The state House of Assembly had threatened to terminate the contract with Innoson over an alleged breach of an agreement to produce vehicles for the lawmakers.
Nigeria's indigenous automobile manufacturer, Innoson Vehicles Manufacturing, has denied receiving any payment from the Governor Alex Otti-led Abia State government for the production of customised vehicles for all the members of the Abia State House of Assembly.
Innoson also debunked the allegations by the Abia State House of Assembly, that the company breached the contract it entered with the state government on the production of the customised vehicles for the state lawmakers.
The state House of Assembly had threatened to terminate the contract with Innoson over an alleged breach of an agreement to produce vehicles for the lawmakers.
The Speaker of the house, Emmanuel Emeruwa, had told newsmen on Thursday that the lawmakers have not received their vehicles one year after their inauguration.
The Speaker told journalists that the preference for IVM vehicles was informed by the initiative of the Governor Otti to promote local content.
He said that Innoson had received all the money required to produce the vehicles for the lawmakers but had failed to fulfill the contract agreement.
Responding to the threat and allegations, Innoson in a statement issued by its Head, Corporate Communications, Cornel Osigwe, said the company had not received any payment from Abia State government.
Osigwe also explained that the delay in delivering the vehicles to the lawmakers was caused by implementation of some remodifications suggested by Governor Otti during the approval process, noting that the vehicles are currently undergoing rigorous testing at the company's quality control section and would be delivered by the beginning of next month.
Osigwe said, “First and foremost, we would like to clarify that the vehicles ordered by the Governor for the Members of the Abia State House of Assembly were a special vehicle that required the production of a new frame, which was not previously produced at our factory.
“In accordance with the Governor's initiative to promote local products, we took this project very seriously and produced a sample for approval by the Governor.
“During this process, the Governor suggested some remodifications, which we promptly implemented to meet his specified requirements.
“As at today, we would like to inform the public that we have completed all modifications and have addressed any initial defects. The new model vehicles are currently undergoing rigorous testing at our quality control section.
“We are pleased to announce that the vehicles will be ready by the end of this month and the supply will be completed by the beginning of next month.
“In response to the statement made by the House of Assembly regarding payment, we want to emphasise that we have not received any payment for the vehicles ordered for the Abia State House of Assembly Members.
“When His Excellency requested payment, we made a conscious decision not to accept any payment until the vehicles are finally produced and delivered. Therefore, the House of Assembly's claim that payment has been made is inaccurate.”
Osigwe, who expressed the company's gratitude to Abia State government said, “We would like to express our gratitude to the Government of Abia State for their continued support and patronage. We want to reassure them that we have taken significant measures to prevent future delays and uphold our commitment to delivering high-quality vehicles.”
He added, “Innoson Vehicles Manufacturing Ltd remains dedicated to providing excellent products and services to our esteemed customers. We appreciate your understanding and patience in this matter.”