Matawalle Faces Accusations: Zamfara Government Alleges N1 Billion Squandered on Abandoned Hotel Service Center

Infostride News has obtained documents from the Zamfara State government that shed light on the alleged misappropriation of over N1 billion by the immediate past governor of the state, Bello Matawalle, on an abandoned hotel service center in Gusau, the state’s capital.

This revelation comes from a statement issued in Gusau on Wednesday by Sulaiman Bala, the Special Assistant on Media and Publicity to the current Zamfara governor. According to the statement, the former governor, who is now the State Minister for Defence, made a payment of N1,011,801,545.79 to 180 Circle Construction & Engineering Ltd. for the construction of Gusau Motel, a project that was never completed.

The Zamfara State government further alleges that Bello Matawalle overpaid the contractor by the sum of N667,713,161.64. In the interest of transparency, the government has decided to expose what it deems as shady projects initiated by the past administration with the intention of misusing state funds.

According to the statement, on July 16th, 2020, the previous administration awarded a contract to 180 Circle Engineering Construction and Engineering Ltd. to construct a catering and hotel service center (Gusau Motel) in Gusau, with a total contract cost of N1,149,288,084.25. Bello Matawalle approved the payment of mobilization fees to the firm on August 7th, 2020, in the amount of N344,786,425.27. However, the contractor disappeared after receiving the payment and did not perform on-site work for a year, a move deemed as a gross violation of financial regulations.

After a year, the contractor returned to the site but was instructed by the Ministry of Works to provide a written commitment not to repeat such behavior. The statement criticizes this as indicative of the leadership prevalent in the previous government.

The breakdown of payments and dates of disbursements are as follows: On July 6, 2021, Bello Matawalle released N100,420,259.62 to 180 Circle Engineering Construction and Engineering Ltd. On August 27, 2021, the construction firm received N257,060,936.72. On the same day, the Ministry of Finance paid N185,250,000.00 to the contractor. Additionally, on March 24, 2022, the Ministry of Finance released N20,000,000.00 to 180 Circle Engineering Construction and Engineering Ltd., totaling N1,011,801,545.79.

Despite the disbursement of these funds, construction of the various components of the project, including the multi-purpose hall, restaurant, laundry, badminton court, swimming pool, estate roads, soft and rugged landscape, external electrification, water reticulation, and perimeter fence, has not yet commenced. The statement emphasizes that N1,011,801,545.79 was certified and paid as per Ministry of Works and Transport valuation certificates, representing 93% of the total contract sum.

The government expresses concern over the overpayment of N667,713,161.64 to the contractor by Bello Matawalle, who subsequently abandoned the project. The work done on-site, as presented in pictures, has been valued at N344,088,384.15, representing 29.94% of the total progress.

The statement concludes by asserting that letting financial misconduct go unpunished goes against the principles of the government’s Rescue Mission and the trust placed in them by the people of Zamfara State. The government is committed to uncovering any actions that have breached the people’s trust and holding those responsible accountable, emphasizing that they are on a rescue mission.

In this report by Infostride News, the Zamfara State government’s detailed account of the alleged misappropriation of funds provides a comprehensive overview of the situation, highlighting the financial discrepancies and the lack of progress on the Gusau Motel project. The government’s commitment to transparency and accountability is evident, as they aim to address and rectify what they perceive as a breach of trust by the previous administration.