TheNigerianVoice Online Radio Center

Alleged N4.5 billion Fraud Rocks Delta Line

Source: thewillnigeria.com
Listen to article

…Allegation is baseless, says GM
BEVERLY HILLS, December 11, (THEWILL) – A N4.5 billion fraud is allegedly rocking the Delta Line Transport Company owned by the Delta State Government, THEWILL has gathered.

The alleged fraudulent activities, which insider sources disclosed started from the tenure of former governor James Ibori, allegedly peaked during the tenure of former governor Emmanuel Uduaghan with alleged awards of questionable contracts for the supply of vehicles as well as concession of the firm to private individuals.

Insider sources at the company had fingered the current General Manager , Mr. Isaiah Eyione and the Chief Accountant, Mr. Josiah Isheke, accusing them of alleged misappropriation of N4.5bilion grant accruing to the company over a period of four years.

THEWILL was informed that the company had been indebted to banks and had failed to pay its staff salaries for over five months owing to failure of the management to maximize the company's internally generated revenue and state government's monthly grants to the company.

The company, according to sources, is also indebted to Zenith Bank and Wetland Micro Finance Bank which funded the purchase of buses leased to them despite its huge allocations and revenue.

Delta Line company, sources said, generates about N2.5 million daily and an average of N80million in a month.

THEWILL recalls that a scam involving salary payment to 32 ghost workers was recently uncovered in the establishment by the present administration.

Sources said that following the alleged shady deals at the company, the Governor Ifeanyi Okowa-led administration had, a few months ago, set up a high-power committee to investigate the alleged atrocities and embezzlement which had been taking place in the transport company.

A report by an independent observer obtained by THEWILL said that during the tenure of former Governor Uduaghan, the state government allegedly approved and released the sum of N10million on a monthly basis to the General Manager of the firm as security allowance since 2012.

Insider sources close to General Manager told THEWILL that in 2008, the previous government gave the company 65 units of brand new Toyota Corolla cars valued at N300milion and in 2009, another 150 Units of Toyota Hiace buses valued at N1.2bilion were given to the company.

Also, in 2010, another 20 units of Toyota Hiace buses were given to the company by the state government valued at N140 million while in 2011, 15 units of buses valued at N105million were also given to Delta Line.

Despite these allocations of buses which were working on a daily basis before some of them were reportedly ran aground, the company’s management had allegedly failed to expand the company’s route and give account of how the buses were being managed till date.

State Commissioner for Transport, Mr. Vincent Amejuma Uduaghan, who confirmed the rot in the transport company, however said that the present administration had nothing to do with the rot.

Reacting to an inquiry on the matter, Uduaghan disclosed that the state government had already constituted a committee to look into the financial records of the transport line.

“This is a new administration, we have nothing to do with the rot in Delta Line. This government has set up a committee to look into Delta Line,” he said.

While reacting to the allegations, the General Manager however told THEWILL that “all I will say is that the allegation is baseless and is not true.”