The contractor handling the construction of School of Education project at Oyo State College of Education, has said that the college breached a court agreement entered by the two parties.
The contractor made this disclosure on Wednesday while reacting to Oyo State House of Assembly’s summon.
BBNAIJA ONLINE” recalls that the Oyo State House of Assembly had on Tuesday accused the contractor, FIAT International Limited, of abandoning some projects in the institution.
The lawmakers during the plenary presided by Speaker of the Assembly, Adebo Ogundoyin summoned the contactor to appear before it in order to answer some questions.
The contractor has, however, said that it did not abandon the projects.
In a statement made available to BBNAIJA ONLINE” on Wednesday by Engineer Olabode Akindeji-Oladeji, the contractor insisted that it was the College that failed to live up to the judgment agreement on the project.
Akindeji-Oladeji, who said that the contractor was ready to appear before the legislators, explained further that the college is yet to fulfill its own part of the agreement.
Akindeji-Oladeji said, “The contract for the construction of the school of education and central library was awarded as a contractor finance arrangement on August 10, 2006 for a 26 weeks duration with payments to be made in a minimum monthly payment of N15million until final and effective liquidation and full total and final payment of contract sum of N100million within a maximum of eight months.
“The contract required the contractor to part-finance the works, and for which we immediately took a loan of N20million to proceed with the works.
“By October 2007, we were at a completion level of 80% while the College had paid 70% of the contract sum. As typical with project situation in Nigeria, prices of goods had escalated after a year, and we requested for a variation of cost, but our request was tactfully ignored. Nevertheless, we continued work on the project site and by January 2008, we had achieved 90% work completion.
“The negotiated amount which was based on 2018 prices amounted to N41,717,174.10 being labour and material cost needed for the completion of the school of education complex and central library and N8,535,463.93 being financial charges on the loan facility taken for the works. The agreement was entered as a consent judgment on March 23rd, 2020.
“Having communicated our detailed explanation as requested in their letter dated July 08, 2021 and which we received on July 26, 2021, and for which we’re yet to receive any response from the College, it pre-supposes that the only interest of the College is to strangulate us to complete the project at a colossal loss while making our company indebted to our financiers, irrespective of whose ox is gored.
“It is trite that ‘he who wants equity must come with clean hands’, and in the interest to bring equity to the project at Lanlate, we have waived our rights to any profit from the project, but cannot wish losses on ourselves. We are stakeholders primarily in Oyo State and Nigeria as a whole, we cannot abscond or abandon any project.”