A Federal High Court in Abuja has ordered the Federal Ministry of Finance and the Central Bank of Nigeria (CBN) to deduct N53 billion from local government area accounts and credit the account of Dogra Consulting Limited over breach of contract payment.

Justice Okon Abang also awarded N50,000 each against the Incorporated Trustees of the Association of Local Governments of Nigeria (ALGON), Suleja LGA, Accountant General of the Federation, Ministry of Finance and the CBN in favour of Dogra Consulting.

Justice Abang, on Friday, also held that the Ministry of Finance and CBN breached the terms of the December 1, 2010, agreement with Incorporated Trustees of ALGON on an Irrevocable Standing Payment Order to the ministry to pay Dogra from the funds standing to the credit of the LGAs for its supply of Plexi Breast Self-Examination Kits (Plexi Chek) to the 774 LGAs.

The court found that in the agreement, Dogra was to be paid $147,500,000, which represents 50 per cent it contributed to the contract and 20 per cent of the contract sum, which it charged as consultancy fee for the supply.

He dismissed the objection by counsel to the Ministry of Justice based on Section 80 (2) of the constitution which stipulates that no money shall be withdrawn from Consolidated Revenue Fund without the approval of the National Assembly, maintaining that the agreement was by the consent of the 74 local government areas as represented by ALGON.

“The Minister of Finance has no choice than to agree with the mandate of the beneficiaries of that account. Therefore, the decision of the Supreme Court in the case of the AG of Ogun State are distinguishable from this case,” he said.

The judge said the Ministry of Finance did not file any application to comply with the procedure to reply on counter affidavit in the course of the proceeding.

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