Lagos-Calabar Highway: US-Based Investor Alleges Officials Demanded ₦200m Bribe to Avert Demolition
By HeadlineNews.News Staff Writer
A US-based Nigerian real estate investor, Stella Okengwu, has accused officials of the Federal Ministry of Works of demanding a ₦200 million bribe to prevent the demolition of her property located along the route of the Lagos-Calabar Coastal Highway project.
Okengwu made the allegations during an appearance on The Morning Brief, a programme on Channels Television, where she recounted her personal experience and those of other Nigerians in the diaspora who had invested in her development.
According to the investor, she was approached by officials who admitted privately that some developers had successfully altered the gazetted alignment of the coastal highway project through backdoor dealings and bribes. She said that when she raised concerns about the compromised alignment with a federal controller, the official dismissed her complaints and demanded a bribe.
“You’re talking too much. Get your subscribers to gather ₦200 million, converted into dollars, and bring in cash to the ministry,” the official allegedly told her.
Okengwu revealed that the demolition impacted over 390 plots, many of which had been bought by Nigerians in the diaspora through her firm.
“I called the minister, and he was very harsh. I apologised, but the next day, they came and started demolitions,” she said.
Disappointment with Compensation Process
Okengwu expressed deep disappointment with the compensation process, drawing a comparison with how property is acquired through eminent domain in the United States.
“In America, there is something they call an eminent domain. If a government is coming to take your property for eminent domain, it will make sure you’re okay. The compensation will be good,” she explained.
According to her, the amounts paid by the Federal Government to affected developers fall far below the actual value of their investments. She said many investors paid over ₦150 million per plot for fully serviced land, which included infrastructure such as drainage and sandfilling.
“People who invested over ₦150 million per plot for serviced land, including drainage and sandfilling, are now being paid ₦25 million to ₦30 million. Some families have been rendered homeless. One family was paid ₦20-something million for a house worth over ₦300 million,” Okengwu lamented.
Background: Lagos-Calabar Coastal Highway Project
The Lagos-Calabar Coastal Highway is a flagship infrastructure project spanning over 700 kilometres, designed to improve transportation and spur economic activity across Nigeria’s southern corridor. The Federal Government awarded the contract to Hitech Construction Company Ltd., using an EPC+F model—an arrangement that covers Engineering, Procurement, Construction, and Financing.
Under this arrangement, Hitech is expected to shoulder the bulk of the funding and construction, with the government providing partial support.
Since its inception, the project has attracted controversy due to the demolition of buildings and properties along the proposed route, particularly in beachfront areas. Critics have also raised questions over the transparency of the contract award, the overall cost (estimated at ₦15 trillion), and the method of alignment selection.
Official Response and Minister’s Defence
Amid the backlash, the Minister of Works, Dave Umahi, defended the selection of Hitech, citing the company’s proven track record in similar large-scale infrastructure projects. He highlighted Hitech’s successful handling of the Oworonshoki-Apapa Road reconstruction, a major road corridor in Lagos, as justification for awarding the coastal highway contract.
Umahi also maintained that due process was followed in the award and design stages of the project.
The allegations made by Okengwu have once again placed a spotlight on the Lagos-Calabar project’s handling, raising broader concerns about corruption, lack of transparency, and fairness in Nigeria’s infrastructure development drive. As more demolitions loom and compensation controversies deepen, affected stakeholders continue to demand answers and accountability.
