Leadership (Abuja)
George Agba
22 July 2008
Chief Olusegun Obasanjo awarded over N37 billion contract for the construction of healthcare centres in 774 local government areas of the federation without following "due process and rule of law", Attorney General of the Federation (AGF) and Minister of Justice, Chief Michael Aondoaka (SAN), told an Abuja Federal High Court yesterday.
Aondoakaa, who appeared in court personally yesterday, made the position of the Federal Government known at the commencement of proceedings in the case instituted by the project contractor, Mathan Nigeria Ltd, to challenge the revocation of the contract.
According to him, the project was revoked by President Yar'Adua since it was an illegal child of Obasanjo who awarded it "erroneously" to Mathan Nigeria Limited.
He said, "The past administration awarded the contract in error, and due process was not followed in the award. Primary health care is not in the exclusive or concurrent list and it is not the duty of the Federal Government to award contract bordering on the construction of health centres. It is the residual power of the states and the local governments and the Federal Government cannot force them on how to use their money.
"This government is rooted on the rule of law, and if we see any action in the contrary we shall not hesitate to stop it.''
He noted that the conditions attached to the payment for the contract by deducting from the federation account was unconstitutional.
Mathan, however, opposed the government's position, saying it was misinformed because the contract was awarded to the company by Association of Local Governments of Nigeria (ALGON) and not the Obasanjo Administration.
The comprehensive health centres, which were to be built in each of the 774 Local Government Councils was to be contractor-financed while Mathan was to be paid by direct deduction from the monthly allocation due to the local councils.
Mathan is challenging the Federal Government before the court for revoking the contract in December last year.
In a preliminary objection he filed challenging the suit, the AGF contended that Mathan has no right to sue the government for taking action against acts that "violate the constitution."
He said, "There is no provision in the constitution for Federal Government to award contract for local governments. Local governments belong to states and their money belongs to state and local governments.
"And when this contract was awarded, we felt it was an affront on the constitution and we terminated it on the basis that it violated the constitution. We have come to court for it to determine whether somebody can drag the government to court for taking action against an act that violates the constitution.
"The president believes that the money belongs to the local and state governments and they are supposed to use the money the way they like. And it was not proper for the Federal Government to award contract for primary healthcare. Primary healthcare is not in the exclusive and concurrent lists and there was no basis for the local governments to go and award contract and order us to deduct money from the federation account. And you know that the deduction of money from the federation account in the opinion of the president is unlawful."
Opposing the preliminary objection, counsel to the plaintiff, Adegboyega Awomolo (SAN), said it was designed to undermine the course of justice, adding that the issue of preliminary objection was distinctly submitted to the court by the AGF and it was decided that it cannot challenge the jurisdiction of the court.
He said it was clear that the Federal Executive Council was misinformed, and that the contract was not awarded by the Federal Government but it was awarded to Mathan by ALGON.
And ALGON, he said, was the agent representative and legal authority of all the 774 local governments. "So it was not the issue of Federal Government. Federal Government involvement was merely to ensure that the contractors met the standard, that the contractors fulfilled their obligation and that they are paid," he said.
He argued that there was no sense in revisiting what has been decided "except the AGF is telling us that the lawyers who had represented him earlier in court did not have his authority."
After entertaining the submissions of counsel to both parties, the trial judge, Justice Mohammed Umar, consequently adjourned the case to Thursday, July 24, 2008 for hearing.
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Chief Michael Aondoaka( I am looking for a pronounciation machine to tutor me on how to pronounce this strange tongue-twister) has done at least one good thing for the world to witness. I hope that he has weaned himself clear of those super dangerous mafia type hyper thieves called Ibori and Igbinendion and co. Yrs PKO(Prof-Math-Miami)