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BPP didn’t object to N929.6m contract, BPE insists

By on June 26, 2015

The end to the controversy surrounding the approval of N929.6m legal contract towards the end of the administration of President Goodluck Jonathan for the liquidation of the Power Holding Company of Nigeria is not near in sight.

Investigation by our correspondent showed that after the Bureau of Public Procurement (otherwise known as the Due Process Office) had publicly disowned issuing a ‘No Objection’ certificate to the Bureau of Public Enterprises for the deal, the privatisation agency had written the BPP, insisting that it obtained the certificate before approving the contract.

The BPE had claimed that it obtained approval from the Due Process Office for contracts of N929.6m and N500m to Messrs J. K. Gadzama & Co and the Office of the Accountant General of the Federation respectively for handling the winding down of the PHCN.

In a letter directed to the Director-General of BPP, Mr. Emeka Ezeh, the privatisation agency insisted that it obtained the required no objection certificate, but the BPP insisted that it withdrew the certificate on the advice of the Attorney General of the Federation and never revalidated it.

It was further learnt that the BPE expressed disappointment with the BPP for going public with the denial of the contract.

In a statement issued by the Head of Media, BPP, Mr. Thomas Odemwingie, the agency had said it actually denied the issuance of the ‘No Objection’ certificate to the BPE for the award of the contracts.

Odemwingie had said, “As of December 2014 the BPP, vide letter Ref. No. BPP/S.1/EID/14/Vol.I/046, refused to grant a ‘No Objection’ certificate for the engagement of a legal firm for this purpose.

“On the advice of the Attorney General of the Federation, the BPP had earlier on September 22, 2014 rejected the request for the issuance of the certificate of ‘No Objection’ to contract award.

“The BPP certificate Ref. BPP/S13/VOLVIII/190 dated 2nd of September 2013 referred to by the BPE in favour of the legal firm was withdrawn and cancelled.

“Even when the AGF replied that we might consider revisiting our position and re-issue/revalidate our certificate, the BPP by a letter referred to in paragraph two above declined the request and approved only the engagement of Messrs. Ora Egbunike & Associates for the asset valuation services in the sum of N517,694,100.”

Odemwingie said there was no basis for the award of the contract to the legal firm as claimed by the BPE.

In a telephone interview with our correspondent in Abuja on Wednesday, the Head, Public Communications, BPE, Mr. Alex Okoh, confirmed that the privatisation agency had written to the BPP to clarify issues.

He added that he did not know the outcome of the letter seeking clarification on the controversial subject.

 

[Punch]