I did not leave N40 Billion Loan in Ekiti -Oni
Former Governor of Ekiti State, Chief Segun Oni has once again described claim by the Action Congress of Nigeria (ACN) Governor of Ekiti State, Dr. Kayode Fayemi that he (Oni) left a debt profile of over N40 billion as false.
Oni, in a statement signed by his Chief Media Aide, Wale Ojo-Lanre said; “This is the second time we are reacting to the lies and dishonest statements of the court installed Action Congress of Nigeria (ACN) Governor of Ekiti State, Dr. Kayode Fayemi concerning the debt profile left behind by the former governor of the State, Chief Olusegun Oni.
“Two weeks ago, Fayemi was all over the media, claiming that former governor Oni left N30 billion debt, only for him to wake up yesterday to declare that the debt has risen to over N40 billion in a spate of two weeks.
“As stated earlier, the Fayemi-led government is being sustained based on lies, deceit and propaganda, which he has been feeding the people with.
“Like we said, the whole noise about the imaginary debt he inherited is just to prepare the ground from his impending non-performance, looting of the state treasury and the N40 bond, agreement of which is already being drafted by a Lagos based lawyer. “We therefore, want to make it clear once again the true position of the account when we left government on October 15, 2010. “The bank loan and borrowings then was about N7 billion and this included the outstanding loans of N3.4 billion obtained by civil servants in the State on which deductions are being made from their salaries. We also had counterpart fund borrowed the Millennium Development Goals (MDGs) and SUBEB for which we left the balance of N3 billion in various accounts of MDGs and SUBEB. “On the contractors, it is clear that Fayemi was only playing to the gallery when he said that the total debt owed contractors amounted to N27 billion.
“It is obvious that Fayemi and his cohorts are suffering from dishonest application of definition and they could not understand when a contractor is being owed or not. “We all know that a contract does not become a debt until it is certified completed and contractor moves out of site.
“As at the time we were leaving, we have fulfilled all the financial obligations due to all the contractors and projected some of them in the cash flow in the region of N7 billion. This N7 billion is inclusive of some controversial obligations from the past governments that were still being reviewed at that time. “It should also be noted that we used to carry out analysis of our debt profile every month and this was done through the offices of the same Auditor general and accountant general.
“It is therefore strange and alarming that the same debt profile of N15 billion presented by the same Auditor General and Accountant General has now risen to over N40 billion within one month! “We have said it clear and loud that Fayemi is being mischievous and dishonest. Because the cash flow projection of Ekiti is solid blue. “The normal allocation of Ekiti from the federation account ranges between N2.3 to N2.7 billion monthly. After the payment of salaries, the state usually has about N500 to finance capital projects.
“Apart from this, there is also cash allocation from excess crude account. One is still being expected before the end of this year. “Also, the state is expected to be paid $18 million (N2.7 billion) anytime from now by the Debt Management Office (DMO). This money has since been approved and payment is being awaited. “Also, another $170 million (N25.5) is being worked upon by the consultant that got the $18 million refund for Ekiti State from the DMO. In totality, Ekiti is expected to receive a sum of $188 million (28.2 billion) from the DMO office soon.
“In addition, Ekiti is expecting a refund from the Federal Government on construction and rehabilitation of federal roads. “Therefore, from the above cash flow projection, it is clear that Ekiti is solid blue and that explains why Ekiti is the least borrowed State in Nigeria. Or can the cash flow of a state that is expecting close to N30 billion as refund from the DMO and Federal Government be said to be in a gory state as painted by Fayemi?
“We do know and we want to state it very clear that the main motive for painting Ekiti as being in debt is because of the planned N40 billion bond which Fayemi wants to obtain, and part of which he intends to use to settle his Lagos godfather that is already on his neck for a refund of his expenses on the governor.
“We are therefore reiterating our challenge to Fayemi and his people to avail Ekiti people and the entire world the full details of how he arrived at the first N40 billion which he earlier claimed was N30 billion. The detail should include list of contractors being owed, the projects being executed and the levels of completion. “In addition, Fayemi should also be honest enough to publish full details of the assets he inherited and this should include all completed and ongoing projects.”