How ministry sabotaged N9.2bn stove contract

The findings of the committee obtained by Daily Trust from the House revealed that the ministry, after collecting N5 billion from the Presidency, made deliberate efforts to ensure that the contractor failed in executing the contract.The 13-page report of the committee noted that: “The allegations of complicity against some highly placed Federal Ministry of Environment […]

The findings of the committee obtained by Daily Trust from the House revealed that the ministry, after collecting N5 billion from the Presidency, made deliberate efforts to ensure that the contractor failed in executing the contract.
The 13-page report of the committee noted that: “The allegations of complicity against some highly placed Federal Ministry of Environment officials in the execution of the procurement of clean cook stoves and wonder bags were sustained.”
The committee found that as a result of numerous letters to Keystone Bank by the Director of Procurement, Ministry of Environment, Bldr Adekoya S.O, the bank withheld N300 million from the 15 per cent mobilisation given to the contractor. This implies that the contractor was starved of funds and was not able to discharge his responsibilities as contained in the contract.
“The committee condemned in its entirety the actions of the director of procurement and advices his redeployment by the ministry,” the report said.
Based on this development, the contractor has gone to an Abuja High Court seeking an injunction compelling the ministry to ensure that terms of the contract are strictly followed.
“We have gone to court to get an injunction to let us carry out the contract and to ensure that the contract is executed based on the terms contained in the agreement we signed with the ministry,” an official of the company told Daily Trust.
Documents presented to the committee by both the ministry and contractor showed that the ministry acknowledged the verification of 132,818 units of the stoves at the Velodrome of the National Stadium.
A letter from the ministry signed by Adekoya S. O, the Director of Procurement with reference No. FMENV/PROC/CAP/REP/087/1/269 addressed to the contractor noted that the ministry had sighted and confirmed that 132,818 units of stoves were verified at the Velodrome but were yet to be supplied to the ministry’s store.
In another letter dated May 14, with reference No. FMENV/PROC/CAP/REP/087/1/265, Adekoya said that the company’s claim of having supplied over 150,000 units of the stoves covering the 15 per cent mobilisation was misleading as what was supplied and verified by the ministry was of various prices.
 Daily Trust recalled that the ministry’s Permanent Secretary, Ms Nana Faitma Mede, had on June 4th during a news conference said that the ministry was cancelling the contract as the contractor failed to abide by the contract terms and the contract deadline.
Mede said that the ministry had only paid the contractor N1.3 billion and that the balance of N3.7 billion was in the ministry’s coffers.
But the pronouncement generated heated debate among stakeholders as some were of the view that she lacked the powers to revoke a contract awarded by the federal executive council.
Barr. Samuel Akinbode, a private legal practitioner said: “The permanent secretary only made herself a laughing stock because having risen to that level she should have known that a FEC awarded contract can only be revoked by FEC.”
The House committee recommended that the director of procurement at the ministry be redeployed for his complicating role in the execution of the contract while the permanent secretary was asked to give the contractor 10 more weeks to complete the contract.
Daily Trust checks at the ministry showed that none of the recommendations had been complied with as the director was still at his duty post while the contractor had not been communicated with on any extension.