Legislators at the weekend announced plans to investigate failed rail projects worth billions of Naira and to devise measures to complete on going ones.
The House of Representatives Land and Transport Committee, chaired by Bernard Udoh, was mandated to, among others, conduct a public hearing on the Lagos-Kano and Ajaokuta-Itakpe-Warri rail schemes.
Transportation Minister, Isah Bio, the Chief Executive of China Civil Engineering Construction Company (CCECC), that of Julius Berger Nigeria, and other stakeholders have been summoned to explain the allegations of complicity.
The Committee will get clarification on the award of the Lagos-Kano contract to CCECC and the agreement signed by Nigeria and China on the rail system.
Udoh confirmed that the Committee has received a lot of petitions alleging that payments were made for the contract that never got off the ground.
One of the petitions on the Ajaokuta-Itakpe-Warri abandoned rail project alleged that Julius Berger connived with New Lines and Technics Engineering Architectural Marketing (TEAM) to defraud the country of billions of Naira.
The petition detailed the release of funds to Julius Berger and alleged that "the contract for the construction of Ajaokuta-Itakpe-Warri rail line was awarded on unit rate basis and these groups are using this as opportunity to defraud the Federal Government of billions of Naira."
The petitioners asked the House "to stop the payment of the so-called debts of N6.4 billion pending the conclusion of the investigation."
However, Julius Berger Spokesman, Clement Iloba, insisted that the allegations are baseless and the company remains a responsible corporate citizen.
"It is a good thing for the people to write petitions and raise observations but I can tell you that this is baseless and we are going to appear before the Committee to defend ourselves," he said.
Leave Your Comments