The National Assembly has summoned the Managing Director of the Ministry of Finance Incorporated (MOFI) over alleged procurement infractions in the award of railway modernisation contracts valued at about $3 billion.
The summon followed concerns raised by the Joint Committee on Land Transportation during a session on Tuesday, where lawmakers queried the role played by MOFI in handling major rail projects across Lagos, Kaduna and Kano without the involvement of the Federal Ministry of Transportation.
Chairman of the Senate Committee, Senator Adamu Aliero, said the panel uncovered what it described as serious irregularities in the contract awards, particularly the exclusion of the ministry statutorily responsible for railway development through the Nigerian Railway Corporation.
Aliero expressed concern that MOFI, which is not a technical agency, handled contracts of such magnitude, questioning its capacity to oversee complex railway infrastructure projects.
“We find it bizarre and disturbing that contracts of such magnitude were awarded by the Ministry of Finance Incorporated, an institution that does not have the engineers or technical professionals required to handle the technical aspects of railway construction,” he said.
The committee subsequently resolved that the session could not proceed in the absence of officials from the Ministry of Finance and MOFI, insisting that both agencies must appear to provide detailed explanations.
Lawmakers demanded full disclosure of the procurement process, including funding sources, project timelines, and the criteria used in awarding the contracts.
They also requested documents on project designs, supervising authorities, Environmental Impact Assessments, and plans for compensation and resettlement of communities that may be affected by the rail projects.
Aliero further questioned how bids and approvals were processed without the participation of the Federal Ministry of Transportation, describing the development as a serious breach of due process.
“As representatives of the Nigerian people, we have a constitutional responsibility to ensure that public funds are spent prudently and that Nigerians get value for money,” he added.
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The committee stressed that contracts worth billions of dollars must follow established procedures and involve relevant supervising ministries, warning that all agencies involved would be held accountable.
The hearing was adjourned, with officials present excused and directed to return alongside representatives of the Ministry of Finance and MOFI at a later date to address the issues raised.
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