Dare Babalola
The House of Representatives Committee on Public Procurement has issued a 7-day ultimatum to the Office of the Accountant General of the Federation (OAGF) to address allegations of contract infractions covering the 2023 to 2025 financial years.
During a public hearing in Abuja on Friday, the committee also demanded explanations for delayed payments to contractors who had completed their projects.
Rep. Unyime Idem, chairman of the committee, stated that lawmakers had reviewed documents submitted by the OAGF and found inconsistencies needing clarification.
He noted that the OAGF got ₦337.5 million in capital allocation for 2023 but awarded contracts worth ₦678 million, surpassing the approved budget by ₦340.5 million.
Idem revealed that a ₦59.125 million contract was awarded to Simplify International Synergy Ltd for training personnel on the Federal Government Treasury Portal without an official award letter.
He added that Hatfield Global Resources Ltd got a ₦214.5 million contract for IPPIS database data cleaning, and Endee Construction Ltd handled a ₦20.1 million IPPIS roof renovation project.
Similarly, Doysol Synergy Nigeria Ltd was awarded a ₦56.7 million contract for the refurbishment of two 1,000kg elevators at the Treasury House complex.
The committee chair noted that these contracts lacked evidence of proper approval, contravening Section 19(d) of the Public Procurement Act (PPA) 2007.
He also cited the award of a ₦110.9 million contract to Kojo Motors Ltd for the supply of two Toyota Hiace buses, and another ₦35 million contract to the same firm for an OMMA bus—both allegedly in violation of Sections 31(a) and (b) of the PPA 2007.
“The committee will require detailed clarification with documentary evidence on the observations raised,” Idem stated.
He further raised questions over the engagement of insurance brokers and underwriters for fire and special risk cover for assets, including vehicles, in the OAGF and five federal pay offices nationwide.
According to him, ₦978.6 million was budgeted under code ERGP16194869 for the project. He demanded details on the procurement process, procedure for engaging service providers, and methodology used in determining commission rates.
On his part, the Accountant General of the Federation, Shamsudeen Ogunjimi, asked for more time to address the committee’s queries.
Ogunjimi, who assumed office in March, said some directors involved in the transactions had been redeployed from Abuja, making it difficult to retrieve relevant documents and clarifications.
On the issue of delayed contractor payments, he admitted that some agencies had awarded contracts without budgetary provisions.
“Some contracts were awarded without funds to support them, creating gaps and contravening the law,” he said, assuring that efforts were underway to ensure all contractors who had completed their jobs would be duly paid.
