Smart Network May Drag PFMU to Court If…
What began as a promising public-private collaboration has now spiraled into a bitter standoff, as Smart Network Sierra Leone Limited, a local tech service provider, has threatened to take legal action against the Project Fiduciary Management Unit (PFMU) for what the company describes as “deliberate and sustained contractual breaches” undermining its business operations and reputation.
In a strongly worded statement issued on Tuesday, Smart Network accused PFMU—a unit under the Ministry of Finance charged with managing donor-funded projects of repeatedly failing to honor the terms of an official service level agreement signed in late 2023. The company claims the PFMU has not only failed to fulfill its financial obligations but has also obstructed the execution of agreed deliverables by withholding critical approvals and interfering with internal procurement processes.
“This is shameful and disheartening,” said a senior executive at Smart Network who spoke on condition of anonymity. “We entered this partnership in good faith to support national digital transformation, only to be met with bad faith actions, unexplained delays, and consistent administrative sabotage. Our investment is at risk, and so is our credibility.”
Background of the Dispute
The original agreement between Smart Network and PFMU reportedly involved the deployment of digital infrastructure and ICT services for a government-backed transparency and accountability project. The initiative was funded by international development partners and aimed at strengthening data systems in several Ministries, Departments, and Agencies (MDAs).
However, according to internal correspondence seen by this medium, Smart Network was sidelined mid-project without official termination, leaving the company in limbo. Repeated requests for clarification allegedly went unanswered for months. The company has since incurred significant financial losses, with several staff laid off and contractors unpaid due to stalled disbursements.
A letter of demand served to the PFMU last month, copied to the Ministry of Finance and development partners, gave a 14-day ultimatum to resolve the matter amicably. That deadline has now expired without resolution.
Legal Options on the Table
Smart Network is reportedly engaging legal counsel to pursue claims for breach of contract, reputational damage, and financial loss. Industry watchers warn that this case could send shockwaves across the donor and private sector landscape in Sierra Leone, with implications for future public-private partnerships.
“If the state cannot honor its obligations through units like PFMU, then we’re essentially discouraging local entrepreneurship and undermining investor confidence,” said a legal analyst familiar with the matter.
Efforts to reach PFMU officials for comment have so far proved unsuccessful. Meanwhile, Smart Network says it is prepared to take the matter to court unless an independent investigation is launched and concrete steps are taken to remedy the situation.
As this story develops, many are watching closely to see whether accountability will prevail or whether yet another homegrown enterprise will fall victim to bureaucratic inefficiency and institutional indifference
