The $7.3M Failure: Examining the Ethical Lapses in Nigeria’s Enugu–Sujimoto Scandal

Public procurement is one of the most critical functions in any economy. When it fails, the consequences are immediate and damaging, projects stall, public funds disappear, and citizens lose trust in government.
The recent Sujimoto–Enugu contract controversy, reported by Vanguard and valued at ₦11.45 billion (approx. $7.3 million), offers a striking case study of how ethical lapses can cripple procurement processes. While the legal details will be determined by ongoing investigations, this case highlights systemic vulnerabilities that supply chain and procurement professionals must examine closely.
What Happened?
According to Vanguard, the Enugu State Government awarded contracts worth ₦11.45 billion to Sujimoto Construction Ltd for several projects. The government has alleged that the contractor: Collected significant upfront payments, Delivered “shoddy jobs” and abandoned project sites, and engaged inexperienced workers who failed to meet required standards.
On the other hand, Sujimoto has claimed that “scope creep”, such as government interference and additional demands beyond the agreed contract terms, contributed to the dispute.
With the Economic and Financial Crimes Commission (EFCC) now investigating, legal responsibility will be determined in due course. But for procurement and supply chain practitioners, the case already reveals important ethical lessons.
Ethical Red Flags in the Case
1. Weak Due Diligence
Awarding high-value contracts without rigorous contractor vetting exposes public funds to enormous risk. A robust procurement process should validate not just pricing but also a contractor’s track record, capacity, and technical competence.
2. Upfront Payments without Performance Safeguards
If large advances are paid before measurable progress, governments lose leverage. Best practice is to tie payments to milestones and performance verification, ensuring accountability at every stage.
3. Oversight and Governance Gaps
Procurement systems must ensure continuous monitoring, not just at contract award but throughout project execution. Independent auditing and community monitoring could have flagged concerns earlier.
4. Contractual Clarity
The allegations of “scope creep” point to another risk: poorly defined contract terms. Clear specifications, dispute resolution clauses, and limits on scope changes are essential to minimize conflict.
Broader Context: Procurement Beyond Enugu
It is important to note that Enugu is just one of Nigeria’s 36 states, and some states with stronger systems would not have allowed such lapses.
At the same time, Nigeria is not alone. Across Africa, many countries continue to struggle with similar procurement challenges, from weak oversight and political interference to gaps in due diligence and contract enforcement. These systemic risks are not unique to Enugu or even Nigeria; they are part of the broader governance issues that shape public procurement across the continent.
Key Takeaways for Supply Chain Professionals
Ethics and Governance First: Procurement is not just about compliance with paperwork — it is about safeguarding public value.
Systems Matter: Strong processes and oversight mechanisms protect governments, businesses, and citizens.
Balance Is Key: Contractors must meet standards, but governments must also respect contract scope and terms.
Final Word
The Enugu–Sujimoto controversy is a classic case study in public procurement challenges across Africa. For procurement professionals, the real lesson is already clear: without ethical practices and robust frameworks, procurement becomes a breeding ground for mistrust and inefficiency.
For other emerging markets, strengthening procurement systems is not optional, it is essential to building both infrastructure and public confidence.