Shocking! See the Amount of Money Rotimi Amaechi Spent on Non-existent Project
The committee probing the administration of the former Rivers State governor, Chibuike Amaechi, has revealed the shocking amount he reportedly spent on a failed project.
Rotimi Ameachi
The Judicial Commission of Inquiry probing the administration of former Governor of Rivers State, Chibuike Amaechi, which continued its sitting on Thursday, September 10, revealed the alleged amount spent on failed projects.
The Permanent Secretary in the Ministry of Health, Sir Somiari Isaac, stated how Amaechi separately spent $30.2million and N3.49billion, totalling an estimated N9.530 billion, for the non-existent Justice Adolphus Karibi-Whyte Hospital.
Isaac told the commission that Amaechi’s administration had partnered Clinotech Diagnostic and Pharmaceutical Services, Inc. Canada to build a 15-storey 1000-bed Justice Adolphus Karibi Whyte Specialist Hospital, in 2008, but apart from an empty space of land at Igwuruta, no foundation was laid.
He said from the records available to him at the ministry, Clinotech appeared to have failed to honour its obligation in the Memorandum of Understanding (MoU) entered into by both parties.
Acording to Thisday, the Perm Sec revealed that the MoU entered into by both parties in 2008 stipulated that while the Rivers State government holds 40 per cent equity, Clinotech would have 60 per cent of the investment in the specialist hospital.
Isaac told the commission that the original cost of the hospital was put at $98million out of which Rivers State paid $30.200million representing 40 per cent of its equity share upfront.
Available records showed that Clinotech did not pay any monies in respect of its 60 per cent shareholding.
The permanent secretary informed the commission that he had checked for both the MoU and the shareholders agreement but did not find them.
Isaac, who said he was until he was redeployed to the ministry of health, a permanent secretary in the ministry of justice, disclosed that Amaechi later contracted the construction of the hospital to Clinotech Turnkey and Management Limited.
He said:, “I found out that the sponsors of Clinotech Turnkey and Management Limited were also the sponsors of Clinotech Diagnostic and Pharmaceutical Services Inc, Canada. So the Rivers State government was again, with the same persons that failed to deliver at the first instance.
“From the response that we got from Clinotech, they claim to have been disappointed by their foreign financiers. Clinotech did not tell us what happened to the $30.200million that was paid to them by the Rivers State government.”
He also stated: “The second instance was a straight forward contract in which the Rivers State government was meant to pay 20 per cent of the total cost of the project which stood at N3.49billion. The Rivers State government awarded the contract at the cost of $150million.”
Isaac also informed the commission that the arrangement also included a clause on build, operate and transfer (BOT).
He added that the Rivers State government was solely the owner of the hospital in the second arrangement with Clinotech Turnkey and Management Limited.
Source -http://www.tori.ng
Rotimi Ameachi
The Judicial Commission of Inquiry probing the administration of former Governor of Rivers State, Chibuike Amaechi, which continued its sitting on Thursday, September 10, revealed the alleged amount spent on failed projects.
The Permanent Secretary in the Ministry of Health, Sir Somiari Isaac, stated how Amaechi separately spent $30.2million and N3.49billion, totalling an estimated N9.530 billion, for the non-existent Justice Adolphus Karibi-Whyte Hospital.
Isaac told the commission that Amaechi’s administration had partnered Clinotech Diagnostic and Pharmaceutical Services, Inc. Canada to build a 15-storey 1000-bed Justice Adolphus Karibi Whyte Specialist Hospital, in 2008, but apart from an empty space of land at Igwuruta, no foundation was laid.
He said from the records available to him at the ministry, Clinotech appeared to have failed to honour its obligation in the Memorandum of Understanding (MoU) entered into by both parties.
Acording to Thisday, the Perm Sec revealed that the MoU entered into by both parties in 2008 stipulated that while the Rivers State government holds 40 per cent equity, Clinotech would have 60 per cent of the investment in the specialist hospital.
Isaac told the commission that the original cost of the hospital was put at $98million out of which Rivers State paid $30.200million representing 40 per cent of its equity share upfront.
Available records showed that Clinotech did not pay any monies in respect of its 60 per cent shareholding.
The permanent secretary informed the commission that he had checked for both the MoU and the shareholders agreement but did not find them.
Isaac, who said he was until he was redeployed to the ministry of health, a permanent secretary in the ministry of justice, disclosed that Amaechi later contracted the construction of the hospital to Clinotech Turnkey and Management Limited.
He said:, “I found out that the sponsors of Clinotech Turnkey and Management Limited were also the sponsors of Clinotech Diagnostic and Pharmaceutical Services Inc, Canada. So the Rivers State government was again, with the same persons that failed to deliver at the first instance.
“From the response that we got from Clinotech, they claim to have been disappointed by their foreign financiers. Clinotech did not tell us what happened to the $30.200million that was paid to them by the Rivers State government.”
He also stated: “The second instance was a straight forward contract in which the Rivers State government was meant to pay 20 per cent of the total cost of the project which stood at N3.49billion. The Rivers State government awarded the contract at the cost of $150million.”
Isaac also informed the commission that the arrangement also included a clause on build, operate and transfer (BOT).
He added that the Rivers State government was solely the owner of the hospital in the second arrangement with Clinotech Turnkey and Management Limited.
Source -http://www.tori.ng
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