Ex-SGF’s company wasn’t paid consultancy fee, witness tells court

A prosecution witness in the trial of the former Secretary to the Government of the Federation (SGF), Babachir Lawal and five others on Thursday averred that the company the ex-SGF was alleged to have private interest in was not paid for its consultancy work.

Lawal, along with his younger brother, Hamidu David Lawal, Suleiman Abubakar, Apeh John Monday and two companies, Rholavision Engineering Limited and Josmon Technologies Limited were re-arraigned on an amended 10-count charge bordering on fraud, diversion of funds and criminal conspiracy to the tune of over N500 million.

The four suspects and the two companies are being prosecuted by the Economic and Financial Crimes Commission (EFCC).

The witness, Hamza Adamu, in his testimony told the court that after the completion of the first phase of the clearing of the overgrown grass, the second phase was awarded in September, 2016 to Josmon Technologies Limited which executed the first phase.

According to him, like the first phase, Rholavision Engineering Limited was also appointed consultant to the project.

“The first project was in March, 2016 while the second phase was in September, 2016. After the first project, the communities requested for more projects. Another project was awarded in September, 2016, which is the second phase for additional 250km for clearing of grass, irrigation, motorised boats and irrigation gate for the sum of N258 million.

“Josmon Technologies Limited was given the second phase. As the case with the first project, Rholavision was also appointed as consultant for the second project,” the witness told the court.

He added that on completion of the project, a final valuation was issued by the consultant for the final payment to Josmon Technologies Limited. The further witness stated that as the contractor was paid, Rholavision was not paid the 2.5 per cent of the N258 million contract sum for the consultancy work.

“Rholavision was not paid because there was no approval by the ministerial tender board of the office of the secretary to the government of the federation. Therefore, they were not paid,” he stated.

Adamu informed the court that Josmon Technologies Limited was first paid N203 million after the deduction of five per cent each for withholding tax and Value Added Tax (VAT) which was N11 million.

Meanwhile, for health reason, the presiding judge, Justice Jude Okeke, said the counsel for the defendants would cross- examine the witness at the next adjourned date.
He, therefore, adjourned until September 18 and September 24 for cross- examination and continuation of hearing.

It would be recalled that the EFCC accused Lawal of illegally benefiting from the approval of N544 million for the removal of invasive plant species and simplified irrigation.