Audit observed that a contract was awarded to a contractor for repairs and installation at a contract sum of N9,809,960.00, vide award letter referenced NSITF/REC/ABJ/02 of 18th July 2017 with four (4) weeks completion period. Payment of the amount was made to the supplier through payment voucher No. 00497 of 22nd August 2017 and supported by SRV No. 0169 of 21st July 2017. The following observations were made from available records:
i. 10% WHT of N853,040.00 was added to the contract price which inflated the contract sum by the same amount.

ii.Only 5% WHT of N490,498.00 was deducted from the contract sum. Whereas, in the job quotation submitted by the contractor, and the Evaluation Report by the Evaluation Committee, 10% withholding tax of N853,040.00 was added to the contract value. With this, the amount overpaid to the contractor was N362,254.00.

iii. From the financial bid report/recommendation of the Evaluation Committee, it was discovered that only one contractor bided for the job, in contravention of Section 24 (1) of the Public Procurement Act, 2007

iv.Contract agreement was signed after execution of the contract. The agreement was signed on the 31st July 2017 while the items were already received in the store on 21st July 2017 vide SRV No. 0169, ten (10) days before signing the agreement.