Senate uncovers how NAFDAC paid N97m for ‘tokunbo’ generator

The upper chamber of the National Assembly has uncovered how National Agency For Food and Drug Administration and Control (NAFDAC) paid N97 million for ‘Tokunbo’ 1,000KVA generator at the Isolo office of the agency in Lagos.

The generator, it was gathered, later broke down irreparably four months after purchase

The revelation was sequel to the 2016 Auditor General’s report considered by the Senate Committee on Public Accounts.

It was discovered that NAFDAC ignored the recommendation of the supervising consultants that two 500KVA generators should be supplied and purchased 1,000 KVA ‘Tokunbo’ Caterpillar generator instead.

The Acting Chairman of the Committee, Senator Suleiman Hadejia, who expressed dissatisfaction with the development called for the prosecution of the contractor involved by the Independent Corrupt Practices Commission (ICPC).

Reacting to the query, the Director General of NAFDAC, Professor Mojisola Adeyeye, said no action was taken on the matter until she started her tenure as DG of the Agency, adding that the contractor has been blacklisted by the agency.

She said that the ICPC is currently handling the matter but was unable to establish whether the contractor has been prosecuted by the Anti-graft agency.

The committee, however, vacated the query but urged the agency to ensure that the contractor is prosecuted.

The query reads: “A company was awarded the contract to supply a 1000KVA Caterpillar generator at NAFDAC Isolo office complex at the cost of N97, 096,841.00 (Ninety-seven million, ninety-six thousand, eight hundred and forty-one naira).

“The physical verification of the item revealed the following: (i) (ii) (iii) The contract was awarded and executed against the recommendation of the supervising consultants that 2 (two) 500KVA Generators should be supplied instead.

“The capacity of the 1000KVA Generator supplied, is more than the requirement of the entire Isolo office complex. The generator functioned for only 4 (four) months and packed up and for over one year, at the time of audit visit, management of NAFDAC had not taken any step to seek for a replacement under the warranty.

“The Director-General was therefore asked to take urgent steps to recoup the amount invested in this project or cause the contractors to replace the equipment with the appropriate recommended generator that will match the capacity of the building and equipment at the Isolo Office complex.

“Responding, the Director-General explained that the contractor had been requested to immediately replace the generator with a new one since it was discovered that the 1000 KVA generator set supplied was not a brand new caterpillar generator.

“She attached a letter dated 3rd April, 2016 which was acknowledged by the contractor on 3rd May 2016. In the letter, the contractor was asked to replace the generator on or before 17th May, 2016 failing which the Agency will take necessary action to ensure it receives value for money for the 1000 KVA generator it paid for.

“However, over 18 months after the letter was delivered to the contractor, NAFDAC had not taken further action on the matter.

“The Director-General of NAFDAC was asked to as a matter of urgency, refer this matter to the EFCC for recovery of the amount paid and prosecution of the contractor, who should also be blacklisted from all future dealings with NAFDAC, as required by Financial Regulation 3105. My position on the Director-General’s response was communicated to her,” the committee said.

Courtesy Daily Independent