Judicial Panel Reveals Findings On Kwara LG Funds Diversion

Judicial Panel of Inquiry on the finance of the 16 local government areas in Kwara state has revealed its reports on allegations levelled against the Kwara state government.

Naija News recalls that the State Governor, AbdulRahman 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.

Submitting its report to the governor late Wednesday, the panel said allegations that the government diverted or deducted N300m monthly from local government funds since May 2019 to date are false and baseless.

The panel also said it found no evidence that the administration has borrowed to pay salary or pension since it was inaugurated on May 29, 2019.

The Justice Mathew Adewara-led panel 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 had done as had earlier been submitted by the Director of Personnel Management (DPMs) who appeared before them.

The report meanwhile confirmed that the last administration took two separate loans in the name of the local governments: N4bn and another N1.6bn.

“The past administration obtained a loan of N4bn from a commercial bank for payment of two months arrears of salaries of local government staff. It was this loan that the Local governments were repaying at monthly instalments of N317m. The loan of N4bn has been fully repaid in September 2019.

“There is another loan of N1.6bn also obtained by the past administration while the repayment of the loan is ongoing and will terminate in August 2022. It means therefore that the present administration inherited the obligation to repay the loan.”

The committee urged the government to ensure “the monthly publication of the total wage bill, IGR and expenditure at the state and Local government levels. This, we are sure, would guarantee accountability and transparency which will enrich the integrity of the government in the minds of the people; thereby preventing future reoccurrence of doubt, allegation of financial misappropriation emanating from the people against government.”