Governor Obaseki in a Quandary Over State Finances: A Post-Oshiomole Trauma

Governor Obaseki in a Quandary Over State Finances: A Post-Oshiomole Trauma

The Godwin Obaseki government in place in Edo State may be facing a turbulent whirlwind occasioned by the huge debt profile it inherited from the Adams Oshiomhole’s regime and the overbearing influence of Oshiomhole. It is alleged that the Oshiomhole’s regime mortgaged the future of the State through its huge debt burden amounting to over N600billion bequeathed to the State, as his parting gift.

When Solomon Ibharuneafe wrote a full page giving the analysis of the State of Affairs of the financial standing of the State under Oshiomhole in This day newspaper of Monday the 18th February, 2016; Kasim Afegbua the then Commissioner for information in the State castigated and vilified the writer describing him as a Consultant of “Stomach democracy”.

But three months into the administration of Obaseki, “the buttock of the foul” has opened so wide that even the blind can now see that Oshiomhole recked the State financially leaving behind an Edo that could better be described as mere skeleton.

A breakdown of the debt as at January 2016 shows that Oshiomhole took N30billion bond from the Stock Exchange for the Storm Water Project, N10billion from the Capital market, and three trenches of loans worth about N75million each that was alleged to be used to grow the Internally Generated Revenue (IGR), and bring in the Public- Private Partnership (PPP) among other promises. In addition to this domestic debt, is the huge external debt. The Debt Management office (DMO) described Edo State as one of the four States out of the 36 States with the worst external debt profile. According to the DMO, Edo had well over $123million hanging on the necks and heads of Edo people coming close to Lagos, Kaduna and Cross Rivers States.

The questions the Edo people were asking then were: What did the governor do with these loans? How much has been repaid and how much is left unpaid? What structure or facility has he put in place to repay the huge debts hanging on the heads and necks of the Edo people? What did he do with the statutory allocation from the federation account running into more than 1 trillion naira? What happened to the internally generated revenue that he grew from about 500million naira to more than N2billion naira monthly?

It will be recalled that when Oshiomhole came to power in November 2008, he announced to the whole world that the State had been brutally plunged into a huge financial debt by the 18 months administration of Prof. Osunbor. But that debt then was a paltry sum of 4billion naira, compared to the over N600billion he left behind for the State.

Worried by the huge debt profile of the State, the opposition politicians said it loud and clear that Oshiomhole had mortgaged the future of the State with no projects to show for the huge debt. They were more worried that a State that receives less than N6billion Federal Allocation could be paying out over N1billion monthly for servicing loans that are not productive. According to them, Edo State was committing over 25 percent of its statutory Allocation into financing of the governor’s reckless spending which is unhealthy to the financial stability of the State with no Industries. But Oshiomhole was not done yet. Burdened by this huge debt overhang, he went to the house of Assembly for approval to borrow more money as bail out running into billions of naira. It was alleged that part of this bailout fund and the loan taken from the Bank of Industry for small and medium Enterprises were diverted and shared to party members who have refused to pay back till date. About N2billion was said to have been released then with Godwin Obaseki, now governor, (Oshiomhole’s anointed candidate) as Chairman of the disbursement.

It is worthy of note that those who live in glass houses must not throw stones. Oshiomhole became the mouthpiece of the APC in its fights against corruption. In fact, he (Oshiomhole) had sentenced former President Goodluck Jonathan and our most respected former Finance Minister, Okonjo Iweala to unpardonable jail terms for what he called mismanagement of the nation’s resources. But while he was sentencing these great rulers, his buttock was wide open and the people could see the filth covering the anus of the apostle of democracy and anti corruption giant.

Today, the APC in Edo State is divided and in shambles as a result of Oshiomhole’s overbearing influence in the administration of Obaseki. Few days ago, the State Chairman of the party Anselm Ojezua announced the suspension of some leaders numbering over 30 people including Chief Francis Inegbeniki for alleged breach of the party’s Constitution and harassment of the State Party Chairman.

Those suspended include the former Deputy Chief of Staff to Adams Oshiomhole and Edo Central Senatorial leader of the party, Mr. Kenneth Ihensekhien and Mr. Henry Okpamen, also a former aide to Governor Adams Oshiomhole.

Others suspended include defacto leader of the APC in Edo Central, grassroots mobilizer and former Senatorial Candidate of the party in the last senatorial election, Chief Francis Inegbeniki.

Chief Priest of Idunwele- Ewu, former council vice chairman of Esan Central and chairman of APC in Esan Central, Hon. Francis Ubene were also suspended.

Others include the Esan Cental LGA youth leader, Mr.

Anthony Ibhafidon and Esan Central Ward 6 youth leader, Mr. Desmond Egbadon.

The Vice-chairman in Edo Central Senatorial district, Mr. Henry Okoror, was also slammed with the suspension over alleged “illegal detention of State Chairman, Anslem Ojezua”.

A statement by the State Party Chairman, Anselm Ojezua, made available to newsmen in Benin- city said a Committee headed by Mr. Osaro Idah, the party’s Secretary in the State, had been set up to investigate the allegation.

Reacting to his suspension, Chief Francis Inegbeniki, the Uzoya of Ewu, described his suspension as “laughable, unconstitutional, null and void”.

Inegbeniki added that the State Chairman of the party has no constitutional right to suspend him, but only his ward leaders.

He alleged that the purported suspension was occasioned by his petition against the State Chairman of the party to the national working committee accusing the Chairman of anti-party activities and embezzlement of funds meant for the last September governorship election.

“I am not a member of the executive of the State Working Committee of the party. I am neither an executive member of a local government area nor a ward executive member and so the State party chairman, Anselm Ojezua does not have the constitutional right to suspend me. The only organ that can suspend me is my ward members.” Chief Inegeniki said.

Speaking further, the Opoji-born politician and philanthropist said, “I was unanimously elected the leader of the party in Edo central senatorial district and the State Chairman cannot cow me not to expose his anti-party activities in the State especially in the last governorship election where he worked for PDP”.

Inegbeniki added that the party’s Chairman was on a mission to destroy the party in the State.

He however urged the State governor, Godwin Obaseki who is the leader of the party in the State, the National Working Committee and other leaders to nip the dictatorial leadership of the Chairman in the bud and save the party from catastrophe.

Obaseki is now in the eye of the storm. He has many issues to contend with as a neophyte in Politics. His inability to fulfill his electioneering promises with an empty treasury is alleged to be responsible for the forced phantom pension scheme that had no statutory backing on the civil servants. Through this scheme, 14 percent of the workers salary was deducted without consultation and statutory authorization. This, the Nigerian Labour Congress, NLC said it would fight until it is reversed or he (Obaseki) would face an industrial action of unimaginable proportion.

Obaseki is not done yet. In the wake of his administration, angry with the perceived empty treasury, the governor gave the go-ahead to sack the youth leader of the party in Oredo Local Government and Chairman of the Road Transport Employers Association of Nigeria, (RTEAN), Comrade Osakpanwan Eriyo (alias Nomoless), with all the Oshiomhole’s revenue collectors.

Osakpanwan was one of Adams Oshiomhole’s point man in Benin, who was empowered heavily that his wealth can now challenge the millionaires in the State. This was the first major crisis Obaseki had to contend with. The sacking of all the revenue consultants of Oshiomhole did not go down well with the former governor.

Pundits are of the opinion that the State is broke, following the wasteful spending on the election by Oshiomhole to rig in Obaseki. It is disheartening that the way and manner the Comrade bankrolled the election in this period of recession even in the face of the fight against corruption by the APC; nobody is asking questions from Abuja.