The Minister of Works and Housing, Mr Babatunde Fashola, has explained how his Ministry paid N151m to the Cartil Construction Nigeria Limited for the rehabilitation of the Ife-Ifewara Road.
MSN had earlier reported that the Redeemed Christian Church of God represented by Pastor Niyi Adebanjo, filed a petition dated 9th February, 2021, accusing the ministry of making payment to the tune of N151m to Cartil Construction Limited for the rehabilitation of the road which the church rehabilitated as part of its Corporate Social Responsibility.
RCCG queried the payment of the sum between 2016 and 2018 to the contractor that abandoned the road, which was later reconstructed by the church at a cost of N181m.
The RCCG urged the Senate to direct Cartil Construction Limited to refund the money and ensure its payment to government coffers.
RCCG wrote in the petition, “If anyone is to be reimbursed for the rehabilitation of the road; it should be to the RCCG and not the contractor.”
But while appearing before the Senate Committee on Ethics, Privileges and Public Petitions on Thursday, Fashola said the money was not paid to the contractors between 2016 and 2018 as alleged.
While admitting that the contract was awarded to Cartil Construction, he pointed out that it was not during President Muhammadu Buhari’s administration.
He said the contract was actually awarded in December 2010 for N662m as a constituency project executed under the Ministry of Works, five years before the regime of the President, Major General Muhammadu Buhari (retd.).
The minister also stated that by extant procurement law, the contractor was entitled to 15 per cent as mobilisation fee.
According to him, the then minister first approved the payment of N99.4m to Cartil Construction Limited as 15 per cent mobilisation fee in 2011, and later, another N52m payment was made on the 29th of December, 2011 after the contractor moved to site, making a total payout of N151m.
Fashola said there was no proof that an unjust claim was made by the contractor or made by the ministry and that there was no basis for the petition.
He also said there was no evidence to back up claims that the funds were not released in 2011 to Cartil Construction Limited.
He added that the Ife-Ifewara Road was not a federal road, but one belonging to Osun State.
