SAHARA REPORTERS NEW YORK
As
investigations progress into Aviation Minister Stella Adaeze Oduah’s
scandalous purchase of two BMW armored cars that cost N255 million,
members of the National Union of Air Transport Employees have called for
a proper probe of the Aviation Ministry’s airport rehabilitation
projects, describing them as an elaborate scam.
The embattled minister initiated extensive airport rehabilitation and remodeling projects that have gulped billions of naira.
Earlier, SaharaReporters had reported that the air workers union had
written a petition to the Nigerian Senate in July. The petition
portrayed the airport rehabilitation projects as a cesspool of
corruption.
In the petition, the union accused the minister of personally
benefiting from two-phase projects designed for the remodeling of eleven
airports in the country. The petition alleged that the minister used N7
billion from the Federal Government’s 2012 appropriations as well as
another N1 billion from internally generated revenue of the Federal
Airport Authority of Nigeria (FAAN), an agency under the Aviation
Ministry.
Ms. Oduah had reportedly asked the Ministerial Tenders Board to
approve her plan to use a two-phased rehabilitation exercise. The
petition alleged that the minister had awarded consultancy jobs to three
crony firms in the last quarter of 2011 without advertisement or
evidence of “no objection” from the Bureau of Public Procurement (BPP).
Instead, the minister allegedly awarded the contracts with the
confidence that she would retroactively obtain the certificates of
“no-objection” for the crony consultancy firms that received the
contracts.
The N255.7 million contracts went to Messrs. Ngonyama Okpanum and
Associates; Messrs. Design Union Consulting Limited, and Messrs. Triad
Associates Limited, which received N99 million, N60.9 million, and N95.5
million respectively.
The air transport workers alleged that no comprehensive reports on
the consultancy services were ever presented during any meeting at the
tenders’ board level.
After getting away with the questionable methods for awarding
consultancy contracts, the minister reportedly boasted at a tenders’
board meeting that she had obtained President Goodluck Jonathan’s
approval to adopt a selective tender method for determining the
contractors to execute the upgrade and rehabilitation projects at the
eleven airports in 2012.
The petitioners said Ms. Oduah cajoled the tenders’ board to approve
her predetermined list of companies for the contracts. In a letter which
Ms. Oduah used FAAN to write to the BPP, the minister cited “urgency”
as her basis for seeking selective tender method for the upgrade and
rehabilitation of airports.
“Rehabilitation and upgrade do not qualify as emergency that call for
urgency,” wrote the airport workers in their petition obtained by
SaharaReporters.
An executive of the Tenders’ Board told SaharaReporters that the
minister and her associates “said it was for urgency that they elected
the selective tender method and stipulated six months [as the duration
of the projects], but it is now over two years and you can see their
basis for selective tender is defeated. This is properly a case of
fraud.”
Citing a violation of section 40-42 of the Public Procurement Act,
the workers argued that selective tendering would be justifiable for the
award of contracts that require some peculiar
expertise available only to a select few companies.
“Renovation of terminal buildings falls short of this requirement,
but BPP approved it for Selective Tendering (notwithstanding),” the
petition said.
SaharaReporters also saw a letter written by BPP to FAAN giving
approval for the desired selective tender method on the reasons, which
the workers’ petition now faults.
In a curious development, the petitioning workers disclosed that the
companies listed for the selective tender were not the same companies on
site. A source in the union told SaharaReporters that Ms. Oduah
substituted the companies she secured selective approval for at the BPP
with other ones that eventually went on the site, without going back to
the BPP for fresh approval of the companies that are eventually carrying
out the projects.
“It seems as if the initial companies did not settle the minister to
her satisfaction, hence her decision to bring in other companies to do
the job,” the unionist told our correspondent.
The workers also disclosed that the contracts, which were most likely
inflated due to the undue advantage of selective award to crony firms,
were yet to be completed when Ms. Oduah appeared again at the tenders’
board, seeking approval for the “second phase.”
The workers’ petition to Senate asserted that “the contracts listed
in the phase-two are [a] repetition of the same contracts described in
phase-one earlier approved.” They contended that the rates in Phase-Two
were even more inflated.
In the petition, which the Senate leadership has failed to address
since receiving it in July, the workers stated, for example, that
“Zakhem Construction Nig. Ltd was awarded the contract for upgrade of
[Murtala Muhammed International Airport] Lagos in the 1st phase at the
sum of N920,191,147.58. Curiously, [the] same company was awarded
another contract in the tune of N981,900,300.45 for ‘upgrade and
rehabilitation’ of MMIA Lagos, under a spurious banner of Phase II.
“One of the documents obtained by SaharaReporters shows that the
ministry quoted N270.261 million for direct procurement of an “emergency
relocation” of Airside Power House/Associated Equipment at E-Wing of
the Murtala Muhammed International Airport in Ikeja, Lagos. The direct
procurement was prepared in favor of a certain Messrs. Gamji Nigeria
Ltd.
“Our minister has a tradition of starting something with [a] minimum
of N255 million, just as the sham consultancy jobs for airport
rehabilitation, and it is trite to remind of the N255 million BMW cars,”
an air transport worker stated.
“All she seems to care about is amassing wealth for herself and her
cronies while planes occasionally drop from Nigerian skies,” an
Abuja-based transparency advocate said.
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