Why Senate Ordered Arrest Of Julius Berger MD

The Senate has issued a warrant of arrest for the Managing Director of Julius Berger Nigeria Plc, Dr. Peer Lubasch, after repeated failures to appear before its Committee on Works.

The decision, announced by Senate President Godswill Akpabio, follows three ignored invitations from the committee, including one presided over by Akpabio himself. The Senate deemed the MD’s absence a disregard for the parliament and invoked its constitutional powers under Section 89(1)(c) and (d) of the 1999 Constitution to compel his attendance.

The resolution was triggered by a motion presented by Senate Minority Whip, Senator Osita Ngwu (PDP, Enugu West), co-sponsored by Senators Asuquo Ekpenyong (APC, Cross River South) and Barinada Mpigi (PDP, Rivers South East).

Abandoned Projects and Cost Variations:

Julius Berger Nigeria Plc has been accused of abandoning the Odukpani-Itu Highway project and significantly inflating its contract value from ₦54 billion to ₦195 billion. The company also demobilized from the project and refused revised contract terms.

Non-Compliance with Senate Invitations: The Senate noted that Julius Berger repeatedly declined invitations to provide updates on the use of public funds, including over ₦18 billion allocated for the Odukpani-Itu Highway project.

Constitutional Oversight Powers: The Senate emphasized its authority under Sections 88 and 89 of the Constitution to investigate public funds’ administration and summon individuals or organizations for accountability

The Senate resolved to:

Issue a Warrant of Arrest: Compel Dr. Peer Lubasch to appear before the Senate Committee on Works.

Condemn the Company’s Actions: Label the refusal to honor Senate invitations as contempt of the National Assembly.

Direct Further Investigations: Mandate the Committee on Works to continue probing the Odukpani-Itu Highway, the East-West Road, and other national projects, presenting a comprehensive report on contractors, disbursements, and project statuses.

The resolution sparked mixed reactions among senators:

Support for Immediate Arrest: Senators Orji Uzor Kalu (APC, Abia North), Abdul Ningi (PDP, Bauchi Central), and Joel Onowakpo Thomas (APC, Delta) called for the Senate President to issue the arrest warrant immediately.

Alternative Approaches Suggested: Senators Seriake Dickson (PDP, Bayelsa West), Adams Oshiomhole (APC, Edo North), and Ahmad Lawan (APC, Yobe North) argued that the matter should be handled at the committee level.

Senator Oshiomhole criticized the situation, saying, “It is unfortunate that we are discussing a contractor as if they are more powerful than the Federal Ministry of Works. For the committee to be chasing the contractor, the minister has a case to answer.” He added, “Don’t hire who you cannot fire.”

The date for Dr. Lubasch’s compelled appearance will be stated in the arrest warrant, according to the Senate President. The Committee on Works will proceed with its investigations, aiming to ensure transparency and accountability in public project management.