LG Funds: Panel Submits Report, Says No Money Is Missing

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A panel of inquiry that was asked to probe into allegations that the Kwara State Government diverted or deducted N300m monthly from local government funds since May 2019 to date  has described such allegations  as   false and baseless.

The panel also said it found no evidence that the AbdulRahman AbdulRazaq administration has borrowed to pay salary or pension since it was inaugurated on May 29, 2019. Its chairman, retired Justice Mathew Adewara formally submitted  the panel’s report to the Governor penultimate week.

‘We want to state categorically that there is no evidence either oral or documentary to support the allegation of N300m monthly deduction from the local government funds by the state government. The allegation of such deductions is therefore baseless, unfounded and false’ Adewara said.

AbdulRazaq had on August 11 inaugurated the panel to investigate the allegations of diversion of local government funds or borrowings from the bank to pay salaries of local government workers.

Justice Adewara said a total of 35 witnesses testified before the panel while several documents were produced and tendered by them. He said the panel also visited some of the local governments to see what projects they have done as had earlier been submitted by the director of personnel management (DPMs) who appeared before them.

The panel  in its report also said the state government has not deducted money from the SUBEB account while salaries of teaching and non-teaching staff are paid as and when due from May 29 to date.

Adewara said the panel only received a memorandum from the Elite Network for Sustainable Development (ENETSUD), adding however that the questions the civic group raised in its memo were all based on incomplete information sourced from the internet and social media.

Justice Adewara commended the Governor for his boldness to direct a probe of his own administration — a development he asserted was new to the country.

‘We commended Your Excellency’s courage to set up the panel to inquire into the finance of the local government from May 29 to date, which is the same as setting up a panel to investigate your administration’ he said.

The Governor also commended the panel members  for accepting to serve the state in such delicate capacity while asserting that he never authorized deduction of any money.

‘We believe that the document you’re submitting will enrich us. I never authorized the deduction or diversion of any money and so nothing could have been so diverted.

However, it was important to clear public doubt when allegations came that we were diverting some money. That was the essence of setting up the panel to see if there has been any anomaly as alleged. Your findings and recommendations will help us to strengthen the civil service both at state and local government levels, especially how funds are spent and managed.

We campaigned on not interfering with local government finances and since we came in we have not done so. If anybody has done so it was without my knowledge. The local governments do not need my approval to spend any money. The main interface between the state and local governments is when the commissioner of finance and planning goes to Abuja for FAAC meetings, comes back and meets with the local governments that this is what we got for you from Abuja. That’s where it ends.

Truly, we appreciate what you have done. We will go through your recommendations properly and implement them. Just as we set up this panel, the state house of assembly set up their own and I also invited the Economic and Financial Crimes Commission (EFCC) to come in and investigate the issues. That is ongoing. I thank you for your time’ he said.

The eight-member panel comprised prominent Kwarans including retired Justice Adewara (chairman); Mrs Halimah Bello (DSS); Mrs Titilayo Adedeji (CSOs); Barrister Aisha Bello Mohammed (NBA); DSP Adekunle Iwalaiye (police); Mohammed Baba Ibrahim (ICAN); Alhaja Asmau Apalando (NLC) and Barrister S.K Grillo (Secretary).