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FCT minister gives low-down on $53m saved from $128m contract awarded by Buhari
The minister of the Federal Capital Territory (FCT), Nyesom Wike has disclosed how his administration was able to save $53m for Nigeria from contract of $128m approved by the immediate past administration of President Muhammadu Buhari
He said the administration of President Bola Tinubu met the contract for the operation of the Abuja Metro Light Rail at a whopping $128million.
Speaking before the Senate Committees on FCT and FCT Areas Councils that the administration was forced to demand details and urgent reviews of the sum because there was no way the Federal Government could afford to pay such an amount.
Wike, who appeared before the committees to defend the N1.1trillion statutory budget of the FCT for this year, told lawmakers that the contract was signed by the government of his predecessor, former President Muhammadu Buhari.
Narrating the encounter between him and the contractor, CCECC, the minister said he got to learn that the cost of operations also covered personnel training for 29 months.
He stated, “This was projected by the last administration. We did a review and brought it down to $75m, in the process, saving about $53m for the government.
Wike added, It had to do with the Metroline. “The cost for the construction is different, the cost for the operation where CCECC is insisting, we train our people 29months so and it was approved by FEC before this administration $128m.”
“I told CCECC, you have made your money in the construction and you don’t want this job to go on, convert $128m how much is it.
“Obviously you are saying that this thing will not work and it is a sabotage. I look at it, I told my team to call the contractor for us to sit in argument.
“We argued back and forth and I insited no, it is better we leave the contract. To cough out $128m from where? At the end if the day the committee recommended $63m I said OK.
“By the end of the day we came up with $75m because of the additional work and since we are preparing for the opening on the 29th because there are 12 Stations where we have to put them in order. That is why it became $75m and I have told them to prepare the agreement and let them go and start working.
“There is no way for operation to train our people to gulp $128m it is unbelievable.
I had made it known to that council and if they had not agreed no option but to tell the President, there is nothing we can do, we can not go on with the project. $128m at what Naira to a dollar? Calculate it.
Even $75m calculate it.”
Commenting on the delay or non-ompletion of public projects, the minister spoke of his belief that most government contracts were “inflated”, adding that he owned no one apologies for taking that stance.
According to Wike, contracts inflated deliberately because government doesn’t pay on time, thereby giving contractors and others on the project chain the window to call for variations.
An idea he said he had opted to implement was to use Internally Generated Revenue (IGR) sources to part-fund some projects, while awaiting the releases of main capital budgets and in that way scuttle the plots by contractors and their collaborators in the system to seek variation at the slightest opportunity.
The N1.1tn statutory budget for 2024 is N506.5bn (44%) higher than the revised 2023 budget of N641.2bn.
Wike attributed the difference in the increase to “the expected loan from the commercial bank in the sum of N500bn”, which he said would be applied to new and ongoing projects in the territory.
The Personnel Costs component is N140.9bn, up from N99.5bn in 2023 or a difference of N41.3bn (29%).
“The increase is to accommodate the emoluments of the appointed mandate secretaries and other political appointees of the administration, payment of staff promotion arrears, peculiar allowance, staff wage award arrears and AEPD Conraiss arrears (11 months)”, he explained.
From N135.4m in 2023, the Overhead Costs of the FCT jumped to N280.5bn (24.44%) in 2024.
The minister told the lawmakers the additional N145.1bn would be spent on FCT Security Services; Loan Repayment; Logistics Support to Security Agencies; Operation and Maintenance of Wupa Sewage Treatment Plant; Maintenance of Dump Sites in Satellite Towns; Water Treatment Chemicals; and Welfare Packages (FCT Staff Palliative).
Compared to N2023 when the Capital Allocation was N406.2bn, the budget size for this year is N726.3bn or a 63.28% raise.
Wike also spoke on the challenges of managing land allocation in the FCT, disclosing that up to 1,500 cases were instituted against the administration, a reason it had also earmarked N5.5bn for legal servcyin 2024.
Among other issues, Wike revealed that the administration was battling cases of multiple allocations of the same land to different individuals and organisations.
“This time around, we are ready to take on them head-on; we are going to engage senior lawyers.
“We won’t rely on FCT Civil service lawyers because these ones also collude with those causing problems for for”, he added.
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Lagos Assembly insists Obasa’s removal legal as DSS grills lawmakers
The Department of State Services on Thursday grilled members of the Lagos State House of Assembly in connection to a petition reportedly written by the former Speaker of the House, Mudashiru Obasa.
According to reliable sources, more than half of the lawmakers were interrogated by the DSS for hours on Thursday before they were released in the evening.
The DSS investigation followed Obasa’s claims that his removal on January 13 over allegations of misconduct, abuse of office, and financial mismanagement, was illegal.
A source in the DSS, who is not authorised to speak to the press, told The PUNCH that the lawmakers were invited for questioning.
“They have been released, they were just invited for questioning based on the incidents that happened at the Assembly; they were allowed to go immediately after the questioning,” the officer said.
In a statement, the spokesperson for the Assembly, Ogundipe Olukayode, while reacting to their invitation, said the lawmakers visited the DSS to provide insights into the situation on the removal of the ex-Speaker.
He confirmed that all the members of the Assembly earlier detained had regained their freedom.
“At the DSS office, we reaffirmed our commitment to upholding constitutional governance following the removal of the former Speaker. The decision was made in accordance with the provisions of the 1999 Constitution of the Federal Republic of Nigeria and the Powers and Privileges Act, which empower the state Assembly to regulate its internal proceedings without external interference.
“The decision to remove the former Speaker was made through a democratic process, with the required majority as stipulated by law. Any attempt to challenge this lawful action undermines the authority granted to us by the Nigerian Constitution.”
“We commend the professionalism of the DSS office in their friendly invitation. We appreciate the Lagos DSS Command, especially the Director, for ensuring a smooth and respectful engagement. The process allowed us to give a clear recount of events in a comfortable and professional environment.”
Obasa, who had been a Speaker since 2015 and representing Agege constituency I, had insisted upon his return to Lagos from the United States that he was still the Speaker.
He urged the lawmakers to follow the “right process” in addressing his removal while maintaining that he had been unfairly targeted.
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LASTMA impounds 173 vehicles for illegal parking
The Lagos State Traffic Management Authority says 125 commercial buses and 48 private vehicles were impounded for flagrant violations, including unauthorised parking and road obstructions.
The General Manager of LASTMA, Olalekan Bakare-Oki, who spearheaded the operations said, this in a statement on Thursday.
Oki said the enforcement initiative was designed to restore traffic discipline and facilitate the unhindered movement of vehicles.
He said, “This sweeping crackdown was executed across notorious gridlock-prone corridors such as Idumota, Ijaye Street, Martins, Ereko, Nnamdi Azikiwe by Tom Jones, Ebute-Ero, Oyingbo, Ijora, Adeniji Adele, and Iddo.
“This rigorous enforcement underscores LASTMA’s unwavering commitment to eradicating chronic traffic congestion and mitigating reckless road practices, particularly among commercial transport operators and private motorists who flout established regulations.”
He said a significant number of the offenders were caught engaging in perilous manoeuvres such as driving against traffic and executing hazardous reversals from Iddo to Idumota to pick up passengers.
He described this as a reckless action that had precipitated multiple road accidents and senseless loss of lives.
Oki said the initiative targeted unauthorised garages that had long served as catalysts for intractable gridlocks, inflicting undue hardship on commuters and residents alike.
“The state government remains resolute in its enforcement of traffic regulations and the restoration of order on our roads.
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Obi tackles Akande, says #EndSARS narrative, attempt to rewrite history
The 2023 Labour Party presidential candidate, Peter Obi, has slammed the former governor of Osun State, Bisi Akande, over his allegation that the 2020 #EndSARS protest across Nigeria was orchestrated by the Obi’s supporters, otherwise known as Obidients, to derail the ambition of the current President, Bola Tinubu.
Obi and the Obidient Movement described Akande’s narrative as an attempt to rewrite history, adding that it was insensitive to the memory of #EndSARS victims, particularly those who lost their lives.
The nationwide #EndSARS protest, which lasted between October 7 and 20, began with the demand for the disbandment of the notorious police wing called Special Anti-Robbery Squad but soon snowballed into a demand for good governance.
There were confrontations between protesters and security agents, particularly in Lagos State, where soldiers allegedly opened fire on defenceless protesters at the Lekki Tollgate.
In a recent podcast anchored by a popular broadcaster, Edmund Obilo, Akande claimed that the #EndSARS protest was orchestrated by Obidients to stop Tinubu’s presidential ambition.
According to him, the movement was well funded with foreign donations.
“The Obidients were behind the #EndSARS. It was manufactured in America and brought in just to stop him (Tinubu). I said the Obidients, I didn’t say Obi.
“They came from America to do the #EndSARS and later became a movement to form a party. They couldn’t form a party. It was well planned and organised with a lot of money from America,” the octogenarian asserted.
But in an interview with our correspondent on Thursday, Obi’s media aide, Umar Ibrahim, tackled Akande, describing his claims as misleading and insensitive to the people who died during the protest.
He said, “The allegations are not only misleading but also divisive. It is unfortunate Akande would suggest that the Obidient Movement was behind the #EndSARS protests, and even more astonishing that he would imply it was orchestrated to prevent a particular individual from becoming President.
“Well, let me be clear: the movement is a grassroots phenomenon that emerged organically, driven by the passion and dedication of Nigerians who are committed to creating a better future for our country. It’s a movement that transcends partisan politics and is focused on promoting good governance, accountability, and inclusive development.
“The #EndSARS protests, on the other hand, were a spontaneous response to the widespread discontent and frustration among Nigerian youth regarding issues of police brutality, corruption, and economic inequality. It’s a testament to the resilience and determination of our young people, who are demanding a more just and equitable society.
“To conflate these two distinct phenomena is not only inaccurate but also unfair to the millions of Nigerians who are genuinely committed to creating positive change. We urge former governor Akande to refrain from making unsubstantiated claims that can only serve to further polarise our society.”
Similarly, the National Coordinator of the Obidient Movement Worldwide, Tanko Yunusa, described Akande’s narrative as an insult to the memory of all #EndSARS victims, particularly those who lost their lives.
He said, “The Obidient movement outright rejects the baseless and revisionist claim by former Governor Bisi Akande. His false narrative is not only an insult to the memory of the young Nigerians who lost their lives in the fight against police brutality but also a desperate attempt to rewrite history and shift blame for the government’s failures.
“#EndSARS was a decentralised, youth-led movement demanding an end to police brutality, extrajudicial killings, and systemic oppression in Nigeria. It was not about politics, nor was it about any single individual’s presidential ambition.
“Rather than engaging in revisionist propaganda, we urge Akande and his associates to focus on addressing the real issues facing Nigerians today — economic hardship, insecurity, unemployment, and bad governance. The people are suffering, and no amount of misinformation or historical distortion will change that reality.”
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