President Umaru Musa Yar'Adua has directed the Ministry of Justice not to approve any federal contract agreement which does not have an indemnity clause to refund to the government any amount spent if the contractor fails to fulfil his or her contractual obligations.
This is one of the ways the government is pursuing its quest to halt the problem of contractors collecting mobilisation fees and absconding without executing jobs according to signed agreements.
Government, a source told The Guardian yesterday, wants to end the abandoned projects syndrome and the collection of mobilisation fees without execution as a way of siphoning funds from government's coffers.
Under the new policy, any contractor that collects mobilisation fees and fails to execute the contract would be prosecuted for the recovery of the fund paid.
The source stated that Yar'Adua was shocked that until now, government contracts have no indemnity clause, which protects funds paid to contractors.
The president is cracking down on a major source of corruption within the country. Many government officials and contractors were receiving government money for various projects, but then never completing the task that they were paid to do. This is one of the more creative ways that people have been stealing money from their government. When Yar'Adua found out about this embezzlement scheme, he was outraged. It is now government policy to prosecute anyone who is allotted government money for a project and does not complete it. This is an example of how the Nigerian government is cracking down on corruption within the country.
Grade this Post
No comments:
Post a Comment