Economy

Nigerians Kick Over Outrageous COVID-19 Spendings, FRSC Defends Procurement, Other MDAs Keep Mum

By Aderemi Ojekunle

July 29, 2020

Nigerian citizens on Tuesday demanded an investigation into the outrageous contracts and inflated prices of Personal Protective Equipment awarded by five federal agencies of government.

The demand is in reaction to Dataphte’s story on the management of COVID-19 funds between March and June 2020. The story, titled, “₦35m for Face Mask, ₦15m for Liquid Soap, How 5 Federal MDAs Mismanaged ₦1.69 Billion COVID-19 Fund,” was published by Dataphyte and syndicated across top media platforms in Nigeria, including Premium Times, ICIR, and others.

The story revealed how the Federal Road Safety Commission (FRSC) spent N5,600 on one unit of hand sanitizer (500ml) for a procurement deal worth ₦5.6 million. The NPHCDA spent ₦39.33 million for the supply of face masks (Supply & Delivery of Face Mask for LGA Training participants. Delivery at NSCS, Abuja). The line item did not state the number of face masks bought and the unit cost. A simple calculation showed ₦39.33 million should have taken care of 78,666 people at  ₦500 per face mask.

We Bought Items During Peak Period – FRSC

Meanwhile, the Federal Road Safety Corps said the procurement was awarded in March 2020. The agency said the period saw an “unprecedented rise in prices of personal protective equipment” as a result of an increase in demands for such products, especially sanitisers.

In a reaction sent to Dataphyte on Tuesday, July 28th, 2020, the Assistant Corps Marshal, Corps Public Education Officer at FRSC, Mr. Bisi Kazeem, said the contract met all the legal bidding requirements for the job while the prevailing market price of the product at the time was adequately put into consideration among other relevant legal factors.

“We like to state categorically that the Federal Road Safety Corps is a transparent, prudent and responsible organisation that aligns completely with the anti-corruption stance of the President Muhammad Buhari administration. We like to emphasize that the corps observe due diligence in all its procurement activities. 

“The said procurement was awarded in March 2020 which was a period of an unprecedented rise in prices of personal protective equipment as a result of an increase in demands for such products, especially sanitizers.

“The Corps ensured that the company that was awarded the contract met all the legal bidding requirements for the job while the prevailing market price of the product at the time was adequately put into consideration among other relevant legal factors,” the statement reads in part.

While FRSC reacted, other federal agencies continue to keep mum over the illegality in COVID-19 spending. The National Primary Health Care Development Agency (NPHCDA) spent  ₦1.36 billion and Nigeria Centre for Disease Control (NCDC) spent ₦42.16 million. Others include Nigeria Security and Civil Defence Corps (NSCDC) with ₦170.7 million expenses and the Federal Ministry of Health spent ₦86.63 million.

Nigerians Kick Over Outrageous Spending

On social media, Nigerians urged the government to look into the matter. A user wrote, “That’s why I keep shouting that corruption is embedded not only in politicians as most Nigerians do claim but in everybody”.

“Nigerian Civil Defence Corp spent more on COVID than NCDC. An agency that is totally useless in normal times (sic) and should actually be scrapped to save the police from its dire straits.” 

“I’ve said it before when they probe how COVID-19 funds were used everywhere would scatter,” another user wrote.

“What next after these revelations especially the recently released report by the Office of The Auditor General Of The Federation? Shouldn’t @officialEFCC Wade in to recover the funds to FG??,” another user wrote on Facebook.

₦15m for liquid soap in three months🤣🤣🤣

₦35m for Face Mask, ₦15m for Liquid Soap, How 5 Federal MDAs Mismanaged ₦1.69 Billion COVID19 Fund via @Dataphyte https://t.co/WwZa6iiZhP

— ‘Fisayo Soyombo (@fisayosoyombo) July 28, 2020

Just a gentle reminder that FRSC supposedly bought 500ml handsanitizers at a price of N5600 each for a total of 5.6 million naira.

This was how some of the COVID19 fund was spent.

If the price of simple sanitizers was inflated, imagine other things.

— Aproko Doctor (@aproko_doctor) July 28, 2020

According to the Bureau of Public Procurement guidelines on COVID-19 pandemic, MDAs are to send in completed projects, details of contractors, pricing, and accompanying images for the completed project. This is where the BPP comes in for verification.

Mansur Mamman, a Specialist at the Bureau of Public Procurement, had said all contractors awarded COVID-19 related procurement must fulfil all obligations according to the BPP Act, including price checks. 

Stakeholders and other non-governmental organisations have also decried the manners at which MDAs and Accountant General run the open treasury portal.