A staggering ₦3.81 billion has come under the audit microscope, with a damning report from the Office of the Auditor-General for the Federation revealing what appears to be a monumental case of payment for work not done on a section of the East-West Road.
The exclusive document, obtained by The News Chronicle, paints a grim picture of financial irregularities and a possible diversion of public funds that has left taxpayers holding the short end of the stick.
The audit report, which pulls no punches, disallows a total of ₦3,813,914,186.85 in what it describes as a series of payments made without the corresponding work being executed on various sections of the East-West Road.
The findings are a sharp rebuke to the Federal Ministry of Niger Delta Affairs, with the report stating that these anomalies could be attributed to “weaknesses in the internal control system” of the Ministry.
The report meticulously details a litany of financial improprieties across three major contracts on the East-West Road: the Eket Bypass, the Eleme-Ahoada section, and the Ahoada-Kaiama section. Among the red flags raised by the audit team were:
Overpayment on Eket Bypass: A contractor was allegedly paid ₦17,187,034.75 for clearing a 3km stretch of road when only 2km of work was certified. Similarly, an overpayment of ₦36,560,125.00 was noted for “borrow to fill” work, as measurements showed a smaller volume than what was claimed.
Ahoada-Kaiama Section: A contract for the maintenance of existing road during construction saw an interim payment of ₦137,085,560.71, yet the breakdown of work could not be ascertained by the visiting team. Another ₦50,000,000.00 was paid for maintenance that was “not sighted” during the inspection.
Eleme-Ahoada Section: A contractor was allegedly overpaid by ₦52,904,995.92 for a recalculation of an activity. Additionally, a sum of ₦786,656,979.01 for various items was deemed “not acceptable as a legitimate charge against the public funds.”
The document cites several paragraphs of the Financial Regulations (FR), 2009, as the basis for its findings, emphasizing that “no money will be claimed other than the cost of the work certified to have been performed” and that “payment should not be made for services not yet performed or for goods not yet supplied.”
In a “Management’s Response,” the Ministry provided justifications for the payments, stating that work was ongoing and that corrections were being made. However, the Auditor’s Evaluation dismissed this as “not satisfactory,” asserting that the “findings remain valid until the Management implements the recommendations.”
The report recommends that the Permanent Secretary be requested to recover and remit the full amount of ₦3,813,914,186.85 to the Treasury and account to the Public Accounts Committees of the National Assembly. It also recommends that sanctions be applied for the irregular contract award and payment.
The report, in its summary of risks, is blunt: the entire saga is a clear case of “payment for work not done” and a “diversion of public funds.”
