Works Minister, Umahi debunks Claim of Fraudulent Payment of Funds to Microfinance Bank

• Bank contractors fighting back, I refuse to be distracted-Minister

The Honourable Minister of Works Sen. Engr. Nweke David Umahi, CON, has debunked the claim that funds for construction of roads was fraudulently paid into a Microfinance Bank contrary to extant regulations.

The minister debunked the allegation being circulated by Tracka Budgit while fielding questions from some journalists  in Rivers State during the inspection of the Enugu-Port Harcourt  dual carriageway being reconstructed  by Arab Contractors Ltd.

Recall that Tracka, BudgIT’s service delivery promotion platform, alleged that it uncovered a total of N9.3bn paid by the Federal Ministry of Works to FIMS Microfinance Bank Ltd, while accusing the minister of breaking the 2007 procurement law.

The Special Adviser on Media to the Minister, Barrister Orji Uchenna Orji, in a rebuttal statement he issued on Saturday, described the report as malicious and the imagination of the writer, saying that Umahi was the governor of Ebonyi State when the project was awarded.

The statement, which also quoted the minister reacting to the allegation, said “Let me also use the opportunity to debunk something that is ongoing in the social media. I don’t know what they call the group, is it Tracta Budgit or something which claims they’re monitoring the budget of federal government; said that we paid 8.7 billion to the microfinance bank. The organisation went ahead and said, that the 8.7 billion were paid against a number of projects in Ekiti State, in Kaduna State, Katsina State and Borno State between June and September, 2023.

The Honourable Minister while debunking further the erroneous claim by Tracka Budgit stated that as at June 2023, “he was in the Senate. So, if they are correct, it means the contracts would have been awarded while I was still a Governor, so not a minister.”

Commenting on the alleged payments to a Microfinance bank, the Minister explained that as at July, “I was in the Senate up to the 20th of August”.

He, however explained concerning the payments to a Microfinance Bank, and hinted that “when a contractor has done his or her work, the money becomes his money. He can say pay it to any bank of his choice.”

Sen. David Umahi, described as very mischievous the claim by the organization, stressing that they should have investigated “whether the job was done, that is the only right they have. But they don’t have the right to say where a contractor will say his money will be paid.

He submitted therefore that “whether it’s paid in microfinance bank or macrofinance bank, what is paramount to establish if the funds were rightly paid for good work done.”

The Honourable Minister averred that it was an attempt to distract his commitment to delivering on the Renewed Hope Agenda of President Tinubu for the road sector development in Nigeria.

“And so, it’s just a distraction. And then, some of the bank contractors are using them to fight back. But I refuse to be distracted,” he reaffirmed.

Commenting on his efforts to ensure quality delivery of road projects through partnership with the States, Sen. Umahi said “let me also say that in all the states, it’s our policy that the state governors, through their appointed officials, must mark off any project, especially the emergency, palliative projects.

According to him “when a contractor has completed a job, no matter how big it is, my advice is for the state governor to come to the site and look at it and then mark off the job before he gets to office for payment.”

He strongly affirmed that “Where this procedure is not done, I will not sign any generated certificate”.

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