A Nigerian construction company, Lutoyilex Construct Limited, and its Managing Director Bamidele Obiniyi have been debarred from bidding for contracts from the Africa Development Bank Group over alleged “fraudulent practices”. The debarment will last for a period of 36 months.

The fraudulent activities: According to an investigation conducted by the AfDB’s Office of Integrity and Anti-Corruption, Lutoyilex Construct Limited had engaged in fraudulent practice while bidding for a construction contract under the Agricultural Transformation Agenda Support Programme Phase One in Nigeria (ATASP-1).

Dr. Akinwnmi Adesina, Lutoyilex Construct Ltd, Fraud, AfDB
President, AfDB, Akinwumi Adesina

While participating in a tender for the construction of social infrastructure in Niger State of Nigeria, AfDB said the company misrepresented its experience in conducting similar construction contracts.

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What this means: The debarment renders the company and its Managing Director ineligible to participate in any projects carried out by AfDB during the debarment period. The debarment also qualifies for cross-debarment by other multilateral development banks under the Agreement for Mutual Recognition of Debarment Decisions, including the Asian Development Bank, the European Bank for Reconstruction and Development, the Inter-American Development Bank and the World Bank Group.

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Following this development, Lutoyilex has joined the league of companies that have been blacklisted by the international body for similar offenses.

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While Qualitrends Global Solutions Nigeria Limited and its Managing Director were sanctioned last month, ALG Global Concept Nigeria Limited and its Managing Director were also debarred for bidding for contracts.

In January, the group announced the debarment of a Nigerian firm, ALG Global Concept Nigeria Limited, a construction company registered in Nigeria and its Managing Director, for a period of 36 months.

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Other companies that have been barred are CNE Environmental & Waste Services Limited, Agonic Associates Niger Limited, Best Scan Solutions, D.A. Construction Limited, Emmajoko Nig Enterprises, Idemia Nigeria Limited, Marabef Global Limited, Oberthur Technologies Nigeria Limited, Oceanic Construction and Engineering Nigeria Limited, Rojoke CNE Services Ltd., and SNC-Lavalin International (Nigeria) Limited.

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