The Lagos State government on Monday terminated the contracts of some operators with the Lagos State Waste Management Authority (LAWMA) over alleged contract violation and fraud.
In a statement issued on the matter, LAWMA said the operators violated some terms of their agreement with the government.
However, the staff of the affected companies had been directed to re-apply directly to the authority for employment.
A panel set up by the state government earlier in the year discovered that the state was being defrauded of millions of naira in a scheme involving LAWMA contractors.
The contractors, many of whom are politicians, allegedly inflated the wage bills of the street sweepers and supervisors under them.
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The state pays the contractors over N560m monthly.
An audit of the agency undertaken by the state government revealed that a huge chunk of the money was going to ghost workers and non-existent contractors.
LAWMA added that those indicted in the audit had been asked to go.
The statement read: “The Lagos State Waste Management Authority has announced the immediate termination of all street-sweeping briefs awarded to some companies found involved in practices violating their contracts.
“The agency also revealed that the recent audit exercise approved by Governor Babajide Sanwo-Olu exposed the sharp practices of the agents, assuring that services will be repositioned for greater efficiency and value for tax-payers’ money.”
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