Allegation of N10.8bn LGs' fund diversion against Gov Abiodun gets messier

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An allegation of N10.8 billion diversion if local governments’ funds by the Ogun State, Governor Dapo Abiodun has gone messier as Council Chiefs and lawmakers are singing discordant tunes.

The Chairman of Ijebu East Local Government Area of Ogun State, Wale Adedayo, had petitioned the Economic Financial Crimes Commission (EFCC) and the Independent Corrupt Practices Commission (ICPC) demanding investigation of Governor Abiodun over alleged mismanagement of N10.8 billion local government funds.

Adedayo accused Abiodun of withholding the statutory Federal Allocation due to the state’s local governments in the last two years.

According to the council boss, Abiodun has not paid a dime to Local government accounts as Federal allocation in the last two years.

In a separate petitions to EFCC and ICPC on Tuesday, Adedayo called for the urgent intervention of the anti-graft agencies.

In a swift reaction, the state government on Tuesday debunked the claims that the Dapo Abiodun-led administration diverted allocations accrued to local government areas in the state.

In a statement signed the governor’s Chief Press Secretary, Lekan Adeniran, it stated that contrary to reports, the Abiodun administration had often augmented the funds allocated to local governments in the state from the federation account to enable them to meet their obligations.

According to him, the Abiodun government never tampered with local government funds.

He clarified that it was surprising how adding to the funds allocated to the local councils to enable them meet their obligations amounted to hijacking their funds.

According to him, funds meant for local governments in the state are being handled by the constitutionally recognised Joint Account and Allocation Committee.

Also, the state branch of the Chairmen of Association of Local Government, ALGON, led by its Chairman , Babatunde Emilola-Gazal, led some of his members to the governor’s office in Abeokuta, and begged for forgiveness.

A short clip of the meeting which has gone viral showed the ALGON begging for forgiveness on behalf of his colleagues including Wale Adedayo, who wrote the petition.

Gazal said, “Your Excellency, we have come here to beg you as a father that you are a father of all in the state, we want you to forgive us.

“Your Excellency, if you don’t forgive us, who do we run to? So, on behalf of all of us, I am tendering this apology and in particular, on behalf of Wale Adedayo,” Emilola-Gazal said, and subsequently prostrated alongside others, before the governor.

But the minority leader of the state House of Assembly was not satisfied with the defence of the governor.

He said though the governor had denied the allegations and the local government chairmen had tendered their apologies to him, “proofs of payments, receipts and other documents would go a long way in ensuring transparency and letting the masses know the true situation of things.”

As the representatives of the people, he said it behoves the Peoples Democratic Party (PDP) members at the assembly to stay on the side of the people “to unravel the true situation and act accordingly.”

The lawmaker said it would not be a good idea anywhere in the world if funds meant to be used by the local governments to improve lives were truly being diverted.

“By the time the assembly would start investigating, we would surely get to the end of this.

“There is an accusation, and as of now, unless we know the true situation, nothing can be done. But we won’t shy away from the complaints that the councils are handicapped to handle any projects as this seems visible,” he said.

The minority leader stressed that one of the cardinal points of his party is the autonomy of the local government councils, which must be fully funded to ensure the dividends of democracy get to the people.

Meanwhile, the governorship candidate of the Peoples Democratic Party (PDP), Hon. Oladipupo Adebutu, has urged the state House of Assembly to begin the impeachment process of Governor Dapo Abiodun over alleged withholding of local government funds from the federal allocation if found guilty.

Adebutu, who spoke through his media aide, Afolabi Orekoya, said the governor had contravened a section of the Constitution as regards the diversion of funds allocated to council areas and must be punished for the act.

The agitating council boss, Adedayo, in the petition, a copy of which was made available to TheCaveat.net, on Tuesday also accused the governor of denying the local government chairmen of the Ecological fund and other entitlements due to them.

The petition reads in part, “Your urgent intervention is sorely needed to convince the Ogun State Governor, Prince Dapo Abiodun, that the statutory Federal Allocation to Local Governments in Ogun State should be allowed to reach each of them as envisaged by the 1999 Constitution.

“Since we (Ogun State Local Government Chairmen) got on board in 2021, it has been ZERO Federal Allocation to each local government. The 10% of the state’s Internally Generated Revenue, which the Constitution also stipulated should go to the local governments has not been given since Abiodun got into office. You may want to deploy the instruments of your office to confirm the veracity of my claim as well.

“Former President Muhammadu Buhari assisted the states and Local Governments with what we call palliatives today. They called it, SURE-P. The first sent to the 20 local governments in Ogun State was N2.5 billion. The second one was, N2.6 billion. The third was, N2.8 billion, while the fourth shortly before Buhari left office was N2.9 billion. Not a dime of these funds was released to ANY local government in Ogun State.

“The Ogun State Executive Committee of the Association of Local Governments of Nigeria (ALGON) had a meeting with the Commissioner for Finance, Mr. Dapo Okubadejo, early this year. The Commissioner claimed that the 20 local governments were owing the Ogun State Government N17 billion, which they continue to deduct. But I know for a fact that my Ijebu East Local Government is NOT owing Abeokuta one Naira! Kindly use your good offices to verify this fact.

“We have also heard about Ecological funds and others. These have developed wings too without trace. It is certain that the current one being packaged by President Bola Ahmed Tinubu may likely follow the same course.

“And, we are the ones the people will abuse. I am the butt of jokes in my local government right now, with many saying one is incompetent. Meanwhile, the Federal Government regularly made these funds available, but it has NEVER been disbursed to us since we were sworn in.

“Truly, denying local governments their due Federal Allocations in Ogun State began during the Administration of former Governor, Senator Ibikunle Amosun. And, as it is happening today, it was based on a spurious claim of helping some local governments, who may not be able to fulfill their obligations to the people because of financial challenges.

“Thus, all the funds are regularly collected into a central purse from where salaries and other dues are paid. Whatever that is left is often claimed by the State Government as debts being paid by the local governments.

“Revenue sources, which the local governments should benefit from have mostly been taken over by the State Government. Motor Parks and attendant dues which should go to each local government are being centrally managed by the State Government. Primary school administration and control have been taken over too.

”There are many others. But, what I crave is for you to assist in helping our people. Why have they taken over revenue sources of the local government? How do they want the grassroots to breathe?

“In Ijebu East Local Government Area, we a complete rural section. Our people need roads, especially in the interior. They need water. The Health Centres are nothing to write home about.

”The primary schools are something else. It is a crying shame that, in 2023 some of our people still depend on water from the stream to drink!

“Be assured that I am readily available to answer any question about what I have written here.”