Umahi threatens to handover contractors to EFCC over non-performance

The Minister of Works, David Umahi, has threatened to report contractors handling road projects under the Nigerian National Petroleum Company Limited (NNPCL) tax credit scheme to the Economic and Financial Crimes Commission (EFCC) over non-performance.

Umahi also warned that contractors who fail to return to site by October 13, 2026, risk having their projects de-scoped, their bank guarantees called and funds recovered from the financial institutions that issued the guarantees.

The warning was contained in an urgent notice issued by the Federal Ministry of Works to contractors handling projects under the NNPCL tax credit arrangement.

The ministry gave the contractors seven days, effective October 6, to remobilise to site and complete the first phase of their respective projects.

“ALL CONTRACTORS, Stakeholders and all Financial Institutions that issued APG for the projects, are given 7 DAYS to effectively re-mobilize to Site and complete Phase 1,” the notice stated.

It further warned that contractors still holding government funds without fulfilling their contractual obligations would face sanctions.

“Any Contractor still holding Federal Government money will be blacklisted and have his APG called, while being reported to EFCC, ICPC,” the ministry said.

The notice added that any contractor who failed to return to site by October 13 would have the project de-scoped in line with Clause 53 of the contract, with funds recovered from the financial institution that issued the advance payment guarantee (APG).

“Going forward, after Tuesday, 13th October, 2026, any Contractor who is not back on Site will have the project de-scoped in line with Clause 53 and funds recovered from the Financial Institution that issued the APG,” it stated.

The ministry also directed contractors already executing their projects to approach it from October 6 for discussions on further funding.