Politics
Suspicious fronts, procurement breaches taint Ebonyi’s Billion-Nair
This ICIR investigation uncovers troubling irregularities in Ebonyi State’s 2024 contract awards for the construction of 12‑classroom storey buildings in secondary schools across the state. It exposes both the absence of competitive bidding and the use of ‘front companies’ to secure contracts.
By Olanrewaju Oyedeji
In 2024, the Ebonyi State Government awarded billions of naira worth of contracts for the construction of 12-classroom storey buildings in secondary schools across the state. The contracts, according to details on the state Open Contracting Portal, numbered 35, with each awarded at the cost of N172 million, totalling N6.020 billion.
This came after the state budget and fiscal documents revealed that, in the same year, the government, through the Ministry of Primary and Secondary Education, spent N1.8 billion on a 39-classroom project for three schools in each local government area.
Just like the primary schools, findings reveal that many of the contracts for the secondary schools were awarded in three schools per local government. Available data on the state OCDS portal revealed that the contracts awarded for secondary school construction marked the first time since 2020 that the state had undertaken mass contract awards targeting secondary schools.
However, this investigation raises red flags over the absence of a competitive process in contract awards and the use of ‘front companies’ by winning bidders, which puts the transparency of the contractual process and eventual execution into question.
It traced some of the beneficiary companies to politically exposed persons, including individuals within Governor Francis Nwifuru’s current administration, raising further concerns about accountability and the neutrality of the award process.
The benefiting companies
Checks on the Open Contracting Portal show that the Ebonyi State Government awarded contracts for the construction of 35 twelve-classroom storeys to different companies. This investigation scrutinised 10 of those firms.
The companies are Global Today Engineering Services Limited, which was awarded the contract for the construction of a 12-classroom storey building in Ishiagu High School of Ivo local government area; Senior Kendo Ventures which was awarded a contract for the construction of 12-classroom storey building in Community Secondary School Ndiuruku, Abakaliki LGA; Integrated Simap, awarded a contract to build a 12-classroom storey at the Government Secondary School, Okposi, Ohaozara LGA; HC Carters Ventures, awarded for the construction of 12-classroom storey buildings in the Community Secondary School Ojiegbe Nkaliki, Ebonyi LGA and GroundFox Design and Construction Nigeria Limited, awarded a contract for the construction of a 12-classroom storey building in Community Secondary School, Nwofe Agbaja, Izzi LGA.
Others are BMG Space Solution Limited for the construction of a 12-classroom storey at Community Secondary School Enyigwe Ezza Inyime, in Izzi LGA, Limited, Esonas Investment awarded to build a school at Akpe Amachi, Abakaliki LGA, Gorrion Engineering, awarded for the construction a 12-classroom storey building at Community Secondary School in Izzo, Ezza North LGA and Onye-Andrew Project Limited for the construction of a school at Kpakpaji High, Ezzama, while Uzochukwu Top Class Limited, awarded for the construction of the Community Secondary School Ohaoffia Agba, Ishielu LGA.
Suspicious fronts
The Open Contracting Portal of the Ebonyi State Government listed Global Today Engineering Services Limited as the sole bidder and as the winner of the contract for the construction of a 12-classroom storey building at Ishiagu High School, Ishiagu, Ivo LGA, Ebonyi State. The contract was valued at N172 million. Being a sole bidder suggests the process was not subject to open competitive bidding, which prioritises fairness and transparency.
Investigation shows that the company is owned by James Aroh Nweke, who is a Chieftain of the ruling All Progressive Congress (APC), a former Local Government Chairman, and a state Commissioner for Youth Empowerment and Poverty Eradication.
According to details on the OCDS portal, the company occupies two addresses at “No 14 Olisaemeka Street” and “No. 18 Udensi Street,” both in Ebonyi State. When this reporter visited the first address at No 14 Olisaemeka Street, he saw a shop-like space. Upon enquiry about the office of ‘Global Today Engineering,’ a young lady directed him to her boss at a partitioned office. Soon after the reporter introduced himself and enquired about the company, the man’s smile dimmed as he queried how the reporter knew about the existence of the company.
Posing as a researcher compiling names of companies in the state, the reporter told him he had stumbled on the company name. However, after much probing, the man revealed that No 14 Olisaemeka Street was not the office of Global Today Engineering but rather a contact place used as a front.
“I know him; this place is my own office, but if you have anything for him, we will deliver it to him. I know him, he is my friend, we are surprised that the existence of the company is known, that’s why I questioned you when you came in,” the man insisted.
For a company that won a N172 million contract for school construction and another N400 million for the construction of a two-kilometre road in Ivo LGA, one would expect the company to naturally want visibility.
An attempt by this reporter to trace the second address listed as No. 18 Udensi Street also ended in opacity, as the location contained abandoned old shops. Residents opposite the building noted that the building housing the street number was not in use.
Information from the Ebonyi State OCDS portal listed the office of Senior Kendo Ventures, another sole bidder for a N172 million contract at No. 2, Ziks Avenue. The company won the contract to construct a 12-classroom storey building at Community Secondary School, Ndiuruku Amagu, Abakaliki LGA.
This reporter traced Ziks Avenue, following directions from small businesses in the area. When he located the shop, there was confusion when it was suggested that Senior Kendo Ventures sold mattresses.
He found only mattresses with no trace of construction equipment. This is contrary to the provisions of the Ebonyi State Open Contracting law, which places a premium on the professional and technical capacity of companies that win a contract from the government. A man found at the shop confirmed that Senior Kendo Ventures only deals in mattresses.
Like the first two companies, this reporter found that Integrated Simap, another company which also won a contract worth N172 million to build a 12-classroom storey building at Government Secondary School, Okposi, Ohaozara LGA, had a fake address. The company’s address listed on the OCDS portal as ‘Number 18, Ikenga Street, Abakaliki,’ happened to be a residential building.
The only business seen on the address was a shop that sells provisions, snacks and sweets. When enquiries were made about the presence of a company, residents noted that the building was residential and that they had no knowledge of any construction company in the area.
This reporter also traced the address of GroundFox Design and Construction Nigeria Limited, which was listed on the OCDS platform as ‘No 1, Ejiofor Ernest Street, Ugwachara’, Ebonyi LGA. The company had equally won a contract for the construction of a 12-classroom storey building in Community Secondary School, Nwofe Agbaja, Izzi LGA.
The company, registered with the CAC on September 29, 2023, was awarded a contract for the construction of a school in February 2024, barely five months after registering with the CAC.
When this reporter visited Ugwachara, Ejiofor Ernest Street could not be located. Residents and motorcyclists denied knowledge of the street, making it impossible to verify the existence of the company address.
This reporter therefore called the contact phone number listed on the OCDS portal as the contact of the company, but the person on the line failed to comment on the inability to locate the company. He also did not affirm the stated address on the portal as the company’s location. Instead, the respondent declined to answer enquiries, failing to provide clarifications on the findings.
Politically exposed persons
Apart from the inability to trace some of the companies that benefited from the multimillion-naira contracts without competitive bidding, this investigation found that some of the companies that were awarded the contracts are linked to politically exposed persons in the state.
For instance, HC Carters Ventures, which was also awarded a N172 million contract as a sole bidder for the construction of 12-classroom storey buildings in the Community Secondary School, Ojiegbe Nkaliki, Ebonyi LGA, is owned by Nwode Chidi Henry, a younger brother of the first lady of Ebonyi State, Mary-Maudlin Nwifuru, based on the Corporate Affairs Commission beneficiary ownership register.
As of the time of this report, Nwode Chidi Henry is a local government chairmanship aspirant for Ikwo Local Government Area in Ebonyi State under the APC.
The government had also awarded a N172 million contract to Onye-Andrew Project Limited as the sole bidder for school construction at Kpakpaji High, Ezzama, Ezza South Local Government Area. Registered with the CAC in October 2023, the company was awarded a contract for school construction in June, 2024, barely nine months after incorporation. However, at the time of the advertisement in February 2024, it was barely six months old.
The address of the company was listed as number ‘24, Udi Street in Ebonyi State’ even though no such company existed on the street at the time this reporter visited.
Interestingly, checks on the CAC beneficiary ownership register listed Odunwa Onyedikachi Andrew, a director of the company. Andrew is also a relative of the sitting Speaker of the Ebonyi State House of Assembly, Moses Ije Odunwa.
He is also listed as a director and owner of Uzochukwu Top Class Limited, which was registered in July 2023 and won the N172 million contract without competitive bidding, according to details on the Ebonyi State open contracting portal. As of March 2024, when the tender for the construction of the Community Secondary School Ohaoffia Agba in Ishielu LGA ended, it was nine months old.
Within the same period, BMG Space Solution Limited also won a N172 million contract to construct a 12-classroom storey at Community Secondary School Enyigwe Ezza Inyime, Izzi LGA. Investigations reveal that the company is owned by Ofoke Rosemary Nwogbaga, who is the Senior Special Assistant to the Ebonyi State governor on Industry, and also the wife of the APC Secretary in Ebonyi State.
The company was listed as the sole bidder and winner for the contract, in violation of the State Contracting law, which emphasised the need for competitive bidding. Its address was listed on the Ebonyi State Open Contracting Portal as “17 Chukwuma Ofoke Street, Abakaliki,” in Ebonyi State.
This reporter visited the location but found that the address houses a school named ‘Liberal Arts and Science Academy.’ Although beneficial ownership checks show the school belongs to the Ofoke family, the existence of BMG Space Solution Limited was not verified during this process. When the organisation’s listed contact was reached, the company official who responded acknowledged that the address is occupied by Liberal Arts and Science Academy but insisted that the space is shared with BMG.
“We are on that address too, if you notice well, the building is big, so the company is on the address for now.” This reporter observed that at the time of the visit, there was signage for the school, but none to show the presence of BMG Space Ventures.
This reporter also found that Nwovu Benneth Alo, a special assistant to the governor, was listed as a director of Esonas Investment Limited, which won a N172 million contract as a sole bidder to build a school at Akpe Amachi, Abakaliki LGA. Checks on the beneficial ownership register show that ‘Nwovu Benneth Alo’ was listed as a director of the company.
Alo is a Special Assistant to the state governor on road maintenance. His appointment was publicly celebrated by Leo Okene Oketa, who is the Special Assistant to Governor Nwifuru on New Media.
During this investigation, while mass contract awards suffered from ‘lack of competitive process’ and other contract anomalies, the state of schools visited raised more questions.
One of the schools listed to benefit from the project is Community Secondary School in Izzo, Ezza North area of Ebonyi State.
Gorrion Engineering was listed as the sole bidder and winner of a N172 million contract to construct a 12-classroom storey building. During a visit to the school, this reporter saw some uncompleted building projects on the site. Because there was no signpost or description, it was not clear if it was the same project awarded by the government.
An alumnus of the school, Chukwudi Peter, who spoke to this reporter, noted that the community school, situated just opposite Ezza North local government secretariat, gives hope to the community.
“This school serves many students, although the current buildings in use are not in good shape, but we are seriously hoping that this project will be completed and not left at a slow pace,” he said.
Another resident who identified himself as Uzochukwu Abraham noted that while the building project was started and yet to be completed, members of the community hope it is completed in good time as the dilapidated state of the school makes learning harder for children.
“Private schools are quite expensive, but these public schools are meant to make access to education better, where the children are learning is an eyesore and dilapidated,” he said.
The company which won the contract, Gorrion Engineering, was contacted through its officially listed contact on the Ebonyi State Open Contracting Portal, but no response was received to enquiries via calls and messages as of the time of filing this report.
What the law says
Relevant provisions of the Ebonyi State Public Procurement (BPP) Law clearly outline strict standards guiding fairness, transparency, technical competence and conflict of interest in the award of public contracts.
On competitive bidding and fairness, Section 21 1(b) notes that: “All public procurements shall be conducted by open competitive bidding,” while Section 21(c) notes that the contracts must be awarded “in a manner which is transparent, timely and equitable, to achieve value for money.” This underscores the legal requirement that contract awards must follow a process that gives all qualified bidders equal opportunity. However, as revealed by this investigation, the state government had awarded contracts to sole bidders in violation of Section 21 of the state procurement law.
To prevent manipulation, the law gives guidelines for technical experience and capacity, with Section 21 (2 from a-e) mandating that bidders meet strict qualification standards. It provides that all bidders shall: “Possess the necessary professional and technical qualifications, financial capability, equipment and other relevant infrastructure, adequate personnel to perform the obligations of the procurement contracts.” This requirement highlights why companies without proven experience or capacity may not qualify for high-value government contracts.
Section 21(12, 13) of the law further places the burden of proof on bidders, stating that:
“The burden of proving fulfilment of the requirement for participation shall lie on the supplier or contractor.” This reinforces that companies must provide verifiable evidence of competence before being considered. This points to a direct violation in the case of a company like Senior Kendo Ventures, which deals in mattresses at its physical address and was yet awarded a contract of N172 million to construct classrooms.
On compliance and financial integrity, Section 21 subsection 2(e) adds that a bidder must: “Have fulfilled all its obligations to pay taxes, pensions and social security contributions,” adding that failure to meet these obligations can lead to disqualification. Award of contracts to companies few months old as of the time of tender and award questions their ability to fulfil these obligations. In these instances, the award of a contract to companies such as Uzochukwu Top Class Limited and HC Carter Limited becomes a violation of the state procurement law.
Taken together, these provisions of the Ebonyi State BPP Law demonstrate that the procurement framework prioritises fairness, transparency, technical competence and accountability. They also explain why newly formed or inexperienced companies, without proven track records or compliance, are unlikely to lawfully secure multi-million naira government contracts, particularly where issues of capacity or conflict of interest arise.
Speaking to the ICIR on procurement-related issues, Awosusi Kehinde, a lawyer who deals with companies, procurement and issues around incorporation of firms, frowned at awarding contracts without competitive processes. He noted that the procurement law stipulates that contracts must be awarded in strict adherence to the principles of competitive bidding.
“Contracts are meant to be well-advertised, bid for in a competitive process before the final award,” he noted.
He also stated that per law, construction companies are required to maintain a verifiable physical address where operational activities are visibly ongoing.
Also speaking, Anthony Adejuwon, Chief Executive Officer of Urban Alert, an accountability and socioeconomic-focused organisation, raised concerns over the award of contracts to infant companies.
“When you award a major contract to infant companies, the issue of capacity and their record in terms of experience and technical capacity to deliver comes to the fore,” he noted.
Ebonyi government reacts
Reacting to the development, Uzoma Betty, the executive Secretary of the Ebonyi State Bureau of Public Procurement, defended the process, explaining that the state had duly advertised the contracts, but in most cases, only a single bidder responded.
In a written response, she said: “The projects for the construction of 12-classroom storey buildings were duly advertised for 30 days in line with the requirements for open competitive bidding under the Ebonyi State Public Procurement and Related Matters Law, 2020.”
“The procurement method adopted for the projects was ‘Open Tendering.” This method offers every interested bidder equal simultaneous information and opportunity to submit bids (Section 29(2)).”
“In these instances, although the tenders were processed through open competitive bidding, only one responsive bid was received for most of the lots. The Bureau proceeded with the evaluation and award of the contract to the sole responsive bidder after confirming that the bid met all technical and financial requirements, as the Law permits the evaluation and award based on the responsive bids received.”
“The process fully complied with the principles of transparency, equality of opportunity, and value for money enshrined in the Law. Where necessary, re-advertisement provisions under Section 35(2)(a) were considered, but the single responsive submission allowed progression in the public interest after due evaluation.”
However, when asked why most of the sole bidders were companies owned by government officials or politically exposed persons, she failed to respond.
She was further asked to provide evidence that the contracts had indeed been advertised, as well as to clarify the conduct of the award process and verification of the companies that won the contracts. Yet again, the Executive Secretary of the Ebonyi State BPP failed to reply.
Several subsequent follow-ups also failed to elicit any additional comments from Uzoma Betty.
