MDA

Federal Ministry of Works and Housing

Project Location/State

Award Year

2019

Contract Sum

₦₦589,460,256.00

Amount Paid

₦₦253,463,564.36

Unaccounted

₦₦42,104,304.00

Context/Observation

I.The contract for the rehabilitation of Agbor – Sakpoba – Ogharefe Road in Delta State was awarded to a contractor on the 6 of October, 2009 at a contract sum of N589,460,256.00
II.The contractor was given an Engineer’s Order, in accordance with clause 41 of the standard conditions of contract to commence work on the 20 of October, 2009 and to complete same on or before 30 of December, 2012.
III.Advance payment of the sum of the N84,208,608.00 of which the sum of N42,104,304.00 was recovered from Interim Payment Certificates (IPC) generated, leaving an outstanding of N42,104,304.00
IV.The sum of N 253,463,564.36 had been certified and paid to the contractor for work done. This amount was considered reasonable to have fully paid back the advance payment.
V.Physical inspection of the project site in February 2020 revealed that the contractor demobilized from the project site since 2017.
VI.In 2017, the Contractor requested for a review of the contract sum on the basis that the original contract sum had become unrealistic but the Ministry could not obtain a Certificate of No Objection, hence the Contractor abandoned the project.
VII.At the time the request for review of contract sum was made, the completion date of 30 of December, 2012 had elapsed
VIII. The Ministry failed to fully execute the terms of the contract agreement for over three years by not terminating the contract.

Contractor

N/A

Beneficial Ownership Information

N/A

Legislative Recommendation

The Permanent Secretary is requested to:
I.Furnish reasons why advance payment made to the contractor was not backed by required unconditional advance payment bank guarantee in accordance with extant regulations. ii. Recover and remit the sum of N42,104,304.00 to the Treasury.
II.Forward evidence of remittance to the Public Accounts Committees of the National Assembly
III.Otherwise, sanctions relating to payment for job not executed in paragraph 3104(i) of the Financial Regulations should apply.

Executive Action

N/A

Progress Report

N/A

Data Source

2019 Non-Compliance Audit Report of the FG

Project Gallery

Click to enlarge image

No submitted petition history found

Want to submit petition to Anti-Corruption Agency on this issue?

Let our “VfM AI” tool help you generate a unique petition and send it instantly to your preferred Anti-Corruption Agency for investigation!

Use "Submit Petition" button below to proceed

Seach for project by title, MDA, state, status, year…

Trending projects

Report project
in your community today

Do you know of project(s) in your community that has been abandoned, not executed or poorly implemented. Our team is ready to help you track it and get government to act.

Value for Money allows you to track, report and act on audited development projects abandoned, not executed or poorly implemented in your community to ensure public funds are efficiently, effectively, and economically utilized to improve service delivery to you and other citizens in Nigeria

Contact

Newsletter

Stay in the loop, get all project updates straight in your inbox. 

© 2025 Value for Money. All right reserved.