Reps summon NAOC MD, others over breach of contract


4TH - Agip

For an alleged breach of contract with an indigenous remediation company, the House of Representatives has given the management of Nigeria Agip Oil Company Ltd (NAOC), 13 days to appear before it.

The House in its summon said that the Managing Director, Director Procurement as well as Director Legal in addition to six other employees of the company should make physical appearance before the Committee on the said date.

The Hon. Uzoma Nkem-Abonta-led Public Petition Committee was displeased that the absence of NAOC’s MD and the other officials was stalling its investigation into the alleged of contract with an indigenous waste management company that petitioned the House.

In a letter dated 15th November, 2017 and addressed to the NAOC’s MD, the Committee expressed its dissatisfaction with the non-appearance of the key officials at the last Tuesday meeting, warning that without the appearance of the MD and his management team, the investigation would remain unresolved.

The Committee therefore directed the physical appearance of the affected officials of the company to give evidence in the alleged breach of 20,000 metric tons waste management contract.

According to an indigenous waste company, Agip had in 2006 commissioned it to provide treatment service for 20,000 metric tons of sludge at its Brass site at a rate of $230per ton.

However, it was alleged by the indigenous company that with a change of management and after 5,250 metric tons of sludge have been treated, Agip decided to renege on the initial contract agreement.

The petitioner is demanding the House to prevail on Agip to pay it $30m adjudged by a court for breach of contract and unpaid balance due already incinerated waste.

Similarly, the House is also considering the next legislative action against construction company, Julius Berger Plc.

The House had considered and adopted a Public Petition Committee report on a petition against the construction company for a debt of N422m it owed a micro finance bank.