A few weeks after the Michael Okpara University of Agriculture, Umudike (MOUAU) was embroiled in an employment crisis, another controversy over the award of contracts worth N500 million without due process is now rocking the institution.
At the centre of the latest allegations are the Pro-Chancellor, Comrade Fidelis Edeh, and the new Vice-Chancellor, Prof. Ursula Ngozi Akanwa, who have been accused of bypassing established procedures in the award of contracts, including allegedly securing an illegal N500 million loan through the MOUAU Microfinance Bank.
An independent investigation spanning several weeks showed that the alleged attempt to perfect the process may have contributed to the suspension of the Registrar, Dr. Nkiruka Mbanasor, and the Bursar, Mr. Ugochukwu Ironkwe.
Statutorily, the Registrar is responsible for signing contracts on behalf of the University. However, in this instance, a kinsman of the Pro-Chancellor, Felix Nnaemeka Nwoye, a Senior Assistant Registrar on Grade Level 11, was said to have signed the contracts.
It was further gathered that Mr. Nwoye is being strategically positioned to sign contracts, as the responsibility has allegedly been taken away from the Registrar under an arrangement described as alien to university administration.
The contracts reportedly involve the renovation of the Vice-Chancellor’s office, construction of Gate 5, including the repainting of walls, and the reconstruction of the IBB Students’ Hostel.
Stakeholders are said to be incensed that both the Pro-Chancellor and the Vice-Chancellor allegedly authorised the Managing Director of the institution’s Microfinance Bank, Mr. Bashir Ogungbangbe, to secure N500 million from a commercial bank, which was reportedly handed over to a contractor nominated by Edeh without following due process.
To make matters worse, expected students’ fees were reportedly used as collateral for the loan, raising concerns that students already burdened by the prevailing economic hardship could face increased charges for hostel accommodation and tuition when the school resumes later this month.
Interestingly, a bank with a share capital of N200 million, which, under CBN regulations, is reportedly not supposed to approve a loan beyond N10 million, was allegedly made to secure a N500 million facility, thereby putting depositors’ funds at risk.
Apart from allegedly breaching extant contract laws, the contractor has reportedly failed to erect signposts identifying the persons or organisations responsible for the projects.
A senior personnel in the Works Department told our reporter that the issues surrounding the N500 million contracts remain shrouded in mystery.
“To the best of my knowledge, none of these three projects passed through UPPC or UTB. I am also informed that just a few days ago, the Acting DPP raised the alarm about this to the Vice-Chancellor, complaining about the exclusion of the department from the deal,” the source, who craved anonymity, disclosed.
