MONROVIA – The management of Activa International Insurance Company, which has served as a surety for Western Cluster and Citadel Mining Services, would likely be arrested, if they cannot pay the judgement amount of US$430,920, delivered on July 14, by the Debt Court for Montserrado County.
The insurance company get involved with the case, after it posted a US$750,000 indemnity bond alongside a motion to vacate the attachment placed on the properties of Western Cluster and Citadel Mining Services, by the lawsuit of Action of Debt.
The debt came as a result of a Hitachi 850 equipment rental agreement between Citadel Mining Services and Horizon Transport and Construction Company owed by Hans Armstrong, a British investor.
As part of the bond’s arrangement, according to court documents, Activa international insurance company is responsible for the day to day appearance of the defendants, Western Cluster and Citadel Mining Services, whenever they were needed by the court.
The insurance company also guarantee to take all responsibilities to ensure that the defendants pay the debt, if the outcome of the court’s judgment would have gone against them.
A judicial source also claimed that Western Cluster and Citadel Mining Services paid to Activa international insurance company that amount of US$40,000 to secure the temporary removal of the attachment placed on the duo properties in both Monrovia and Bomi County.
Unfortunately, when the judgment was delivered on July 14, 2025, the court held Citadel Mining Services liable and absolved Western Cluster from any liability, since it had nothing to do withsoever with the agreement between Citadel Mining and Horizon.
Immediately after the judgement, a payment order was issued mandating Citadel Mining to pay ,but the Sheriff’s (court officers) return to the court shows that Citadel Mining’s head office in Monrovia and operation site in Bomi County had been closed without knowing the whereabouts of the management to satisfy the judgment against it.
The Sheriff’s return prompted Horizon legal team to file with the court an application holding the surety liable for the judgment amount, which request was granted by Judge James E. Jones, shifting the responsibilities to Activa.
Meanwhile, Activa international insurance company is expected to appear before the court by today.
According to the lawsuit, Citadel Mining, a Ghanaian subcontracted company by Western Cluster, in July 2022, entered into an equipment lease agreement to rent Armstrong’s Hitachi 850 heavy machine to be used on Western Cluster’s concession site, in Bomi County.
But, the suit claims, since August of 2022 up to and including May 31 2023, Citadel Mining took Armstrong’s equipment to the Western mining site and began using it there without making any payment, with each month US$84K amounting to the US$378K.
And, the machine was still in Citadel Mining’s possession and being used on the Western Cluster’s concession area.
However, Western Cluster’s involvement with the suit is based on the doctrine of respondeat superior, where the principal is held liable for the indebtedness of the agent, now Citadel Mining, second defendant, the lawsuit argued. ‘The total indebtedness of defendants in the tune of US$378K, reflecting the eight and a half month, including the 6 percent interest, totaling US$430,920, they continue to maintain actual and physical and usage of the machine at the operational area in Bomi County. He did not know the exact location of the equipment,’ Armstrong’s suit claims.
