Nigeria: Zamfara Govt Accuses Matawalle of Wasting Billion On Abandoned Hotel Project

9 November 2023

The Zamfara government says Mr Matawalle approved over 90% of contract sum but the contractor failed to deliver.

The Zamfara State Government has released documents allegedly showing how the immediate past governor of the state, Bello Matawalle, illegally paid over a billion naira to a contractor awarded a hotel project.

The state government accused Mr Matawalle, who is the current minister of state for defence of misappropriating 1,011,801,545.79 billion Naira under the guise of constructing a catering and hotel services centre (Gusau Motel) in the State capital.

In a statement issued in Gusau on Wednesday, Sulaiman Bala Idris, the spokesperson to Governor Dauda Lawal, called on Mr Matawalle to explain the payment of 93 per cent of approved contract cost to 180 Circle Engineering Construction and Engineering Ltd for a project of 1,149,288,084.25 billion Naira whose execution level he said is less than 30 per cent.

According to him, the state government opted to publicly reveal aspects of the financial recklessness of the last administration in the state in order to promote transparency and accountability and discourage financial banditry among public officials.

Mr Mattawale could not be reached for comments. His known mobile telephone number failed to connect. He is also yet to reply to a message sent to him.

The statement read in parts: "In the interest of transparency, the Zamfara State Government deems it a responsibility to expose the numerous shady projects initiated by the immediate past administration of Bello Matawalle with the intention of misusing State funds.

"On July 16th, 2020, the previous administration of Bello Matawalle awarded a contract to 180 Circle Engineering Construction and Engineering LTD. The contract was to construct a catering and hotel service centre (Gusau Motel) in Gusau. The total cost of the contract was N1,149,288,084.25.

"On August 7th, 2020, Bello Matawalle approved the payment of mobilisation fees to the firm. The amount approved was N344,786,425.27. However, the contractor disappeared after receiving the payment and did not perform on-site work for a year. This action by Bello Matawalle was a gross violation of financial regulations.

"After a year, the contractor returned to the site but was instructed by the Ministry of Works to provide a written commitment not to repeat such behaviour. This incident indicates the type of leadership prevalent in a government like Matawalle's.

"For the record, the public should take note of the following payments with the dates of disbursements: On the 06 of July 2021, Bello Matawalle released the sum of N100,420,259.62 to 180 Circle Engineering Construction and Engineering LTD. On 27 August 2021, the construction firm received N257,060,936.72. On the 27th of August 2021, the Ministry of Finance paid N185,250,000.00 to the contractor.

"Furthermore, on the 24th of March 2022, the Ministry of Finance released the sum of N20,000,000.00 to 180 Circle Engineering Construction and Engineering LTD, totalling 1,011,801,545.79 billion Naira.

"Despite the illegal disbursement of the above funds to the contractor, construction of the multi-purpose hall, restaurant, laundry, badminton court, swimming pool, estate roads, soft and rugged landscape, external electrification, water reticulation, and perimeter fence has not yet commenced.

"N1,011,801,545.79 was certified and paid as per Ministry of Works and Transport valuation certificates, representing 93% of the total contract sum.

"It is worrisome to note that the contractor was overpaid the sum of 667,713,161.64 million Naira by Bello Matawalle and subsequently abandoned the project. The work done on-site, as presented in pictures, has been valued at N344,088,384.15, which represents 29.94% of the total progress.

"It goes against the principles of our government's Rescue Mission and the trust placed in us by the people of Zamfara State to let financial misconduct go unpunished. We are committed to uncovering any actions that have breached the people's trust and holding those responsible accountable. We are on a rescue mission!"

More Pictures:

Abandoned hotel project

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