A multi-billion naira road project in Osun State has been awarded to a company untraceable on the website of the Corporate Affairs Commission (CAC).
On March 8, Bashir Tokunbo Salam, the commissioner for special duties, flagged off the construction of the Ede-Egbedi-Erin Osun road. At the same time, he listed other roads and the companies handling them in other parts of the state.
The state government also posted brief information about seven projects, their financial details and the names of the contractors handling them on its X handle (@Osun_State_Gov) on Monday.
Contract details were released by the state government.
To obtain contracts from either public or private institutions in Nigeria, it is mandated that companies be registered according to the Companies and Allied Matters Act (CAMA) and comply with public procurement laws. Where a state government is awarding a contract to any company, it must set out some criteria guided by CAMA and its peculiar procurement regulations.
The State of Osun Public Procurement Law 2015 applies to public procurements in the state.
“As we rolled out the projects, we are complying with the procurement law on all fronts. All required due process is complied with. This administration is committed to open governance and open procurement,” Salam said of the state’s compliance with its laws in awarding the contracts.
Salam’s claim is, however, inconsistent with the findings of this newspaper.
VIOLATION OF PROCUREMENT LAW
Even if the public does not yet know all the specifics of the bidding processes, the information that is already accessible clearly demonstrates a discrepancy.
For instance, the award for the construction of the “7-span bridge at Okefia intersection” awarded to Askorj International Nigeria at the cost of N10,764,206,257.58 has raised some questions.
Askorj International Nigeria, as dsiclosed by the government at different times, has no evidence of registration on the CAC website. In essence, the government gave over N10 billion to a non-existent company.
When FIJ checked, the name closest to that on the CAC website was A’skorj Nig. Ltd., owned by Olabode Kehinde Adebayo and Olabode Rofiat Olawumi. It was marked inactive on the website, showing some financial liability.
Further checks showed another variant of the company, A’skorj Integrated Nig. Ltd. According to a contract signpost, the company is constructing “Alekuwodo-Okefia-Government House road flyover Bridge, including 33 DIA – Roundabout under bridge and 4 Nos, Slip road”.
Due to the peculiarity of company names, these two companies stand apart from the one named in government publications.
DEPUTY SPEAKER’S COMPANY GETS A CONTRACT
Furthermore, Raregeode Company Ltd. is constructing the “44-span bridge across Osun River and dual 2-span bridge across Erinle river,” which is projected to be completed in 12 months at a financial cost of N3,937,072,827.00.
Raregeode is owned by Oyewusi Akinyode Abidemi, the lawmaker representing Ife North State Constituency, under the Peoples Democratic Party (PDP). As a deputy speaker, he is a significant stakeholder and a person of considerable influence within the state power corridor.
During a phone call with our reporter on Monday for his comment, Abidemi confirmed being the founder of the company but said he had resigned from his position as the general managing director (GMD).
“I resigned from the company as the general managing director in March 2023 after winning my election,” the deputy speaker said. “You can ask from the CAC.”
When our reporter told him the company’s profile still showed him as the sole person with significant control over the company, he said, “Maybe the CAC has not updated their database.”
Responding to FIJ’s inquiry over the phone on Monday, Olawale Rasheed, Governor Ademola Adeleke’s spokesperson, referred this medium to the ministry of works, adding that it was impossible for the state to have awarded the contract to an unregistered company.
“That is impossible. Do you think the Osun State Government, under Adeleke, would award such a contract to an unregistered company? If you want to know more about the project, just visit the ministry of works and tell them that you want to know more about all the ongoing projects in the state. They will tell you what you want to know,” he said
Alimi did not answer his call when FIJ dialled his phone number, and he had not responded to a follow-up text message as of press time.
– FIJ