From the Kogi State chapter of the Peoples’ Democratic Party, PDP, has come a harsh admonition of the nation’s apex financial institution, the Central Bank of Nigeria, CBN, over allegations of partisanship following last Wednesday’s disclosure of plans to effect the release of the bailout funds due to the state.
Mr Asiru Idris, Special Adviser on Finance, Economy, Commerce and Investment to Governor Yahaya Bello, last Wednesday hinted that the CBN was set to effect the release of Workers Salaries Assistance Bailout Loan to the state.
However, the state PDP, reacting through its spokesman, accused the CBN of double standards, saying the bank’s action showed that it “deliberately denied former Governor Idris Wada access to the loan in partnership with the APC to programme Wada and the PDP out of power in the state”.
The party alluded to the correspondences between the Wada Administration and the CBN in the last quarter of 2015, suggesting that the apex bank was less than honest with its own side of the deal. He cited the situation where the bank pressed for additional documentation, before the formal release of the lifeline, even though no other state which applied for the facility, was so asked at that time.
According to the spokesperson, the CBN in September, last year, had demanded the following:
The total period of the Local Government Areas(LGAs)/ primary school teachers’ salary arrears; total LGA staff strength/primary school teachers for each of the local governments; if any recent staff audit had been conducted to identify ghost workers; possibility that disbursements for affected states (Kogi inclusive) might be through Biometric Verification Numbers (BVN) and confirmation if those government staff have BVNs.
“At that time, the national deadline for BVN registration was October 31, 2015. The bank in the mail said it expected most workers would have complied with the registration.
“It also requested a copy of the last salary payroll for both LGA staff and primary school teachers.
“From the record at the party’s disposal, on Monday, 28 September, 2015, the state government forwarded its response. This included all the required documents carefully assembled in hard and soft copies.
“The highlights revealed period of salary arrears of LGA Staff and Primary School teachers between January 2011 and August, 2015. The staff strength of the 21 LGAs stood at 26,774, while that of primary school teachers was 23,814 as at August, 2015. Thus, the N45.871billion component of the bailout loan was to cover salary arrears of a total staff of 50,588 at the local government level.
“The Wada administration equally furnished the bank details of staff audit exercises conducted to cover both LGAs staff and primary school teachers. The exercise reduced LGA Staff strength from 30,206 to 26,973, while that of primary school teachers was reduced
from 27,090 to 23,814.
“As it was the case across the country, it was a herculean task compelling workers to get their BVN registration done before December 2015 deadline. This explains why the CBN itself had to call for an extension.
“To this extent therefore, scanned copies of the respective call circulars issued by the Ministry of Local Govt to LGAs staff and that from SUBEB to primary school teachers advising staff to obtain BVN were attached. Even as we speak not everyone can be said to have obtained the BVN.
“Finally, the administration included the last pay vouchers of primary school teachers in soft copies arranged on LGA basis. Those of LGA Staff were in hard copies and delivered by hand on Tuesday 29th Sept, 2015.
“All the required documents arranged in two portfolios, one for LGAs staff , the other for primary school teachers for ease of reference, were tendered.
Indeed it was stated that should there be any need for clarifications, the chief executives of SUBEB and the Ministry of Local Government including the Commissioner of Finance would be available at short notice.
“As at Thursday, September 17, 2015, the CBN Governor volunteered that 18 states have accessed the money. Four other states were being processed at the time. The states were Oyo, Delta, Kogi and Benue. Subsequently, short of maintaining physical presence in Abuja to press the matter, former Governor Wada delegated the Deputy Governor, Yomi Awoniyi and the Finance Commissioner to remain permanently in the federal capital more or less, to follow-up the much needed palliative.
“As was routine, both senior officials would go to Abuja for the monthly meeting of the Federal Accounts Allocations Committee meeting and simultaneously liaise with the CBN to facilitate the release of the Workers Salaries Assistance Bailout Loan.
“There were instances where rumours went viral that Wada had received the bailout, but just wouldn’t pay and all that. By some robust engagement with the workers, however, the Wada administration was somehow able to calm the workers who had grown impatient especially when other states had gotten their disbursements.
“The Wada Administration was able to convince the workers through the labour unions who knew about all our efforts and much because of our openness and transparency. We reassured them that on receipt of the money, no delay whatsoever would occur in making sure that all the outstandings were paid according to the loan accessed from the CBN.
“The whole process was transparent; notices would be published, Kogi people would see clearly what was being paid and to who, across the entire state.
“The workers in Kogi State had been very understanding on the salary issue.
“However, there is a limit to human endurance. The workers were mischieviously misinformed that Capt Wada didn’t meet the criteria or he intended to use the bailout money to fund his election. We saw through the calculations of the APC-led federal government with the instrumentality of CBN to use Kogi workers as a political tool in causing upheaval, destabilizing the peaceful nature of the state, create the leeway for fifth columnists to capitalize on protests to wreck havoc in the state. The ultimate target was unseating Capt Wada as Governor of Kogi State through the crude means of tainting him incompetent and unpopular.
According to Ogunmola, the leadership of the PDP, on behalf of Capt Wada, congratulates Kogi workers that finally, they can access the loan. The party lauds Wada for putting together a comprehensive request for the bailout which was denied him for political reasons. The party wishes to state thst now that the much sought funds have been released, barely three months after his exit, the historic efforts of Capt Idris Wada in bringing succuor to his people, must not be forgotten.
“The workers and their longsuffering families will be the better for it, with the Kogi bailout finally released from where it is warehoused for the past six months. It will be grossly immoral, totally unfair and a grand misnomer to celebrate the present administration for securing the release. Approval of the fund had been duly secured following due process before Wada left office but the release of the money withheld as a result of partisanship on the part of the federal government and CBN.
“Our prime concern is the awkwardness of the timing of the release of the bailout at a period when all eyes are on the Kogi State Governorship Election Tribunal, which is wrapping up its sitting in which the opposition looks up to fairness and justice.
“Such release at this time is viewed as unnecessary distraction and veiled attempt to steal from the till, in anticipatory fear that the APC government might lose it’s case at the tribunal.
If, indeed, strong opposition to the release of the money last year had been hinged on possible diversion by the PDP for election purposes, the CBN could do more than exposing its undue sympathy for the APC governor by withholding the loan until all cases challenging his electoral victory are dispensed with at the Tribunal, or better still handle the disbursement over to individual workers through the Deposit Money Banks (DMBs).
“Essentially, a clear case of double standard on the part of the CBN in the release of the loan at this time is the fact that the bank had insisted on workers BVNs during the regime of Capt Wada. We are aware there is a fresh workers screening exercise initiated by the Bello Administration, which of course, the committee overseeing the screening was yet to turn in its report even as we speak. Collection of BVN numbers was part of the ongoing screening exercise. At what time then did the Bello Administration make a fresh application and met all the requirements for the bailout money being released to bim? What is the statistics, because hundreds of workers have been laid off since Bello assumed office in January?
“Also, the CBN requirements include that the states must have COMPLETE executive councils which must agree with their Houses of Assembly on the bailout out application. The point is Governor Bello is yet to appoint commissioners while the legislative functions of Kogi State House of Assembly, had been taken over by the National Assembly. Certainly, the executive council and legislature in Kogi State have been sidelined in the process. Is the CBN aware of this?
“What mechanisms does the CBN intend to put in place to ensure that the Kogi bailout funds are used for the intended purpose and not diverted to other purposes as was done in other states? We demand that the CBN Governor, Mr Godwin Emefiele should provide answers to these puzzles.” Ogunmola concluded.
