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and Richard A. Henries, Secretary, whilst George Padmore was
President of N.I.O.C. and Richard Henries the company's Treasurer
in 1977. It is, however, not certain that these appointments were
based upon personal investments.
Theoretically, they may as well.find their explanation in the
Government's 50? interest in the mining company - all these
persons just mentioned being high-ranking Government officials -
although the concession agreement fails to mention Government
representation on the Board of Directors. The company's legal
interests in Liberia were once again represented by Richard
Henries, whose residence served in the 1960's and 1970's as the
place where the annual meetings of the Board of Directors of
N.I.O.C. usually took place (103). A curtailment, or, after 20
years, elimination of N.I.O.C.'s privileges by the introduction
of e.g. a corporate income tax liability, the obligation to pay
royalty and to pay customs duties, and a strict definition of
"net profits" would undoubtedly conflict with the personal
interest of Liberian citizens-shareholders whoever they may be.
What they have in common is that in the 195O's they were able to
invest cash money in a new company.
THE VIABILITY OF THE MANO RIVER MINE
Management and sales agents
The future of N.I.O.C. and its Mano River Mine seems clouded in
view of the quality of the ore mined, its actual management, its
financial obligations, and the closing down in March 1977 of
L.M.C. Much will depend on the decision the Government will take
in respect of the cancellation or the re-negotiation of the
Management Agreement with M.M.A.L., its ability to attract
capital to finance necessary investments-developments, its
relations with the Executors of the Christie Estate, and its
policy with respect to the development of the Bea Mountains ore
deposits. Past experiences do not justify over-optimism as to
the outcome.
The Management Agreement with M.M.A.L., which came into force on
September 1, 1958, had an initial term of twenty years and was to
be automatically extended for another twenty years (on the same
conditions) unless one of the parties, N.I.O.C. or M.M.A.L., was
to give notice of termination prior to two years before the end
of the first or any subsequent twenty years' period (104).
Consequently, in respect of the first period of twenty years,
notice of termination should have been given before September 1,
1976 - if termination was desired. The management fee paid to
M.M.A.L. amounted to 4? of development expenditures before the
start of ore production and thereafter 4? of the value of gross
sales of N.I.O.C's products, an amount which was split into
equal shares between M.M.A.L. and L.M.C. after the consultancy
agreement of 1963 and until the termination of this agreement on
January 3, 1975.
The failure of M.M.A.L. to provide proper management services was