Agency kicks as contactor bemoans alleged corruption in DESOPADEC

A contractor with the Delta State Oil Producing Areas Development Commission, (DESOPADEC) has decried the level of sharp practices in the Commission, saying the intervention agency has become a “cash cow” of the Delta State Government.

The contractor, Dr Ishaq Osagie-Eweka, in a statement issued in Benin on Sunday, lamented that in spite of the huge sums of money available to the Commission, the agency allegedly failed to pay contractors for the various projects executed for the Commission even when certificates of job completion were issued to them.

Osagie-Eweka also frowned at the practice of collection of outrageous 20 percent of contract sum under the disguise of Assurance/Equity fee.

He further stated that the essence of setting up the Commission had been defeated as it is now used by public officials to siphon money.

The contractor submitted that all these were some of the reasons why the Commission’s office in Warri was picketed by contractors a week ago.

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“The constitutional provision for distribution of 13 % derivation to states that host natural resources is sacrosanct as dictated in the proviso to Section 162 (2) of the 1999 Constitution as amended.

“However, it has become public knowledge that some Chief Executives of the various state with Natural resources that largely contributes to Nigeria’s Revenue generation divert and misappropriate the 13 % derivation accruable
to their states as host communities.

“Take for instance, the DESOPADEC; The data obtained from the National Bureau of Statistics (NBS) shows that in 2021, Delta State received 141.93 Billion Naira from the 13 % oil derivation Federation accounts; being the highest amongst the oil producing states in Nigeria.

“Contracts awarded to contractors in 2021 have not been paid 13 months after the projects have been completed.

“Officials of the DESOPADEC award contracts to Contractors by collecting Assurance/equity fee of 20 % from unsuspecting contractors which runs
contrary to the laws guiding contract award in Delta State and Nigeria.

“To cap it all, the commission doesn’t pay contractors on completion of the projects, even with certificates of completion,” he lamented.

But reacting to the allegations, a top management of DESOPADEC, who spoke on the condition of anonymity, denied any infraction on the part of the Commission.

“There is nothing like sharp practices in DESOPADEC. We run one of the most transparent administration here. That a few contractors have not been paid does not translate to owing. The Commission pays once a job is certified and it amounts to cheap blackmail to say we are owing,” the source stressed.