Falana urges action against Italian firms over $2.9bn refinery contract

Femi Falana, a Senior Advocate of Nigeria and prominent human rights attorney, is urging the Federal Government to hold Italian firms Maire Tecnimont SPA and Saipem Nigeria Limited accountable for allegedly violating a $2.9 billion contract intended for the repair of the Port Harcourt, Warri, and Kaduna refineries.

During a recent appearance on Channels TV’s Politics Today, Falana criticized Saipem for denying its receipt of a $1.4 billion contract awarded in August 2021 for the refinery rebuild, describing the situation as a “colossal embarrassment” for the Nigerian government.

Falana emphasized the necessity for the government to act against both companies, especially following President Bola Tinubu’s December promise that the refineries would soon resume production—an expectation that has yet to materialize. “

In this case, I am alleging fraud, and the government has a duty to the Nigerian people to indict any contracting firm that has messed up the country regarding the repairs of the refineries,” he asserted.

He added, “If Saipem is saying, to the colossal embarrassment of the government, that you never awarded this contract to us, then you are deceiving the Nigerian people by claiming these contracts were awarded to us.”

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Falana stressed the urgency of the matter, demanding immediate consequences for those responsible for the current state of the refineries.

In September, Falana utilized the Freedom of Information (FOI) Act to seek details on the contracts, revealing a $1.5 billion award to Maire Tecnimont for the Port Harcourt refineries and a $1.4 billion contract to Saipem for the rehabilitation of the Warri and Kaduna refineries.

Maire Tecnimont, however, declined to respond, arguing it is not required to comply with the FOI Act as a private entity. Falana countered this argument, referencing a Court of Appeal ruling that private companies managing public funds must comply with the Act.

He indicated plans to pursue legal action if needed, stating, “We are going to pursue this elsewhere; of course, we are going to take it up in court.” Additionally, Falana reported receiving a potential legal threat from Saipem concerning reputational harm from his allegations.

“Why are you still demanding information on the completion date of the contract?” he queried, noting that the Federal Executive Council has not rescinded the contracts despite Saipem’s claims.

Reiterating the importance of accountability, Falana concluded, “Our country must get to the root of what can be described as a case of monumental corruption. We are talking about $2.9 billion for a country that is said to be broke. We must escalate this matter by inviting the relevant anti-corruption agency to assist in tracing these funds.”