The Senate has made a U-turn on its warrant of arrest issued last year against the Managing Director of Julius Berger Nigeria Plc, Dr Peer Lubasch, for persistently refusing to appear before its committee on works.
The resolution of the Senate yesterday was a sequel to a letter of apology from the company read by the President of the Senate, Senator Godswill Akpabio.
The Senate on 12 December 2024, issued the warrant of arrest, saying it was the last option to be adopted because the construction giant was invited thrice to explain project abandonment and alarming contract variation from N54 billion to N195 billion but failed to appear.
The Senate at plenary vacated the warrant of arrest on the strength of a written apology forwarded to it by Julius Berger.
At a separate meeting with the committee on works, led by Senator Barinada Mpigi, the Managing Director of Julius Berger who read the same letter to the hearing of members of the committee, enumerated forex volatility, delay in payment by the federal government and lack of access to right of ways as major encumbrances to the completion of the road project.
According to him, this culminated in mutual termination of the project.
Mpigi recalled that the construction company had in 2003 requested contract variation for the job that was awarded in 2017.
Julius Berger in the letter of apology addressed to the President of the Senate, Godswill Akpabio, through Senator Mpigi, apologized for not honouring invitations sent to it due to leadership transition.
The letter, dated 10 January 2025, by Engr Dr Peer Lubasch as Managing Director and Dr Abdulaziz Isa Kaita, as Director Administration, read: “Your Excellency, the President of the Senate, on behalf of Julius Berger Nigeria Plc (JBN), we extend our respect and commend the Senate President’s leadership and the chairman’s contributions to advancing the welfare of Nigerians.
“We acknowledge receipt of your instructions regarding the investigative hearing on the Odukpani-to-lot Ekpene Road and sincerely apologize for missing the previous meeting due to miscommunication during our leadership transition.
“Our new Managing Director, Engr. Dr. Peer Lubasch has just assumed office and was being briefed on ongoing projects. We assure you of our utmost respect for the National Assembly and our commitment to collaborative governance.
“JBN remains committed to partnering with the National Assembly and Federal Government to deliver projects that benefit Nigerians, address infrastructural challenges, and create jobs.
“We assure you of our attendance at the next committee meeting and look forward to continued collaboration”.
Accepting the apology, senators at the plenary, voted for its acceptance when put to voice votes by the Senate President. JBN’s apology was also accepted by the investigative panel which directed the MD to appear in December.
Senator Mpigi’s committee also collected the written apology from Julius Berger but admonished the construction giant not to allow issues between it and relevant authorities degenerate to the level of projects abandonment and arrest warrant issuance.
In his opening remarks, Senator Mpigi said: “We are aware of your leadership transition but you must meet expectations of Nigerians.
“As you have tendered a formal apology, the President of the Senate ruled in your favour. Your letter of apology shows a positive attitude to respond to our concern.
“Our concern is about efficiency, accountability, transparency in all projects. We want to seize this opportunity to warn other companies that this is just a warning sign. Since 2015, contactors have been mobilized and they have abandoned sites. We are determined to recover tax payers money. No one is above the law. Our aim is not to disrupt progress but to ensure that jobs are done. Nigerians look up to us”.
On his part, former Bayelsa State governor, Senator Seriake Dickson, described Julius Berger as a reputable construction company but cautioned it against indifference towards summon by the National Assembly.
He said: “Your company has a good reputation, don’t let things get out of hands next time. From my days in the House of Representatives, we have been talking about this road. That was over eight years ago. I am surprised that we are still talking about this road.
“You must relate well with chairman of the committee. In your interaction, also share your challenges with him”.
Senator Asuquo Ekpeyong in his submission, said the motion seeking reprimand of the German construction company was “because of the hardship we have suffered for years”.
The MD of Julius Berger in his explanations to the committee, informed it that slow payment of advances on awarded contracts and cost variation, among others, created a misunderstanding between the company and the federal ministry of works .
He said: “JBN has an unquestionable track record of consistency on quality projects execution and delivery in Nigeria since 1965 with over 10,000 workforce now and more than 150, 000 indirect workers”.
