The Senate Public Account Committee has revealed how Officials of Ogun Osun Rivers Basin inflated the construction of water dams and overhead tanks totalling about N450 million.
The startling revelation was made on Tuesday before the SPAC, which is chaired by Senator Mathew Urhogbide.
The locations of the overpaid projects include Agbado-Isoye, Ogun State; Egbado South Local Government, Ogun State; Ajinipa in Orire Local Government, Oyo State; Igan Alade Igua, Yewa North Local Government, Ogun State; Panseke in Abeokuta, Ogun State; and Asa in Surulere Local Government in Oyo State.
The Agency, while appearing before the Senate Committee on Public Account, was unable to justify allegations of over payment raised against Ogun/Osun River Basin in the 2016 Report of the Auditor General of the Federation.
The Committee members were irked by consistent overpayment to contractors by the agency as the officials of the River Basin failed to give convince explanation to issues of overpayment in the various contracts being handled.
For instance in the construction of Asa Dam, about N58 million was overpaid to the contractor, which the Committee ordered refunded.
On the construction of mini-water scheme at Ajinapa, Orire LG in Oyo State, N187 million was overpaid to the contractor.
Also on the construction of the mini-water supply scheme at Ipetu-Ijesha, Osun State, a total N37 million was paid for the contingency, compensation and purchase of Hilux vehicles, all of which could not be confirmed or sighted.
In addition, N110 million was overpaid for the contract of Agbado-Isoye, Ogun State.
The Committee also observed that Toyota Hilux vehicles were purchased and provided for the contractors apart from the money collected for the contracts by the contractors and in addition contingency fee was paid for all contacts, which put question to the authenticity of the payments made by the agency.