Home News FCTA, contractors differ over N5.2 billion debt

FCTA, contractors differ over N5.2 billion debt

by Our Reporter
By Oscar Okhifo
A group of indigenous contractors on Monday stormed the Federal Capital Territory Administration Office, Abuja demanding the payment of over ₦5.2 billion debt.
But in a swift reaction, the Senior Special Assistant to the FCT Minister on Public Communication and Social Media, Lere Olayinka, dismissed the claims, insisting that Minister,  Nyesom Wike has not awarded any contracts to the aggrieved contractors.
“No contract was awarded to any of the local contractors by the FCT Minister, Barr. Nyesom Wike. If they have documents showing award of contracts by the Minister, they should produce them,” Olayinka said.
Speaking on behalf of the group, Adebola Benson said the debts were accumulated from successive administrations, including the tenure of the immediate past minister Musa Bello,  and have since risen above ₦5.2 billion.
“So far, the liabilities calculated is in billions. Over ₦5.2 billion is owed different contractors over time. Some of the debts accrued before Wike came, and he too has incurred some debts,” Benson said.
He explained that while the previous administration paid in bits, many contractors were still left unpaid.
“When Wike came, we complained, he paid a bit and stopped since then. We are appealing to him to please pay us,” Benson added.
The protesting contractors, who vowed to remain at the Secretariat gate without barricading it, included those responsible for refuse collection, renovation works, road patching, desilting, electrification, water supply, and other emergency services.
According to them, some contracts arose from urgent interventions such as fixing burst water pipes or repairing faulty street lights along diplomatic routes when dignitaries were expected in Abuja.
On allegations of collusion with civil servants to inflate contracts, Benson said:
“If the authorities have such evidence, they can act on it, but it is unfair to punish all contractors for the alleged misconduct of a few.”
He also cited unpaid contracts under the FCT RUWASSA borehole projects, which were already commissioned but not settled.
Olayinka, however, insisted that the figures being bandied by the contractors lacked credibility. He explained that in December 2023, a bill of about ₦10 billion was presented to the Minister as outstanding payments on “minor procurements” done before Wike assumed office.
“The Minister approved over ₦5 billion and payment was made immediately in December 2023. In January 2024, another ₦5 billion was paid, clearing the over ₦10 billion outstanding bills,” Olayinka stated.
However, he said that only three months later, contractors returned with fresh claims amounting to ₦15 billion, allegedly from the same minor procurements.
“How can you claim to have carried out jobs worth over ₦15 billion within three months without the approval of the Minister? How can you accumulate such debt without authorization?” he queried.
Olayinka noted the shifting figures from ₦15 billion to ₦8 billion and now ₦5 billion, questioning the legitimacy of the claims.
Observers are now asking tough questions: are the contractors inflating the figures? Do they have verifiable evidence of jobs duly awarded, executed, supervised, and certified? If such documentation exists, they are expected to provide them. But if the contracts were not properly awarded and certified, would the FCTA be obligated to pay? Time, it seems, will tell.

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