For disregarding the authorities of the national lawmakers, the Senate has issued a warrant of arrest against the MD of Julius Berger. He is also to answer questions about abandoned projects and inflated costs.
The Senate has issued a warrant for the arrest of Julius Berger Nigeria Plc’s Managing Director, Dr. Peer Lubasch. This drastic step follows the MD’s failure to attend multiple invitations from the Senate Committee on Works. Senate President Godswill Akpabio made the announcement, citing Dr. Lubasch’s disregard for parliamentary summons.
The Committee’s investigation is centered on ongoing issues with several national projects, including the Odukpani-Itu Highway. Julius Berger faces allegations of abandoning projects and inflating contract costs.
The Odukpani-Itu Highway project, initially awarded for ₦54 billion, has seen its cost balloon to ₦195 billion. Despite the significant increase in cost, Julius Berger has demobilized from the site and refused to accept revised contract terms. The company’s actions have raised serious concerns about the management of public funds.
The Senate Committee on Works had previously invited Dr. Lubasch to provide updates on the use of ₦18 billion allocated for the project. However, Julius Berger’s repeated refusal to attend these hearings has sparked anger among lawmakers.
Senate’s constitutional oversight powers
Under Sections 88 and 89 of the 1999 Constitution, the Senate has the power to oversee the administration of public funds. The Committee on Works is tasked with investigating public sector projects and ensuring contractors adhere to contractual agreements.
Senator Osita Ngwu (PDP, Enugu West) brought the issue to the Senate’s attention, co-sponsored by Senators Asuquo Ekpenyong and Barinada Mpigi. The motion highlighted Julius Berger’s non-compliance and the mismanagement of public resources. The Senate, frustrated by the company’s attitude, decided to invoke its constitutional powers to compel Dr. Lubasch’s attendance.
The decision to issue a warrant of arrest has divided senators. Several lawmakers have voiced their support for immediate action against the company. Senator Orji Uzor Kalu (APC, Abia North) expressed strong backing for the arrest, stressing that the company’s refusal to cooperate undermines the legislative process.
Other senators, including Abdul Ningi (PDP, Bauchi Central) and Joel Onowakpo Thomas (APC, Delta), also called for the immediate enforcement of the arrest. “If the contractor won’t come to us, we must bring him to the table,” Kalu said.
However, some senators have advocated for alternative approaches. Senator Seriake Dickson (PDP, Bayelsa West) suggested that the matter should be handled more diplomatically within the committee. “Let’s ensure due process, but we must prioritize resolving the project issues first,” Dickson argued.
Criticism over abandoned projects
Senator Adams Oshiomhole (APC, Edo North), a former governor, sharply criticized the situation. He expressed frustration with the Senate’s pursuit of Julius Berger, suggesting that the Ministry of Works should share the blame. “It is unfortunate that we are discussing a contractor as if they are more powerful than the Federal Ministry of Works,” Oshiomhole said.
He emphasized the need to hold both the contractor and government officials accountable. “Don’t hire who you cannot fire,” Oshiomhole added, pointing to the role of the Ministry of Works in overseeing project execution.
The Committee on Works continues its investigations into the Odukpani-Itu Highway project, the East-West Road, and other major national infrastructure projects. The Senate expects a comprehensive report detailing the status of these projects, disbursements, and contractor performances.
Experts have raised concerns about the long-term impact of abandoned projects and cost variations on Nigeria’s infrastructure development. “If contractors can inflate project costs without consequences, taxpayers will bear the burden,” said one analyst.
They warn that such unchecked practices could lead to increased government spending on delayed projects, further deepening Nigeria’s infrastructure deficit.
Lubasch’s action raises serious questions about accountability in public project management. Legal experts believe that non-compliance with parliamentary summons could lead to more severe legal consequences.
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