Contractors responsible for supplying food to inmates in correctional centres across the country have raised concerns over the Federal Government’s alleged failure to pay outstanding debts exceeding N30 billion.
As reported by PUNCH, some of the suppliers, who handle meal provisions for the Nigerian Correctional Service (NCoS), said they had not been paid for several months, including a backlog of about N7.7 billion from late 2023.
They also decried the government’s inability to implement the new feeding rate approved since August 2024.
The contractors lamented that although the Federal Government approved an increase in the daily feeding allowance per inmate from N750 to N1,125, payments were still being made based on the old rate, resulting in an estimated N23 billion shortfall.
The revised rate was approved in August 2024 by the Presidency in response to rising food prices and the impact of fuel subsidy removal. It was expected to take effect from August 1 of that year to enhance the quality of meals and ease the financial burden on suppliers.
Over a year later, the contractors said the rate had yet to be implemented, leaving them to operate at a loss while managing growing debts.
Findings by PUNCH revealed that the government owes contractors roughly N7.7 billion for the months of October, November, and December 2023. Combined with the shortfall from the unimplemented rate, the total debt now stands at about N30.7 billion.
Speaking under the condition of anonymity for fear of victimisation, some contractors described the situation as “dire” and unsustainable.
“We have not been paid for months, yet we are expected to feed thousands of inmates every day,” said one contractor who supplies food to multiple correctional facilities. “Banks are threatening to seize properties we used as collateral. Some of our colleagues have lost everything.”
Another contractor expressed similar frustration, explaining that many suppliers had resorted to high-interest bank loans to keep the service running.
“We are feeding inmates at our own cost. We keep hearing promises that the reviewed rate will be implemented, but nothing has changed. How long can we continue like this?” the contractor said.
Attempts to obtain a response from the NCoS spokesperson, Umar Abubakar, were unsuccessful, as he did not answer calls or messages sent to his phone as of press time.
However, a senior officer of the Service confirmed the issue, warning that the unpaid debts could affect the quality and quantity of food served to inmates.
“Yes, it is true. The contractors have also met with the CG over this matter, but the issue looks to be bigger than him. The problem is that the Ministry of Finance hasn’t released the money and it is only the amount released that they would give to the contractors,” the officer said.
He cautioned that the situation could trigger unrest in correctional centres if not addressed promptly.
“Feeding is central to the stability of any correctional facility. If contractors pull out or fail to deliver because of unpaid debts, it could lead to unrest among inmates. The security implications are enormous,” he added.