel, allegedly drafted and signed an attestation letter addressed to Mr. Erwin Mulder, CEO of Ace Global B.V. in The Hague, Netherlands, falsely asserting Kragness’s ownership status.
The alleged deception resulted in the loss of three mineral blocks (Blocks 1, 2, and 3) valued at an estimated US$4,819,321,807, according to court documents. The Government of Liberia is said to have been deprived of significant potential revenue as a result.
Between August 2012 and April 2024, Kragness reportedly withdrew US$3,544,035 from the company’s account without authorization. The funds were allegedly transferred to an account belonging to his personal company, AA Agro, at Ecobank Liberia. Significant withdrawals cited include US$60,000 and US$90,500, with none approved by the company’s CEO or board.
On July 13, 2024, a formal notice was sent to Kragness demanding an explanation for the withdrawals. He reportedly failed to respond and cut off communications entirely.
Regardless of whether the funds were obtained through loans, investment, or other sources, court records assert that their withdrawal violated company bylaws and national financial regulations. Prosecutors argue that the misuse of funds for personal benefit constituted a criminal offense and resulted in substantial harm to Globe Minerals Mining Inc.
The case further alleges criminal collusion involving Kragness, Garmo II, and Fahn Garmo, who are said to have forged mineral exploration documents related to Greenstone Resources Liberia Ltd. and used them to falsely obtain or transfer rights tied to Kalisma Resources Inc.
Key evidence includes fraudulent Mineral Exploration Licenses (MEL 6100051392 and MEL 7011524) and unauthorized use of proprietary geological reports, including the NI 43-101 Technical Report and Feasibility Studies dated April 9, 2024, and May 9, 2017. These studies, which were fully financed by the complainant, were allegedly used by Kragness to engage in unauthorized business transactions with Ace Global B.V.
In a prior case dated April 17, 2022, Cllr. Garmo II allegedly certified that Kragness was the sole owner of Sinoe Mining and Exploration Inc. and that the company held the licenses for Kalisma Resources Inc. However, investigators have confirmed that both claims were false at the time of certification.
“This letter of attestation confirms that I, Mr. Koisee I.N. Garmo, II… am legal counsel for the Grantor, Mr. Leonard Wayne Kragness… and that the client is ready, willing, and able to participate in an asset investment or monetization transaction,” reads a letter now cited as key evidence in the case.
Investigators argue that the certifications were intentionally fraudulent and part of a broader scheme to divert company assets and mislead international investors.
