Bailout funds: Osun, Enugu fault ICPC report, deny diversion of cash

Osun and Enugu state governments yesterday faulted the report of the Independent Corrupt Practices and Other Related Offences Commission (ICPC) on the utilization of the bailout funds from the Federal Government.

They claimed that no money was diverted, misapplied or unused.

The Osun State Government dismissed the ICPC report that the state paid salaries last in July 2015 as laughable.

It asked the Peoples Democratic Party in Osun to desist from wishful thinking that it has a tool to hang anything on Governor Rauf Aregbesola.

It explained that instead Aregbesola had been creative and prudent in paying salaries up till January 2016.

The two states made their position known in separate statements.

The Director, Osun State Bureau of Communication and Strategy, Semiu Okanlawon said: “There is no case of diversion of bailout funds as far as Osun is concerned.

“Has anyone asked how the state was able to accommodate pensioners in the bailout funds application when in actual fact pensioners were not part of the bailout scheme?

“Don’t also forget that the bailout was to take care of salaries backlog up till June last year. The report that that Osun paid salaries last in July 2015 is laughable when in actual fact workers in the state have got their salaries up till January 2016 and already looking forward to February salaries including pensioners.

“Governor Rauf Aregbesola cannot be found wanting because whether in bailout funds or other funds of Osun he has been very creative in the management of the scarce resources to lift the state beyond the limit of the available resources.”

On its part, the Enugu State Government through its Secretary to the State Government, Elder G.O.C Ajah, said it did not misapply the bailout fund of N4.207 billion received from the Federal Government.

Ajah’s said: “”The true position is as follows:

“Enugu State Government received N4,207,000,000.00 from the Federal Government as bailout fund for the settlement of outstanding salaries, subventions and pensions for public servants in the state.

“That when the bailout fund was received, a dedicated bank account was opened for the fund and a committee comprising leaders of Organized Labour in the state, representatives of the state government and pensioners, was setup by the Governor, Ifeanyi Ugwuak to oversee the disbursement of the fund.

“ So far, N3,284,729,253.38) has been verified by the committee and disbursement is on-going. At the moment, the balance is N922,270,746.62) while the verification exercise for further payment continues.

“On the issue of Excess Crude Account (ECA) Infrastructure Development Loan facilitated by the Federal Government, the state government has disbursed N5,387,569,930.00, leaving a balance of N4,612,430,070.00.

“From the foregoing therefore, the Enugu State Government wishes to state categorically that it did not misapply the bailout fund.”