The Nigeria’s Federal Allocation Account Committee (FAAC) has increased funds allocated to the three federating units of Federal, State and Local Government administrations since the removal of the fuel subsidy by the Federal Government of Nigeria at the inception of the current administration of President Bola Ahmed Tinubu.
Expectedly, an increase in allocation should translate to an improve sustainable development at the federal, state and local governments being the closest to the people, but this is not the case as most of the State Governors and Council Chairmen have other ideas with the funds meant for the well-being of the people and leaving the Federal Government to take the blame from the citizens who always prefer to criticize only the ‘President’.
Lagos Panorama on a fact finding interview with two of the five councillors in the Eti-Osa East Legislative Council after an investigative report emanated from Council’s lawmakers indicted the Council Chairman, Hon John Ogundare of diverting funds earmarked for critical sectors, including health and education.
They revealed the details of how he misappropriated the funds as he jettisoned due-process in the allocation and prosecution of contracts in 2023.
The Majority Leader of the Council who is one of the signatories to the report that indicted the Chairman of the fraudulent act, Hon (Mrs.) Tawakalitu Agbaje and Hon Odedina Nurudeen, who is the Secretary of the Appropriation Committee of the Council’s Legislatures, both revealed that the report became necessary when they discovered that the 2023 budget had a deficit of 1.9 billion naira at the course of doing their oversight function and their findings have been submitted to the Lagos State House of Assembly for further investigation and disciplinary action.
Furthermore, after several efforts to reach the Council Chairman to have his view on the allegations against him failed, another concerted efforts yielded with an incisive interview with the Vice Chairman Hon Azeez Ismail and two Supervisors, Hon Sarunmi Ajibade the Supervisor for Chieftaincy Affairs and his counterpart for the Environment, Hon Yisa-Lukman Olanrewaju, to have the perspectives of the executive members since the man at the helm of affair cannot be reached as at the time of publishing this report.
The incisive interviews were thought provoking as the interviewees confirmed the allegations contained in the Councillors investigative report and also revealed how the Council Chairman set aside the due process to issue and execute contracts through his cronies without approval of the tenders’ board constitutionally superintended by the Vice Chairman.
Concerned Residents Protest
The investigative interview became necessary after a peaceful protest staged by over 500 Concerned Residents of Eti-Osa East Local Council Development Area (LCDA) led by Mr. Segun Williams to the Lagos State House of Assembly on Thursday 4th of April 2024, demanded for the suspension of Chairman of Eti-Osa LCDA, Mr. John Campos Ogundare, over allegations of embezzling N1.9 billion as stated in the Councillors report since December 2023.
The protesters carried placards with various inscriptions, calling for the suspension of the council chairman.
Speaking on behalf of protesters, Segun Williams urged the State House of Assembly members to act urgently.
He said an investigative report dated December 19, 2023, by the Council’s legislatures, had indicted Mr. Ogundare and that he did not deserve to remain in office.
Williams stated that “In the report, signed by the leader and majority leader of Eti-Osa East LCDA, the Chairman was indicted for diverting funds earmarked for critical sectors, including health and education.
“Among the allegations are failure to pay running costs to various departments of the council based on the 2023 budget, neglecting balance payments to past political office holders against governmental advice.
“He was also indicted for unauthorised project execution and contract awards without legislative approval and non-adherence to the 2023 budget for schools and Primary Health Centres’ construction/renovation.
“He has also failed to comply with legislative requests for income and expenditure records. He has perpetually approved contracts above his limit of N35 million,” Mr. Williams said.
Mr. Williams alleged that the Chairman had ignored the State Assembly’s invitation on March 25 and April 3 and had been bragging that he had enough funds to influence the state’s lawmakers.
He said the Assembly needed to act and “clear itself from this mess.”
Hon Adebola Sabi, representing Lagos Mainland II, who received the protesters said the assembly, under the leadership of the Speaker, RT Hon Mudashiru Obasa, would see to the matter.
Sabi affirmed that “We are here for the people of Lagos State, and we will give you justice. We will deliver your message to the speaker. I am aware that the chairman was invited because I was part of the ad hoc committee that was to investigate him,”.
Hon. Shabi expressed appreciation for the peaceful protest and assured the residents of justice.
He also confirmed that their own investigation was ongoing to address the allegations.
Counter-Protest
The supporters of the Council Chairman Hon John Ogundare, also stormed the State Assembly in a counter-protest to proclaimed the innocence of their man.
The dissenters on Monday 8th April 2024, in their numbers carried placards with various inscriptions and chanting solidarity song in the favour of the indicted Local Government Council Chief.
The All Progressives Congress (APC) stakeholders, market men and women, trade associations, the Arewa group, and the Ohaneze Ndigbo in Eti-Osa East Local Council Development Area (LCDA) of Lagos passed a vote of confidence on the council chairman, John Campos Ogundare.
They gave the verdict during a peaceful protest staged at the Lagos State House of Assembly and the APC state secretariat on Monday.
During the protest, the groups dissociated themselves from a group identified as Concerned Residents of Eti-Osa East, which called for the suspension of the council chairman over alleged financial misappropriation.
Speaking during Monday’s protest, Chairman of the APC Eti-Osa East LCDA, Adekunle Odunuga, described the Concerned Residents of Eti-Osa East as a faceless group with sponsored protesters. He said: “We are here to dissociate ourselves from those who demonstrated last week at the Lagos State House of Assembly. They are not part of us.
A representative of the youth in Eti-Osa East, Kazeem Oladapo, expressed displeasure over the unhealthy political development. He said: “We are not comfortable with the political machination going on in the LCDA. This is a political conspiracy by the councillors against the council chairman.
“Eti-Osa East has been a peaceful district since we elected the council chairman. He understands the administration, but some unfaithful politicians are bent on giving him a bad name. That was the handiwork of selfish politicians who are determined to mislead lawmakers into taking actions that are against the general will.
“The Lagos State government and the State House of Assembly should look into this matter and prosecute those that are sponsoring false publications against the Council Chairman.”
A party chieftain, Apostle Olusoji Fabuda JP, said: “Some people were here to protest last week. We know some people are behind this. When we looked at the video, we could not identify any of them as residents of Eti-Osa East. They are faceless. We cannot identify them either as party members or residents in the district.
“He who alleges must prove. They have not been able to give us any assertions on this. We are the public and residents. We are party members. They cannot be in hiding and be throwing baseless allegations up and down.
A market leader, Alhaja Mutiat Awere, appealed to the detractors to not drag Eti-Osa East backwards with baseless allegations.
She said: “Please don’t let them drag us backwards in Eti-Osa East LCDA because the Council Chairman is doing a lot to improve the standard of living of residents.
“Those who are behind these baseless allegations want the Chairman to enrich them, whereas he is concentrating on infrastructure development.
“That is his offence before them. So, I want to appeal to the lawmakers to not allow the sponsored protesters to detail the good administration of Hon. Campos Ogundare.”
Responding, Hon. Desmond Olusola Elliot, representing Surulere 1 at the State House of Assembly, assured the protesters of a just and fair hearing. He said: “We have heard what you have said. We have listened to both parties”.
“We have collected your petition, and I can assure you that the House, under the leadership of Rt. Hon. Mudashiru Obasa will look into it. I appeal to you to return to your destination as peacefully as you can.”
The Chief Press Secretary to the Chairman, Mr. Ola Mohammed in defense of his boss claimed that the Eti Osa Council’s budget for 2023 was 1.4 billion naira so he doesn’t know where the Councillors got their information.
INTERVIEW: An incisive interview with Hon (Mrs.) Tawakalitu Agbaje and Hon Odedina Nurudeen, Secretary, Appropriation Committee of the Eti Osa Legislative Council:
In her words the Majority Leader, Mrs. Tawakalitu Agbaje in her response to the inquiry if she actually signed the report that indicted the Council boss of Eti Osa East Mr. John Ogundare of the misappropriation of 1.9 billion naira, she affirmed that “I’m the one who signed the report, it’s an oversight function, we got a budget deficit of 1.9 billion, so after the Leader signed the report, I signed as the Majority Leader, and we sent it to the Lagos State House of Assembly to look into it”.
The Secretary of the Appropriation Committee of the Council’s Legislatures, Hon Odedina Nurudeen in his reaction to the claim by the Chief Press Secretary to Chairman that the 2023 budget of the Council was 1.4 billion, he stated that “the whole budget for 2023 budget was three billion, six hundred and ninety-six million (3, 696, 000, 000), that is as an estimated budget, while actual budget executed for 2023 was N2.7 billion naira”.
Nurudeen further said “in 2022, when the Leader and other councilors re-audit of the budget was two billion, two hundred and ninety-nine million, seven hundred and fifty thousand naira, and actual is two billion, eighty-nine million, so you can see the difference. So, would he now say the total estimated budget was 1.9 billion?” he asked rhetorically.
“So like the Majority Leader has said earlier, when we noticed 1.9 billion deficit from the budget during our oversight function, we wrote the Executive Chairman to come and give (explain) us how he got a 1.9 billion budget deficit, but failed to complied with the report and went gave the wrong impression outside that the councilors want to impish him, just to come and make explanation”.
“The budget is there, the lawyer, the Leader of the House, the Clerk and the Chairman signed the budget, we have our copy and they have their own copy, if the public and State Assembly that the matter is already before them need to see our own signed copy, we are ready to present it” he confidently deposited”.
Both grassroots lawmakers stated that they have been invited to the state assembly twice and chairman was asked to come back and present the necessary documents.
The Majority Leader also noted that when the Vice Chairman Hon Azeez Ismail, who constitutionally is the Chairman of the Tenders Board, was asked by the Committee in the State Assembly if he was the one who signed the approval of the Tenders Board for contracts that he said he was not the one who signed it.
She further explained that the Committee asked the Chairman who gave him approval to award contracts beyond the constitutionally limit of 35 million naira or if he got approval from Council’s Legislature, but he couldn’t answer because he did it on his own without any approval.
While corroborating the Majority Leader on the Chairman approved contracts beyond the expected limit of 35 million-naira, Hon Nurudeen said in the report sent to them by the State Assembly, a road in his ward (Ward C) Shittu Saka Musa Street was awarded for 196 million naira.
He emphatically stated that the Chairman did not get approval for all the projects he executed in 2023.
Nurudeen noted that “during our oversight function in the first, second, and third quarters of 2023 when we (Council Legislatures) invited the Vice Chairman, Hon Ismail, who is the Chairman of the Tenders Board and also the Supervisor for Budget, so hold two portfolios, during our cross examination, we asked him how many contract he has signed in 2023, but he said he hasn’t sign any contract in 2023”.
“We further asked him why, is there no project going on in the Council, he said there’re projects going on, but he has not signed any”.
Hon Nurudeen also alluded that “setting up Local Government administration, there are guidelines and the guidelines guide different department, stating the function of the Councillors, functions of the Chairman and of the Supervisors. So, we never did any oversight function on the projects of 2023”.
On some of the projects awarded without approval, he mentioned drainage construction on Osho road, Lamgbasa road, construction of Saka Musa road, Ado road and a host of others, which were also visited by our correspondent to discovered that they were undone.
He noted that when the chairman of the Tenders Board did not sign any contract, the Councillors cannot approve such project.
Hon Nurudeen expressed appreciation to Nigeria’s President, Mr. Bola Ahmed Tinubu “let’s thank our President because when he resumed office the Federal Allocations have increase, and this allocation are meant to improve development in our communities, before we used to get 70 million, 80 million but now we get 190 million, 200 million, above 200 million at times, at least we ought have seen tangible projects, but the increment in fund doesn’t reflect with development in Eti-Osa LCDA” he asserted.
Interview with Executive Members
Since efforts to speak with the Chairman wasn’t possible, after several efforts I got the Vice Chairman, Hon. Azeez Ismail.
Hon. Ismail gave the assurance of accountability in an interview with Lagos Panorama on Sunday.
According to him, the All Progressive Congress (APC) was a party of welfare, equity and accountability.
Though the residents have the right of fair hearing because we are running an inclusive government.
“I will not say much about the allegations because I don’t know the protesters but the financial allegations have been on since 2023.
I know the protesters are citizens and tax payers they deserved to be heard because the allocation is not meant for the indigenes alone but for all the people in the community notwithstanding the tribe or the religion,” he said.
The vice chairman said that he was part of the counter protest because he knew what the party stood for.
“I know our party APC will not condone corruption and misappropriation that was why we join the counter protest because we can’t throw away the baby with the water,” he added.
Basically, our budget for 2023 was N3.7 billion and total actualisation was N2.7 billion but for the chairman’s Chief Press secretary to say that the total budget was N1.4 billion, the statement was not correct,” he said.
Ismail noted that there were some levels the management went through before making budget.
He added that stakeholders were held to ascertain and review the previous budget with various representatives in attendance before it became law, even the 2022 appropriation was N2.6 billion not even N1.4 billion.
Another Executive member of the Eti Osa East LCDA who spoke with Lagos Panorama, Hon Sarunmi Ajibade, the Supervisor for Chieftaincy Affairs, in his reaction to the allegation of the misappropriation of 1.9 billion naira by the Council Chairman said the report emanated from the Councillors after their oversight function carried out in December 2023.
Ajibade stated that “thereafter, the Executive arm which I belong to, advised the Chairman to coordinate the council’s affairs the way it’s enshrined in the Lagos State Local Government Administrative Guideline, which stipulate a lot of responsibilities for the Supervisors, the Chairman and other members of the executive, to ensure transparency and accountability”.
“One of such is the issue of Fund Management Committee (FMC), apart from approving budget, it’s mandated that the executive body should hold Fund Management Committee meeting monthly, the members of the committee comprise the Chairman, Vice Chairman, Supervisors, the Council Treasurer who will serve as the Secretary, as well as the Council Manager. Only the Secretary to the Local Government that’s excluded in the Fund Management Committee”.
“It’s saddening to note that since the inception of this administration, since myself and other Supervisors joined this administration, we are yet to conduct the FMC meeting, that’s since the second quarter of 2022, about two years now, the Chairman have not hold any FMC meeting, and that has being a major reason the local government has not been performing the way it should, despite the billions of naira we’ve been receiving from Federal Allocation and IGR (Internally Generated Revenue), it cannot be accounted for because of this lacuna” he averred.
Another Executive member of the Council who availed me with an interview is the Supervisor for the Environment, Mr. Yisa Olanrewaju, who stated that a former Senior Special Assistant to the Chairman on the Environment, Mr. Agbalaya, who was appointed by the Chairman resigned amidst controversy of remitting council’s levies collected into the Chairman’s personal account.
Mr. Olanrewaju said “Agbalaya used to collect levies from the market tolls and paid into the Chairman’s personal account. He told me he doesn’t want trouble for himself because the Chairman is not following due process, because every money collected should go to government’s account and not to the chairman’s account, so he resigned”.
“I am also aware that this has been going on, one of his personal account is Jamaklint. In 2022, Senior Special Assistant on Market Mrs. Obanikoro used to pay market levies into this Jamaklint account of the Chairman”.
“We’ve not been conducting our FMC meeting, we’ve not meet for once, and it’s at the FMC meeting we ought to deliberate on every project before approval, the Chairman is doing all the contract by himself” affirmed the Supervisor for the Environment.
“If you go to Ado, he has approved and collected the funds for the drainage but the job is not done. Imaging the Chairman saying he want to construct recreational center in front of a school, a recreational center where people will be smoking, drinking in the front of a school with pupils, this is not done anywhere. Anything you want to do in front of the school should be pertaining to school, such as library”.
He noted that the Chairman collected money for road construction in Ajah, Monastery, Ado roads but no construction was done and they have been paid for without any job done.
Mr. Segun Williams who led the Concerned Residents of Eti-Osa East Protest in a phone chat with Lagos Panorama promised to take his protest further with a petition to the Economic and Financial Crime Commission if the State Assembly fail to do due diligence and justice to the lingering allegation of misappropriation of 1.9 billion naira by the Council Chairman of Eti Osa East, Hon John Ogundare since December 2023.