Contract scams worth N450 million is rocking Osun and Ogun Rivers development authorities. The Senate discovered in its findings how officials of Ogun and Osun Rivers Basin development authorities inflated the construction of water dams, overhead tanks totalling about N450 million. The Senate through its Senator Matthew Urhoghide, led Senate Committee on Public Accounts has ordered the organisation to as a matter of urgency, refund the said amount. The locations of the overpaid projects are Agbado- Isoye Ogun state, Egbado South Local government, Ajinipa in Orire local government, Oyo state, Igan Alade Igua, Yewa North Local government, Panseke in Abeokuta, Asa in Suru-lere local government in Oyo state and many more .
When the Agency represented by an Official appeared before the Senate Committee on Public Accounts. it was unable to justify allegations of over payment raised against Ogun / Osun Rivers Basin in the 2016 Report of Auditor General’s of the Federation. Members of the Committee were not happy with what they described as consistent overpayment to the contractors by the agency as the officials of Rivers Basin failed to give convince explanation to issue of overpayment in the various contracts being handled. For instance in the construction of Asa Dam about N58 million was overpaid to the contractor which the Committee ordered refund. On the construction of mini–water scheme at Ajinapa, Orire local government in Oyo state N187 million was over paid to the contractor.
On the construction of the construction of mini-water supply scheme at Ipetu–Ijesha, Osun State, a total sum of N37 million was paid for the contingency, compensation, purchase hilux vehicles that was not cited on ground. In addition, N110 million was over paid for the contract of Agbado- Isoye Ogun state The Committee also observed that Toyota Hilux vehicles were purchased and provided for by the contractors, but part of the money was collected for the contracts by the contractors and in addition contingency fee was paid for all contacts which put question to the authenticity of the payments made by the agency.
