Probe Edo Spending Of 13% Derivation Fund, Communities Urge Buhari | Independent Newspapers Limited
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Probe Edo Spending Of 13% Derivation Fund, Communities Urge Buhari

Adams Oshiomhole, buhari
Posted: Sep 8, 2016 at 8:55 am   /   by   /   comments (0)


Francis Onoiribholo


Benin – Concerned Host Communities of Nigeria (HOSCON) on Wednesday appealed to President Muhammadu Buhari to institute a commission of inquiry into how Governor Adams Oshiomhole of Edo State spent the over NI00 billion as 13 percent derivation for oil producing communities in the state.

The appeal which was contained in a statement in Benin signed by Comrade Nosa Igbinomwanhia for Concerned Edo Youth Wing of HOSCON, accused the state governor of not only mismanaging the fund but also leaving the oil producing communities in abject poverty and penury.

However, Edo State Commissioner for Finance, John Inegbedion, while reacting to the allegation said the state government has not received such an amount as 13 percent derivation as stated by HOSCON.

He explained that by law, Edo State Oil and Gas Development Commission (ESOGPADEC) was entitled to 40 percent of what accrued to the state as 13 percent derivation, saying that it was that money that it used for financing the several projects in the oil producing communities in Edo State.

“As we speak now, EDSOPADEC is involved in the construction of roads projects in Orhionmwon and Ikpoba-Okha local government areas, two of the oil producing local government areas in the state.”

According to him, “No such amount of money has been received by the state government. We are even victims of the derivation, 60 percent of the money goes to the state which is for development purposes”.

However, HOSCON said, “We the leadership of the above named forum that believes so much in your anti-corruption programme and the need to rid our country of corrupt leaders respectfully draw your attention to the monumental fraud that has bedeviled the administration and management of the 13% derivation fund that accrued to Edo State in the past eight years.

“As people from the oil and gas producing communities of Edo State, we are pained to our bone marrows that our governor, Comrade Adams Aliyu Oshiomhole, has mismanaged over N400 billion that our state had collected on behalf of the impoverished people of the oil and gas producing communities who suffer the brunt of crude oil/gas exploitation and exploration.

“The Edo State Oil Producing Area Development Commission (EDOSOPADEC) is a shadow of itself as its activities are remote controlled from Dennis Osadebey Avenue, the Edo State seat of power.

“Your Excellency, it is shameful and very fraudulent that EDOSOPADEC that is statutorily entitled to 50 percent of the 13 percent derivation fund that accrued to Edo State cannot today boast of collecting 20 percent of the 13 percent derivation fund, that is not only a monumental financial fraud but it goes to show a high appetite of our governor for fraud and its desire to usurp the power of other authorities that are constitutionally and legally put in place to work for the betterment of our people.

“It might interest Your Excellency to know that the 13 percent derivation fund, a first line charge as captured by section 162 (2) of the 1999 constitution of the Federal Republic of Nigeria as amended is purely money paid as reparation/compensation for the loss of fishing rights and farmlands to oil exploration and exploitation and for any governor to mismanage or out-rightly defraud the people of such inalienable right is not only an invitation to crisis but it is the height of man’s inhumanity to man.

“It is on record that Edo State in the past eight years of Comrade Adams Aliyu Oshiomhole administration has collected over N400 billion cumulatively and except you direct for an urgent audit/probe of how this colossal sum of money was managed your anti-corruption crusade will not be meaningful to our people in Edo State.

“The issue we are raising is very sensitive and dear to our people as we believe that your anti-corruption crusade should not respect anybody irrespective of tribe, religious affiliation and political leaning.

“Your Excellency will need to urgently constitute a visitation panel to Edo State to enable our governor show to such a team projects/programmes where the over N400 billion of our people have been expanded (if any)”.