N50bn hidden debt discovered in Amosun govt – Ogun

The Ogun State Government discloses it took its thoroughness to find out a supposed hidden extra N50bn domestic debt left behind by the immediate-past government of Senator Ibikunle Amosun.

Governor Dapo Abiodun declared that the figures given to it by the government of Amosun did not capture the complete debts it left behind when the previous governor left office in 2019.

According to a statement endorsed by the Chief Press Secretary to the Governor, Kunle Somorin, the government asserted that at least N50bn in financial debts were not accounted for in the monetary report given over to him in May 2019.

The governor’s statement was a response to the report from the Debt Management Office, which declared that the administration incurred N58bn domestic liability within the period of his government.

The Debt Management Office in the report uncovered that the Dapo Abiodun-led government borrowed N58bn as domestic debt in 18 months.

The Debt Management Office (DMO) report, which was released on March 15 indicated that from June 30, 2019 to December 30, 2020, the Ogun State Government had acquired a total of N58,316,493,347 local debts.

As indicated by the government, the current report by the DMO indicated that the overlooked figures by the immediate past government in the state on the domestic debt affected the DMO report.

The statement read in part, “We only got to know about this amount in the course of our carrying out due diligence on Ogun State finances shortly after we took over.

“As a transparent government committed to being accountable, we had to disclose this for the first time to give a true picture of the state’s indebtedness.

“Governor Dapo Abiodun has started paying the retirees and pensioners affected, with the first tranche of N500m paid to them last month. Every quarter, the governor has promised to pay them at least N500m until everyone is paid.

“The increase in the 2020 total debt of the state was due to an undisclosed gratuity and staff liabilities of about N50bn not recognised in the state financial statements in May 2019 at the end of the previous administration.

“In order to show the complete picture of all state liabilities, the current administration booked the gratuities and staff liabilities in the financial statements of the state hence the increase.

“Residents and citizens of the state can attest to how Gov Abiodun is completing all the abandoned projects of his predecessor and commencing signature projects and roads.

“The governor has concentrated on his ‘Building Our Future Together’ with special attention to infrastructure, health, education and agriculture.

“Also, the welfare and security of the people, which are the primary functions of government are equally on the front-burner.”

Efforts to get response from Amosun were unsuccessful as the previous governor had not replied the text message sent to his mobile telephone.