NIGERIA: Minister of Works, Senator Dave Umahi, is facing scrutiny over alleged irregularities surrounding road contracts and payments worth about N60.08 billion made by the Federal Ministry of Works to a company reportedly linked to a political loyalist.
The allegations were contained in an investigative report published by BusinessDay, which examined payments made to Reinforced Global Resources Limited, a company managed and co-owned by Joshua Okoro, a former student leader who reportedly campaigned for Umahi during his 2023 Senate bid.
According to the report, the company was incorporated in 2011 but had no record of federal contract payments until April 2024, about eight months after Umahi became Minister of Works.
BusinessDay reported that the company subsequently received 27 separate payments totalling N60.08 billion between 2024 and 2026, with the Ministry of Works reportedly serving as its sole federal government client.
The report also raised questions about the structure and frequency of advance payments made to the contractor, citing concerns by procurement experts that the transactions may contravene provisions of Nigeria’s Public Procurement Act 2007 and the Fiscal Responsibility Act.
The experts reportedly questioned the multiple advance disbursements to the company, noting that public procurement rules place restrictions on advance payments and require compliance with stipulated limits and conditions.
The investigation further reported that the contracts were awarded despite Reinforced Global Resources Limited being involved in an existing matter under scrutiny by the Economic and Financial Crimes Commission (EFCC).
A substantial portion of the payments reportedly went into major road projects in the South-East, including N30.06 billion for the Enugu-Abakaliki-Ogoja Road and N15.72 billion for the Ugep-Abaomoge-Okposi Road.
The revelations have prompted calls for an independent investigation by the Human and Environmental Development Agenda (HEDA Resource Centre), an anti-corruption organisation.
HEDA called for an immediate probe into the relationship between the Federal Ministry of Works and the contractor, as well as the circumstances surrounding the contracts and payments.
As of the time of the report, Umahi was not known to have publicly responded to the allegations. There was also no reported response from Reinforced Global Resources Limited or the Federal Government addressing the specific claims.
The allegations have not, by themselves, established criminal wrongdoing or a breach of procurement law. Any determination of illegality would depend on the relevant procurement records, contractual documents and findings of competent investigative or judicial authorities.
