OGD mortgaged Ogun –Amosun

Posted by admin Headlines, Ogun, State News Wednesday, June 29th, 2011

Ogun State Governor, Senator Ibikunle Amosun yesterday explained why it might be difficult for the state government to immediately commence the payment of the N18, 000 minimum wage.
Addressing over 100 paramount and traditional rulers yesterday at the Obas’ complex, Abeokuta, the state capital, Amosun lamented the financial position of the state, adding that the legacies of the founding fathers of the state had been mortgaged.

He, however, disclosed that he was not interested in probing his predecessor.
His words: “I am not interested in any probe. I don’t want to use my good time to chase what I know is bad. They said they left N50 billion, but at the appropriate time, we will tell you what we met on ground.
“I will even be happy if what we met on ground is N50 billion. Ogun is the most indebted state in Nigeria. Lagos borrowed N250 billion and Rivers – N150 billion. Lagos generates N30 billion per month. Rivers generates between N12 billion and 15 billion.

He continues: “What we generate is between N900 million and N1 billion and you have a loan of N50 billion. There is irrevocable standing payment order. The position we met is so bad. Bond is a veritable tool for development, but we can’t go there to pay salaries unless other things happen.”

According to the governor, the state needs to borrow about N4 billion to pay salaries, “so if the civil servant wants N18, 000 minimum wage, we will have to borrow about N6 billion. All our assets have gone into concession.’’
Speaking on the concessioning embarked upon by his predecessor, Amosun told the traditional rulers, the number one tourist centre in the state, Olumo Rock, which is the least was concessioned for 15 years.
“Others are between 25 and 60 years. I begin to wonder why somebody will sign all our patrimony. To make matter worst, all of them were made without the laid-down procedure. It did not go through the State Executive Council, not even the Assembly.

“For me, we will look into all of these and review them. If it affects any of you our Kabiyesi, it is nothing personal, it is about the state. I am not here to witch-hunt anybody.
On the power plant projects embarked upon by the administration of Governor Gbenga Daniel, Amosun said: “A totality of N15.9 billion was expended. The state has paid 50 percent to contractors and the percentage of completion is just 20 per cent.

“The technology behind the power project is 1970 and they are refurbished and to think that those are the assets that put us in debt, “I knew it was bad, I never imagined it was this bad. Ogun government property at Victoria Island was signed out to a person for 60 years.’’

Explaining why he had to address the traditional rulers ahead of (today’s) ‘’state of the state address’’, Amosun said: ‘’ I believe it is important to carry our Kabiyesi along in all that we do. Tomorrow (Today), we will be addressing our people. We will be stepping on toes in trying to rebuild the state, but we have to’’.
‘’As a Mega city status and to prepare for such envisioned development, he said his administration would renew the urban areas, which will affect some of our building. We will do envelope urban renewal roads.

‘In all we do, we will not allow our people to suffer. We will provide alternative. It is not to demolish for demolishing sake, our people have suffered a lot, we will not add to their problems. We will take briefing from you.
‘’ We will at all times try to follow due process which will make it different for whoever is governor to do what is right, but find it expedient to correct us readily. When we veer off the track, feel free to correct us’’, he told the traditional rulers.

-Sunwp_posts