The Federal Character Commission has been asked to account for how it spent N56 million on the construction of a fence and a gate house at its Training School in Katsina State.
A government’s audit report stated that the commission failed to attach the relevant documents to the N56 million contract which it awarded to the contractor who undertook the project.
SaharaReporters observed in the report that the FCC awarded the contract sum for N56,030,593 but there was no contract award letter.
The audit report also noted that contract agreement between the commission and the contractor was not attached to the payment voucher.
The document, the Annual Report of the Auditor-General of the Federation for the Accounts of the Federation of Nigeria for the Year ended, December 31, 2018, partly reads, “Issue 4 – Award of contract without due process – N56,030,593.50; Section 24(1) of the Public Procurement 2007 states that “Except as provided by this Act, all procurement of goods and services by all entities shall be conducted by open competitive bidding.”
“Also, Financial Regulation 2921 states that “Except as exempted under the procurement Act, all procurement of goods, works and services shall be by way of open competitive bidding by which is meant that all contractor/supplies shall be subject to the same level playing ground.”
“Audit observed that the Commission awarded a contract at a contract sum of N56,030,593.50 for the construction of fence and gate house at its Training School in Katsina State, and payment was made through payment voucher number FCC/CAP/16/16 dated 10th October, 2016.
“Audit, however, observed, the following irregularities; one, award letter and the contract agreement between the commission and the contractor was not attached to the payment voucher; two, the contractor was paid the whole contract sum at the commencement of the contract, in contravention of section 35(1) of the Public Procurement Act, which stipulates a mobilization fee of 15% of the contract as the first payment.
“Recommendation – The Executive chairman is required to justify the award of the contract in contravention of the provision Public Procurement Act, failing which sanction stated within FR account for the sum of N56,030,593.50 for refusal to comply with extant rules and regulation. Otherwise sanctions shall apply.”