House Wades into Sharp Practices in Payment of Contractors

Ndubuisi Francis in Abuja

Reprieve may soon come the way of Federal Government contractors as the House of Representatives has waded into the alleged sharp practices in their payment by the Ministry of Finance and the Office of the Accountant General of the Federation (OAGF).

Following a motion titled ‘Alleged Fraudulent Practices in the Payment of Contractors by the Offices of the Ministry of Finance and Accountant General of the Federation’ co-sponsored by Hon. Paul Sunday Nnamchi; House Leader, Hon. Julius Ihonvbere and Hon. Aminu Sani Jaji, the House directed its Committee on Finance to investigate the allegations.

It also urged the Federal Government to strengthen internal controls and enforce strict penalties for officials found culpable in corrupt practices within the parliamentary system and subsequently establish a transparent and digital payment system that eliminates discretionary human interference in the payment of contractors.

Presenting the motion on behalf of the lead sponsor, Hon. Nnamchi, who was unavoidably absent, Ihonvbere reminded his colleagues that the 1999 Constitution of the Federal Republic of Nigeria (as amended) “prescribes transparency, accountability and prudent management of public funds as fundamental principles of governance”.

He further cited Section 15(5) of the constitution which provides that: “The state shall abolish corrupt practices and abuse of power which underscore the government’s obligation to prevent, investigate and punish malfeasance particularly in public finance management.“

He noted that there had been reports of contractors being coerced into offering kickbacks or face unjustified deductions from their payments as a condition for the processing of their invoices by officials of Federal Ministry of Finance.

The sponsors further stressed that: “Unrestrained continuation of these corrupt practices was capable of discouraging credible investors and undermine confidence in government’s ability to uphold transparency and accountability.”

The sponsors also believed that without thorough investigations of the alleged sharp practices and consequently addressing them, contractors might lose confidence in government engagements, thus leading to slow economic development and failed infrastructure projects nationwide.