ABSCOND WITH MOBILIZATION FEE AND FACE IMPRISONMENT.… LSHA TELLS CONTRACTORS

Date:

Lagos State House of Assembly has warned any person, company or authority that accesses mobilization fee and absconds or does not carry out the services or works commensurate with the fee paid, commits an offence and is liable on conviction to imprisonment for two years or a fine equivalent to the fee paid or both.

This was disclosed during a day Public Hearing organized by the House Committee on Procurement, to amend the Lagos State Public Procurement Agency Law CAP. L56, Laws of Lagos State, 2015.

Speaker, Rt. Hon. (Dr.) Mudashiru Obasa who was represented by Hon. Sanni Wasiu-Eshinlokun, the Deputy Speaker, in his keynote address noted the importance of procurement, “one of the most essential features of good legislative process is the idea of Public Hearing, this is because it accords the policy makers the opportunity to hear from relevant stakeholders views and protect it in the actual legislation in order to foster public confidence”.

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Hon. Wasiu- Eshinlokun assured that all comments and observations by the Stakeholders’ would be thoroughly looked into.

Hon. Sanai Agunbiade, the Majority Leader expounded the overview of the Bill at great length noting that the amendment is to strengthen the provisions of the law to stand the test of time by substituting technical words with better narrations to quantify the narration of the element of the public procurement law when eventually passed by the Assembly.

Hon. Agunbiade indicated that the Lagos State Public Procurement Agency (Amendment) Bill, 2020 has eighty-two sections and only thirty-eight sections that would be amended.

Amongst other sections amended is Sec. 22(4) (b) which provided that any supplier, contractor or service provider acting jointly under the provisions of the law shall be jointly and severely liable for all obligations, responsibilities and non-performance or improper performance of any contract arising from the provisions of this law.

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 Also, Sec. 36(1) of the amendment law states that “subject to the monetary and prior review benchmark as may be set by the agency, all procurement valued in excess of the sums prescribed by the Agency shall require a bid security in an amount not less than one per cent of the bid price by way of a bid guarantee issued by a reputable bank acceptable to the procuring entity or a bid bond issued by an insurance company acceptable to the Agency.

 He reiterated that all contributions would be considered at the next stage of the amendment process and it would be presented at the floor of the House.

Hon. Rauf Age Sulaiman, Chairman House Committee on Procurement implored the stakeholders to contribute their opinion, observations and comments in respect to the amendment Law, while assuring them that their input would be considered and put into use.

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Stakeholders’ in attendance made contributions and comments concerning the Bill; Town planner, Dayisi Osho, Vice Chairman Oshodi Local Government expressed that there is need to put a time frame on every contracts and services that will be given to contractors depending on the magnitude of such project because this will help to determine when contractors have absconded.

Another contributor, Sogo Osikoya, noted that Local Government is an arm of government not a Ministry, Department and Agency, MDAs and recognition must be given in that regard.

Mr. Adebola Oluwasegun requested the inclusion of members of the legislative arm of the local government in the tender board.

Submissions on the public hearing would be complied as a report and will be presented to the floor of the House for further deliberations.

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