A Federal Capital Territory High Court sitting in Kuje, Abuja, on Thursday heard how contracts allegedly awarded under former National Health Insurance Authority (NHIA) boss, Professor Usman Yusuf, bypassed due procurement procedures.
Testifying before Justice Chinyere E. Nwecheonwu, the second prosecution witness, James Balami, told the court that a vehicle supply contract awarded to Lubekh Nigeria Ltd did not pass through the Procurement Department as required by law.
Balami, who serves as Director of Procurement at the NHIA, made the disclosure during the ongoing trial of Professor Yusuf over alleged procurement breaches and maladministration while serving as Executive Secretary of the agency.
Led in evidence by prosecution counsel, Francis Usani, the witness revealed that Lubekh Nigeria Ltd belonged to Kabiru Yusuf Yar’adua, whom he identified as a brother to the defendant.
According to him, the Economic and Financial Crimes Commission (EFCC) had requested information from the NHIA concerning Lubekh Nigeria Ltd, Zaramat Global Company Ltd, and GK Kanki Foundation as part of its investigation.
Balami stated that although Lubekh Nigeria Ltd submitted contract documents which were evaluated and approved by the Tenders Board, the actual award process bypassed the Procurement Department entirely.
“It emanated from the Human Resources Department to the Chief Executive Officer and Accounting Officer, Professor Yusuf, as at that time. So, it did not go through procurement and by implication it did not go through procurement process,” the witness told the court.
He further disclosed that one Hassan Khalifa Yusuf — said to be the son of Kabiru Yusuf Yar’adua and nephew to Professor Yusuf — participated in evaluating the contract awarded to Lubekh Nigeria Ltd despite the family connection.
The witness also informed the court that several petitions accusing Professor Yusuf of procurement violations and maladministration had previously been submitted to the EFCC, ICPC, the Federal Ministry of Health, and the Presidency.
According to him, the allegations prompted the establishment of both ministerial and presidential investigative panels to probe activities within the NHIA during Yusuf’s tenure.
During cross-examination by defence counsel, O.I. Habeeb, SAN, the witness clarified that an Exhibit B document containing N80 million — comprising N30 million in 2015 and N50 million in 2016 for Prado SUVs — was merely a schedule of contracts considered by the Tenders Board and not an approved budget or appropriation.
He maintained that the Tenders Board lacked the authority to approve the contract award in question.
The defence objected to portions of the witness’s testimony relating to the petitions and investigative panels, arguing they were irrelevant to the case, but Justice Nwecheonwu overruled the objection, stating that the witness had not exceeded the scope of his evidence.
The trial continues.
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