Controversial payment: RCCG petitioner apologises as Fashola faces Senate
The Minister of Works and Housing, Mr Babatunde Fashola, on Thursday, explained how his Ministry paid N151m to the Cartil Construction Nigeria Limited for the rehabilitation of the Ife-Ifewara Road.
The Redeemed Christian Church of God had in a petition filed by Pastor Niyi Adebanjo on behalf of the General Overseer, Pastor Enoch Adeboye, and dated 9th February, 2021, accused the ministry of making payment to the tune of N151m to Cartil Construction Limited for the rehabilitation of the road which the church rehabilitated as part of its Corporate Social Responsibility.
He had alleged that the ministry paid the money between 2016 and 2018 to the contractor that abandoned the road which was actually reconstructed by the church at a cost of N181m
The RCCG therefore urged the Senate to direct Cartil Construction Limited to refund the money and ensure its payment to government coffer.
The church had said, “If anyone is to be reimbursed for the rehabilitation of the road; it should be to the RCCG and not the contractor.”
But Fashola told the Senate Committee on Ethics, Privileges and Public Petitions on Thursday that the money was not paid between 2016 to 2018 to the contractors.
He explained that the contract for the road was awarded to Cartil Construction in December 2010 for N662m as a constituency project executed under the Ministry of Works; five years before the regime of the President, Major General Muhammadu Buhari (retd.).
He said based on Section 36 of the Public Procurement Act, the contractor was entitled to 15 per cent as mobilisation fee.
He said the then minister first approved the payment of N99.4m to Cartil Construction Limited as 15 per cent mobilisation fee in 2011.
He said having moved to site, a second payment of N52m was made on the 29th of December, 2011, bringing the total to N151m
Fashola said contrary to the RCCG claims, the ministry under him did not pay any money to the contractors between 2016-2018.
He said there was no proof that an unjust claim was made by the contractor or made by the ministry and that there was no basis for the petition.
He also said there was no evidence to back up claims that the funds were not released in 2011 to Cartil Construction Limited.
Fashola said, “The Ife-Ifewara Road is not a federal road. It is a state road within Osun State in the South-West Nigeria.
“It is a 6.3m wide single carriageway, 15km long with 1.5m earth shoulders on either side.