The authority owed 70 contractors the sum of N1.5 billion for the construction of over 700 housing units meant for the civil servants in the federal capital territory and its environs.
The contractors under the aegis of the Federal Housing Authority Contractors Association, carried placards last week to protest and drive home their demands for the payment of debts to enable them complete the work, and handover to the Federal Government.
The association chairman, Innocent Odika, explained that money for the mass housing projectwas released last year, but got stuck with the new management, which caused delay in the completion of the houses.
Odika added, “we have been owed for years, and five per cent was realeased to the contractors. That’s why we are asking for payment so that we can offset our debts to the workers, who are being owed for months.”
“At present, we cannot continue with work until FHA pays the contractors. Inflation has also caught up with the project and we have no option, than to stop activities at the sites and appeal to the government to come to our aid,” he said.
But in a statement, FHA Head of Public Affairs Unit, Kenneth Chigelu, explained that the delay in payment was due to verification and audit exercise being carried out by the management in compliance with global standards.
He added, “we are still in the process of concluding the exercise and physical inspection of the projects before vouchers are prepared for the payment. We will not pay the contractors without 100 per cent completion of the units.”