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LP urges Ondo Govt to recover N117bn debt

By Dayo Johnson
AS the crisis over the N117b debt inherited by Dr Olusegun Mimiko administration is yet to settle, the Labour Party (LP) asked the state government to set in motion machinery to recover all the lost funds from the immediate past administration.

Addressing newsmen in Akure in reaction to denial by the Chairman of the PDP, Dr Tayo Dairo and aides to the former governor Olusegun Agagu, the Chairman of LP in the state, Dr. Olaiya Oni who said the process of recovery should be with” immediate effect and spontaneity”.

Olaiya Oni noted that the LP had before taking over the mantle of leadership in the state been raising alarm over the manner that the resources of the state were being carted away.

The PDP Chairman in the state, Dr Dairo had described the broadcast in which the governor Dr Mimiko disclosed the debt profile inherited as “harvest of lies”.

Olaiya Oni said: “We now know better as Governor Olusegun Mimiko had reeled out the details of financial recklessness of the last administration in his state-wide broadcast.

According to him, “Dairo was wrong to have faulted the statement of the governor over the N117 billion debt left for his administration.

“The Labour Party hereby urges Dr. Mimiko’s administration to set in motion with immediate effect and spontaneity, the process of the recovery of the lost funds as the governor had promised in his broadcast in the overall interest of the people of Ondo State who need the resources to make life more meaningful to them”.

The LP Chairman alleges that “many of the contracts awarded by the last administration started from top to bottom. He added that “some of theses contracts got documented well after cheques for mobilization have been released.”

According to him, “many contractors submitted bonds of 60 days duration for contracts whose minimum completion period was 30 months. The 60 days bond would not cover more than a mere percentage of the value of mobilization given out.”

The Party Chairman alleged that the PDP administration sold the state share in Ile Oluji cocoa processing company when its net value was about N1b for N400m while offers ranging from N700m and N800m were received from interested buyers.

He alleged that the proceeds of the sale “were never remitted into the treasury.”


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