Senate Orders Arrest of Julius Berger MD Over Abandoned Highway Projects

The Senate has issued a warrant for the arrest of Dr. Peer Lubasch, Managing Director of Julius Berger Nigeria Plc, following his repeated failure to appear before its Committee on Works.

The resolution, passed on Thursday, was initiated by a motion from Senate Minority Whip Senator Osita Ngwu (PDP, Enugu West) and co-sponsored by Senators Asuquo Ekpenyong (APC, Cross River South) and Mpigi Barinada (PDP, Rivers South-East).

Senator Ngwu highlighted Julius Berger’s consistent refusal to provide details regarding the abandonment of projects and the sharp increase in contract costs from ₦54 billion to ₦195 billion.

He particularly referenced the Odukpani-Itu Highway project, for which the company allegedly received over ₦18 billion in public funds but failed to deliver. Ngwu also raised concerns about discrepancies in contractor performance, emphasizing Julius Berger’s inability to meet project targets.

Citing Sections 88 and 89 of the 1999 Constitution (as amended), Ngwu reminded the Senate of its authority to summon individuals or organizations accountable for public funds. He also invoked Section 6(1) of the Legislative Houses (Powers and Privileges) Act, which empowers the Senate to issue arrest warrants for those in contempt of its proceedings.

Ngwu alleged that Julius Berger’s contract for the Odukpani-Itu Highway was terminated due to the company’s demobilization and refusal to accept contract review terms, despite initially agreeing to a contract worth ₦54.1 billion before requesting an upward adjustment to ₦195 billion.

In response, he urged the Senate to exercise its constitutional powers and issue a warrant compelling the attendance of Dr. Lubasch at the rescheduled investigative hearing.

Senate President Godswill Akpabio confirmed that a specific date for Dr. Lubasch’s appearance would be included in the arrest warrant.

The motion sparked a debate among senators about the best course of action. While Senators Orji Uzor Kalu (APC, Abia North), Abdul Ningi (PDP, Bauchi Central), and Joel Onowakpo Thomas (APC, Delta) advocated immediate action, Senators Seriake Dickson (PDP, Bayelsa West), Adams Oshiomhole (APC, Edo North), and Ahmad Lawan (APC, Yobe North) suggested resolving the matter at the committee level to avoid escalation.

Ultimately, the Senate resolved to proceed with the arrest warrant, emphasizing its dedication to transparency and accountability in the use of public funds.