Edugate: Interior Minister Violated Public Procurement Act — NEFGAD

Network for Growth and actualization of Viable Development (NEFGAD), a public procurement advocacy group, has faulted Minister of Interior, Mr Olubunmi Tunji Ojo’s defense over his involvement in the controversial 3billion Naira contract awarded by the suspended Minister of Humanitarian Affairs and Poverty Alleviation, Dr Betta Edu. Recall that Tunji-Ojo had denied his involvement with […]

Network for Growth and actualization of Viable Development (NEFGAD), a public procurement advocacy group, has faulted Minister of Interior, Mr Olubunmi Tunji Ojo’s defense over his involvement in the controversial 3billion Naira contract awarded by the suspended Minister of Humanitarian Affairs and Poverty Alleviation, Dr Betta Edu.

Recall that Tunji-Ojo had denied his involvement with New Planet Project Limited, a company that secured a consultancy contract from the Ministry of Humanitarian Affairs and Poverty Alleviation.

Tunji-Ojo in his defense, stated that he resigned as a director of the company nearly five years ago, on February 1, 2019, well before his appointment as the Minister of Interior by President Bola Tinubu.

However, NEFGAD in a statement signed by its acting Head of Legal, Dolapo Obafunmi, and released to the media, insisted that the minister who is a shareholder in the said company contravened section 16 subsection 6(f) of the Public Procurement Act (PPA)2007.

Obafunmi noted that the minister failed to accompany documents used in bidding for the contract with an affidavit disclosing whether or not Edu who is a member of the procuring entity has any pecuniary interest in New Planet Project Limited – the company where Tunji-Ojo, a cabinet colleague, is a shareholder.

He also stated that that the said company ought to have been disqualified for violating section 16 subsection 8(g) of the same PPA by failing to submit a statement regarding its dominating or subsidiary relationships with respect to Edu who is acting on behalf of the procuring entity participating in same proceeding.

“New planet Project Limited, with registration number 804833 was reportedly registered on March 3, 2009. Although the Minister said he has resigned as director of the company since 2019 but he is still a shareholder in the company,” he said.

Obafunmi said that the PPA in its bid to promote competition forbids a bidder and or any member of procuring entity from conferring undue advantage to themselves during any procurement proceeding by virtue of their relationships.

He noted that one of the core objectives and spirit of the Public Procurement Law is to ensure that nation’s wealth is fairly distributed, maintaining that it is a sheer act of undue interference, greed and avarice to have a serving cabinet member interfering in affairs of another ministry to an extent of influencing its procurement decision in his favour.

Obafunmi further maintained that beyond participating in the day to day running of a company, being a shareholder means Tunji-Ojo benefits from the company and by virtue of his shareholding status, ought to have simply complied with the relevant sections of the Public Procurement Law by declaring his interest in the company simply via a court affidavit.

‘’With these blatant breaches, it shows clearly that fundamental principles of public procurement were not followed in the award of the contract, everything about the contract is defective, making it impossible to achieve fitness of purpose or value for money.

“Mr Tunji Ojo should also know that his cabinet membership is ordinarily influential enough to sway cabinet colleague’s procurement decision in his favour hence calling the Minister to honorably apologise to Nigerians and resign immediately or face legal action,” he said.