Railway construction project in Nigeria was over-paid,ongoing investigative hearing of the House of Representatives has discovered.
Six contractors that are among those who benefited from the over US$5 billion railway rehabilitation and construction contracts are required to refund over US$12.5 to the federal government.
The revelation was made on Wednesday at the ongoing investigative hearing of the House of Representatives which the committee is carrying out investigating on the award and execution of the contracts.
The refunds are as a result of excess payments made by the Nigeria Railway Corporation to the contractor. The committee that is headed by Hon. Ehiozuwa Agbonayinma (Edo PDP) has already had a session with some former Chairmen of the NCC Board and a number of the companies during the investigative hearing that started in October 2015.
CCECC, constructing the Lagos to Jebba rail line, will refund US$3.2 million while Costain West Africa Limited, building Jebba to Kano rail line will refund US$3 million.
Geo Group Asano that is handling communication upgrde and signaling will refund US$1.8million while Eser West Africa that is handling the Port Harcourt-Markurdi rail line will return US$1.7million to government coffers.
CCEGG building the Markurdi-Kano rail line will return US$1.8million as Routing Nigeria Limited is to refund US$1.1 million.
Mr.Rotimi Amaech, the Minister of Transportation revealed that the ministry plans to conduct a forensic audit of the railway sector and all agencies that fall under the ministry.
“I have written to the president to permit the audit,” he told the committee, adding that he may not be able to respond to queries on the contracts and projects as he was not minister at the time they were awarded.
Contacted for a comment, officials from the Auditor General office of the Federation government.
