Enugu-based Non-profit organisation, South East Development Initiative has petitioned the Governors of Ebonyi, Enugu and Anambra states to within 21 days commence the probe of multi-million dollars water and electricity contracts awarded to a local firm.
The group in a statement issued by it’s President Engr. Joseph Onwe, Deputy President Barr. Ikem Onwudiwe and Mr Chukwuemeka Okaibe, the secretary noted that the firms; Kings Engineering Company limited and Triax Engineering limited were awarded the rural electricity and water jobs since 1991.
The statement made available to journalists on Thursday in Awka regretted that almost thirty years after the contracts were given to the two companies owned by Chief Arthur Eze the firms abandoned the jobs.
The group told that Governors Dave Umahi(Ebonyi State), Ifeanyi Ugwuanyi (Enugu State) and Chief Willie Obiano, Anambra State that they owe the people the duty to explain what became of the contracts.
“Strangely, there have been two major contracts in recent years to solve the twin infrastructure problems of rural water and electricity supply in Ebonyi, Enugu and Anambra.
“We are referring to the contract awarded in 1991 for rural water supply in old Anambra State, which was financed by the African Development Bank (AfDB) based in Coted’Ivoire.
“The AfDB also financed the huge contract for rural water in many communities in old Anambra State.
“Both contracts were awarded to Kings Engineering Company and Triax Engineering, both located in New Haven, Enugu, and owned by Prince Arthur Eze.
“Eighty percent of the contract sums were to be paid in United States dollars and the remaining 20 per cent in Nigeria’s naira.
“There was also a third contract financed by the AfDB which the old Anambra State Government awarded: the building of an Industrial Development Centre (IDC) in Awka, today the capital of new Anambra State
“The mark up in contracts by international firms like Shell and ExxonMobil is usually 10 per cent, but the profit margin for each of the contracts was 20 per cent. ”
It is, therefore, shocking to realize that the contracts running into millions of dollars were not executed,” the group stated.
The group noted with concern that the three states now bore the burden of repayment of huge amounts being subtracted monthly from its state’s entitlements from the Federation Allocation Account as loans plus interest.
“This deductions will go on for 22 and ½ years since there was an initial moratorium of five years on the loans,” they stated.
The grouped insisted that the unconscionable abuse of the AfDB loans to old Anambra State running into millions of dollars was too grave a matter to be swept under the carpet.
“Consequently, we demand that three of you investigate this economic rape of our people, their children and their children’s children since1991.
“If after 21 days you are unable to start a probe into the heist against the people of Ebonyi, Enugu and Anambra States, we will be compelled to report the matter to the Economic and Financial Crimes Commission (EFCC) as well as President Muhammadu Buhari,”, the group stated.
