Exposé: Former Abia Finance Commissioner Provides Evidence Linking Gov. Otti’s ‘Project Ekwueme’ to Federal Government and World Bank Funding | #NwokeukwuMascot

 Opinion 

EXPOSITORY: Fraudulent Duplication of Primary Health Care (PHC) Projects in Abia State and the Need for an Investigation – Obinna Oriaku | #NwokeukwuMascot

On Friday, February 21st, I alluded to the discovery of systemic fraud in public procurement by the Abia State Government and promised to provide more details this week. As expected, Otti’s media aides launched a shallow attack against me, targeting the administration I served from 2015 to 2019, as though I were the Governor. I remain proud of my period of service, as many significant achievements were made despite challenging economic circumstances two recession periods from 2015 to 2017. With the state’s FAAC and JAAC allocations at N4.3 billion monthly then, and now at N20 billion, Governor Otti’s profligacy will only lead to further mismanagement.

My response aims to educate the public on the fundamental distinctions between a World Bank project and state-run initiatives, as seen in Abia. Recently, one of Otti’s media aides shamelessly demonstrated a lack of understanding between capital and recurrent expenditure in public sector accounting. It is crucial that Abians and indeed Nigerians recognize the scale of fraud, deceit, and media manipulation being used to mislead the public about developments in Abia.

I will not begrudge any of the media aides, as they hardly know what goes on in the government they serve and defend, a government that is highly opaque in all its financial dealings, with contract details even hidden from its aides.

The health sector, being one of the Sustainable Development Goals (SDG) indicators, serves as a clearinghouse for numerous health interventions from donor agencies, including the World Bank. In late 2022, Abia State won $400,000 from UNICEF for its achievements in the Primary Health Care Leadership Challenge Fund (PHC LCF), but the grant which came in during current administration was allegedly mismanaged by the former Commissioner for Health. However, remnants of the funds were used to renovate about 27 Primary Health Centres, which included changing roofs, installing tiles, fencing, etc.

A few weeks ago, Abia State won another $400,000 from UNICEF. We hope this will be properly utilized, with the funds channeled towards renovating more PHC centers out of the 743 PHCs in Abia State.

However, the state government is now attempting to appropriate the IMPACT project of the World Bank-funded initiatives as its own.

Understanding the IMPACT Project:

The IMPACT project, initiated by the World Bank in 2020, is a combination of various programs involving multiple sectors, with states participating at varying levels. Abia State is among the participants in the World Bank’s IMPACT project, which includes the renovation of Primary Health Care (PHC) centers across the country, along with other components such as training, immunization, and malaria eradication.

However, Otti’s government often misrepresents Abia’s participation in World Bank  projects  as their own initiative, falsely crediting  the State Government with such  achievements ,a good example is the( RAAMP/World Bank £60m ) 19.2km Itukpa Amnyi Umuoba road which the State Government almost appropriated until we raised alarm .

Key Features of the IMPACT Project (As Contained in the Attached World Bank Manual):

1. Counterpart Funds:

The World Bank requires participating states to provide counterpart funds. Initially, the amount was $100,000, but due to fluctuations in foreign exchange, states were allowed to contribute N100,000,000 (One Hundred Million Naira) instead. It is worth noting that Abia State has complied with this requirement.

2. Federal Supervision:

The IMPACT project is managed under the Federal Ministry of Health agency ( National Primary Healthcare Development Agency )with the World Bank providing funding and oversight. Therefore, decisions are made by the World Bank through the Federal Ministry of Health, not the state government.

3. PHC Selection:

The World Bank’s assessors visited Abia and other participating states, identifying one PHC in each electoral ward for revitalization. A total of 200 PHCs were selected out of the 743 PHCs in the state.

4. Funding and Costs:

The World Bank earmarked $25,000 per PHC, translating to $5,000,000 for 200 PHCs—approximately N10 billion at the current exchange rate. Some PHCs were allocated between $35,000 and $40,000 due to different levels of deterioration to ensure completion. With the state’s N100 million contribution, the total cost for Abia’s participation in the project is N10.7 billion.

The World Bank mandates that contractors for IMPACT projects complete their work within 100 days (12 weeks) from the official flag-off. To falsely take credit for delivering 200 PHCs, the Abia State government renamed this program “Project Ekwueme”.

2. Use of Consultants:

Like all World Bank projects, IMPACT relies on certified consultants at various levels, from local government to senatorial zones and state lead consultants.

• Abia South Senatorial Zone Consultant: Fidel Offor appointed by NPHCDA/ World Bank Abuja same with other consultants .

• Abia State Government lacks certified consultants for their own state-run projects and does not use consultants to oversee contracts outside staff from the Ministry of Works.

• The World Bank’s consultant, based in Abuja, issues the completion certificates necessary for contractor payments, further proving the involvement of the Federal Ministry of Health and the World Bank.

3. Ministry of Health’s Role:

The Abia State Ministry of Health acts only as a co-supervisor and does not own these projects. Instead, the Federal Ministry of Health, in collaboration with the World Bank, handled the engineering designs, building, and reconstruction.

Abia State’s government has falsely claimed these projects as their own, citing their state budget and manifesto, and rebranding the initiative as “Project Ekwueme” a highly deceptive move.

Additionally, the Abia State Ministry of Finance is not involved in payments for these projects. The Project Financial Management Unit (PFMU), in collaboration with the Ministry of Health in Abuja and World Bank consultants, manages the funds for all World Bank and donor agency projects.u

As of March 12, 2024, 14 states were part of the IMPACT project. Today, 27 states, including Abia, are involved. Is the government trying to hide anything by copying and denying World Bank involvement in PHC renovations? The attached shows the number of PHC currently being revitalised by Word Bank through National Primary Healthcare Development Agency Abuja  in some states. Jigawa State 119 PHC ,Kaduna 114 PHC, Ogun 75 PHC, Kwara 193 PHC etc

 Click here for the Overview of the Primary Healthcare Leadership Challenge Fund (PHC-LCF) 

The 67 new PHCs claimed by the Abia State Government are merely an addition to the 200 PHCs being undertaken by the World Bank.

Actionable Demands:

• Why is the National Primary Health Care Development Agency (NPHCDA), Abuja, certifying payment vouchers if these are state government contracts?

• Why copy the World Bank’s 100-day timeline for completion, yet fail to implement it for other renovation projects in Abia?

• Can the state provide evidence of payments from the Abia State Accountant General’s office specifically for these PHC renovations, rather than misleading the public with World Bank-funded projects?

• Where are the certificates and payment vouchers proving these are state projects and not World Bank initiatives?

Financial Mismanagement Concerns:

• The same government that wrote off N54 billion in its 2024 financial report has failed to show Abians the so-called recreational facility that allegedly cost N6.7 billion.

• The N54 billion for public schools was supposedly written off in anticipation of a procurement process in 2025, yet two months into the year, there has been no visible change in public school renovations.

• The government has not properly explained how N15 billion was written off as compensation for land acquisition demolitions. My personal experience? Only N1.026 million was given for the demolition of my father’s house.

Abians must wake up to the widespread deceit, propaganda, and financial mismanagement of this government. We will continue pursuing Freedom of Information (FOI) requests to expose the truth.

We demand a thorough investigation into the duplication and misappropriation of PHC renovation funds and the deceptive practices surrounding “Project Ekwueme”.

It is time for transparency, accountability, and good  governance that serves the people.

Attached: The IMPACT Project policy manual and evidence of other states’ participation in this World Bank initiative.

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