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Tag: Fayemi

  • Fayemi must account for N2.75b, 17 buses – Ekiti probe panel

    Fayemi must account for N2.75b, 17 buses – Ekiti probe panel

    The Kayode Fayemi administration in Ekiti state awarded a N600m contract to a company with no fixed address, the Judicial Commission of Inquiry set up by Ekiti State Government said.

    The commission headed by Justice Silas Oyewole to look into the financial transactions of the state during Fayemi’s tenure, late on Wednesday submitted its report to Governor Ayo Fayose. Fayemi, now the Minister of Solid Minerals was the governor between October 2010 and October 2014.

    In a reaction on Wednesday night, Fayemi rejected the report and said he would take his case to the Appeal Court.

    In some of its other findings, the commission said that the former governor must account for the whereabouts of N2.75 billion allocated for the execution of the construction of Ultra-Modern market in Ado Ekiti. The money was part of the N25 billion bond raised by the government .

    The commission said the contract was never executed. The commission of Inquiry said KITWOOD Nigeria Limited, the contractor who handled the furnishing of the government house built by the Fayemi administration at a cost of N600million should be made to refund N324.8 million. It said the contract should not have been more than N280 million.

    The Commission said it found out that KITWOOD had no traceable address and that “the address on the Letter of Award is a virgin land opposite the new Central Bank on the New Iyin Road, Ado Ekiti.

    Both Fayemi and the commissioner for Finance snubbed the commission and made a futile effort in the court to shut it down. Fayemi in a reaction said he would appeal the judgment.

    On the purchase of vehicles, it said “claim by Coscharis Motors that it supplied 235 and/or 250 vehicles was fraudulent and fraught with so many contradictions”.

    It faulted Coscharis Motors claim it supplied seven vehicles at the Ibadan Liaison office of Ekiti State, when the state does not have such an office. The vehicles, it said, were received by unidentified persons.

    It also claimed that Coscharis Motors only supplied 219 vehicles to the Ekiti State Government and that 17 Joylong Buses supplied as gift were later carted away.

    On the controversial N852.9 State Universal Education Board (SUBEB) fund, the commission said it was clear that the Government of Dr Fayemi hoodwinked the federal government into paying its own matching grant by obtaining N852, 936,783.12 loan from Access Bank on November 25, 2013 without perfecting documentation in respect of the loan, thereby flouting the provisions of Section 11(2) of the UBEC Act, 2004.

    Governor Fayose said asking people to account for their stewardship should not be termed witch hunting, as leaders must be accountable and that Ekiti people have the inalienable rights to know how their commonwealth was being used.

    “I appreciate the panel members for a thorough job done. The time and energy they put into the job. The panel waited for the outcome of the court case instituted by former Governor Kayode Fayemi before it concluded its job because we are ardent believers in the rule of law and if the court had ruled that we should stop, we would have stopped.

    “There is no witch hunting in a situation whereby people are asked to account for their stewardship. I am glad that the Federal Government is also pursuing the policy of accountability and we are following suit here too,” he said.

    After receiving the report, Fayose inaugurated a four-man administrative panel to study it and come out with a White Paper.

    The administrative panel is headed by the Commissioner for Justice, Mr Kolapo Kolade.

    Earlier, Justice Oyewole said though the panel was given three months to do its work when inaugurated in May this year, it had to bid its time to see the end of the litigation by Fayemi.

  • Panel: Fayemi to account for N2.7b,17 buses

    Panel: Fayemi to account for N2.7b,17 buses

    The Ekiti State Judicial Commission of Enquiry, set up by Governor Ayodele Fayose, to probe the finances of ex-Governor Kayode Fayemi’s administration, submitted its report yesterday.

    The panel, led by retired Justice Silas Oyewole, said Fayemi must account for N2.75 billion from the N25 billion bond obtained by his administration to build Ado-Ekiti Ultra-modern Market, which it said was never executed.

    The panel said the contractor that handled the furnishing of the Government House, built by the Fayemi administration, should refund N324.8 million.

    It said the contract should not have been more than N280 million.

    The panel said the contractor, Kitwood Nigeria Limited, which won the over N600 million contract, had no traceable address, and that “the address on the letter of award is a virgin land opposite the new Central Bank on New Iyin Road in Ado-Ekiti”.

    On the purchase of vehicles, the panel said: “Claim by Coscharis Motors that it supplied 235 and/or 250 vehicles was fraudulent and fraught with so many contradictions.

    “That Coscharis Motors supplied some vehicles outside Ekiti State, especially at Ibadan Liaison Office when Ekiti State government does not have a liaison office in Ibadan. In respect of this, seven vehicles were supplied outside the state and signed for by unknown persons.

    “That Coscharis Motors only supplied 219 vehicles to the Ekiti State government and that 17 Joylong buses were supplied to the Ekiti State government as gifts but later carted away.”

    On the controversial N852.9 State Universal Education Board (SUBEB) fund, the panel said the Fayemi administration hoodwinked the Federal Government into paying its matching grant by obtaining N852,936,783.12 loan from Access Bank on November 25, 2013, without perfecting the documentation of the loan, thereby flouting the Section 11(2) of the UBEC Act, 2004.

  • Fayemi must account for N2.75bn bond cash – Ekiti panel

    Fayemi must account for N2.75bn bond cash – Ekiti panel

    Snippets of the report of the Ekiti State Judicial Commission of Inquiry raised to probe financial transactions by the former Governor Kayode Fayemi’s administration were released late on Wednesday.

    The seven-member panel submitted its report to Governor Ayo Fayose at the Executive Chambers of the Governor’s Office in Ado-Ekiti.

    The panel led by Justice Silas Oyewole (retd) in its report said Fayemi must account for the whereabouts of N2.75 billion allocated from the N25 billion bond obtained by his administration for the construction of the Ado Ekiti Ultramodern Market.

    The panel said the project was never executed.

    It also said the contractor that handled the furnishing of the Government House built by the Fayemi administration should be made to refund N324.8 million, noting that the contract should not have been more than N280 million.

    The panel said it found out that Kitwood Nigeria Limited to which the furnishing contract of over N600 million was awarded had no traceable address and that “the address on the Letter of Award is a virgin land opposite the new Central Bank along New Iyin Road, Ado-Ekiti.

    On the purchase of vehicles, the panel said “claim by Coscharis Motors that it supplied 235 and/or 250 vehicles was fraudulent and fraught with so many contradictions.

    “That Coscharis Motors supplied some vehicles outside Ekiti State especially, at Ibadan Liaison office, when Ekiti State Government does not have a Liaison office in Ibadan. In respect of this, seven vehicles were supplied outside the state and signed for by unknown persons.

    “That Coscharis Motors only supplied 219 vehicles to the Ekiti State government and that 17 Joylong Buses were supplied to the Ekiti State Government as gift but later carted away.”

    On the controversial N852.9 million State Universal Education Board (SUBEB) fund, the panel alleged that the Fayemi administration hoodwinked the federal government into paying its own matching grant by obtaining N852, 936,783.12 loan from Access Bank on November 25, 2013 without perfecting documentation in respect of the loan, thereby flouting the provisions of Section 11(2) of the UBEC Act, 2004.

  • Supporters urge Fayemi to join governorship race

    Supporters urge Fayemi to join governorship race

    Loyalists of former Ekiti State governor and Minister of Mines and Solid Minerals, Dr Kayode Fayemi, have urged him to join the 2018 governorship race.

    They sent a letter to the minister to seek the nomination of the All Progressives Congress (APC) to contest next year’s governorship poll.

    Acting under the aegis of the Just Keep Following Group (JKFG), the former governor’s loyalits said their call was predicated on what they called “enviable track record in governance recorded by Fayemi while in the saddle between 2010 and 2014”.

    Members of the group submitted the letter to Fayemi penultimate weekend at his home at Eyi Yato Villa in his hometown of Isan-Ekiti in Oye Local Government Area.

    In a copy of the letter, which our reporter obtained yesterday, JKFG said its members had carried out a survey in the three senatorial districts of the state, claiming that the people still love and cherish Fayemi’s leadership.

    The letter was signed by Bisi Dada (Coordinator), Victor Irewolede (Publicity Secretary), Mike Awopetu (Programmes Director), Bisi Adesua (Secretary), Sina Ogunleye (Finance Director), Adeoye Aribasoye (Legal Adviser), Princess Olowolagba (Mobilisation Director) and Deji Ajayi (Assistant Secretary).

    Fayemi has not declared intent to take another shot at the state’s number one seat he vacated over three years ago but is believed to be under pressure to join the race.

    The letter reads: “The Just Keep Following Group is hereby inviting you to contest the 2018 governorship election in Ekiti State.

    “Our move to formally invite you is borne out of the fact that the people of Ekiti State in their present deplorable condition – having tasted your performance between 2010 and 2014 – are requesting that you formally show interest to contest the 2018 election.

    “We have carried out a strategic survey in all the three senatorial districts of the state and we have discovered that the people still love and cherish your leadership.

    “Your Eight-Point Agenda, while you were in the saddle, tremendously impacted the lives of the people of the state, vis a vis: health, education, social security, youth empowerment, tourism and infrastructural development.

    “Today, all the legacies you left behind in 2014 have been bastardised by the current government. It is now our hope that you will yield to the clarion call of the people of the state to contest the 2018 governorship election.

    “We are convinced that the people will support you to have a resounding victory in the election.”

     

  • Fayemi: Ekiti probe panel valid – Court

    Fayemi: Ekiti probe panel valid – Court

    An Ekiti State High Court has ruled that the Judicial Commission of Inquiry set up to probe the handling of finances under former Governor Kayode Fayemi is valid and has the force of law.

    The panel led by former Acting Chief Judge of Ekiti, Justice Silas Oyewole (retd), was set up by Governor Ayo Fayose to look into financial transactions of the state between October 2010 and October 2014.

    In his judgment on Wednesday, Justice Adekanye Lekan Ogunmoye of High Court 6, held that Fayose has powers to set up the panel of inquiry without the prompting of the House of Assembly and that he properly so acted.

    Ogunmoye held that Fayose acted pursuant to Section 2 (1) of the Commission Inquiry Law Cap C10 Laws of Ekiti State.

    According to the judge, the governor does not need to consult the House of Assembly or anyone before setting up the commission of inquiry.

    Ogunmoye, however, agreed that the State House of Assembly has no rights to direct the governor to set up the inquiry.

    Fayose had in May constituted the panel to probe the income and expenditure carried out and projects executed under Fayemi.

    Fayemi had filed suit No. HAD/57/2017 and approached the court to restrain the state government and the panel from going ahead with the exercise.

    The ex-governor alleged that he could not get justice from the panel because its members are cronies of Fayose who had been handed the hatchet job to nail him at all cost.

    Reacting to the judgment, Fayemi’s counsel, Mr. Akingbade Ogunmoyela said the court has agreed that the State House of Assembly has no right to direct the governor to set up the inquiry, saying it was of the opinion of the court based on the Ekiti Commission of Inquiry law that the governor has right to set the commission.

    Ogunmoyela said he wouldn’t know whether or not his client would appeal the judgment.

     

  • FG sets aside N5bn for local miners – Fayemi

    FG sets aside N5bn for local miners – Fayemi

    Artisan miners across the country can now benefit from a  N5billion empowerment fund set aside by the federal government as part of measures to ensure participation of all Nigerians in economic development.

    Mines and Mineral Resources Minister,  Kayode Fayemi, on an inspection visit to  the gold mining site at Garin Awal at Fakai Local Government Area in Kebbi State yesterday said the fund can be accessed through the Bank of Industry for the use of small scale artisan miners  “not only for self-equipping but to contribute to the economic development of Kebbi State and Nigeria, so that our economy will grow.”

    He alleged that ISS-Hass Ltd, a Chinese mining company, which has been exploiting gold in the community for more than three years has failed to develop the area by establishing schools, building roads, as well as providing potable water and employment for the youth.

    This, according to the minister, is in breach of the agreement it signed with the federal government.

    He promised to investigate the allegations against the licensed operator in Garin Awal Village, Fakai Local Government of Kebbi State for alleged breach of agreement reached with the host community.

    He said:”We have seen what our artisan miners can do, which professionals in this business failed to achieve. That is from the very little efforts they are putting in place with their own efforts, digging and organising themselves.

    “What we need is to enter into partnership with the state, to assist these miners, so that they could have land to operate, technical support as a way of improving their productivity and ensuring that they utilise the equipment beyond exploring mercury and finally support them through the Bank of Industry.”

    The minister, who expressed disappointment over the lack of commitment of licensed operators, said “the provision of the law stipulates that licensed operators must provide community support and this must be captured in an agreement, which we call Community Development Agreement.

    “The village head has told us that all the things they promised, none of them were done. No school, they have not seen anything. They just did rudimentary road that provides access for the operators,” he said.

    Governor   Abubakar Bagudu expressed appreciation to President Muhammadu Buhari administration for its good policies, saying they had made the state to excel in agriculture.

    He said the people of the state were ready to replicate the same achievement in the mining sector.

  • Fayemi left N17b in Ekiti treasury, ex-commissioner tells court

    Fayemi left N17b in Ekiti treasury, ex-commissioner tells court

    A former Ekiti State Commissioner for Finance, Mr Dapo Kolawole, has told an Ekiti State High Court that former Governor Kayode Fayemi left over N17 billion in the treasury by the time he left office on October 15, 2014.

    Kolawole also urged the court, presided over by Justice Cornelius Akintayo, to quash the warrant of arrest issued against him by the House of Assembly over his failure to honour the summons given him to give evidence on how the state finances were managed by the immediate past government.

    The former commissioner, in the suit seeking the nullification of the warrant of arrest issued by the Assembly, joined the House of Assembly and three other defendants.

    He refuted the allegations of financial misappropriation, which allegedly plunged the state into debts, as well as the alleged embezzlement of the Universal Basic Education (UBE) cash levelled against the Fayemi administration by the Ayo Fayose administration.

    According the court’s record of proceedings, which our reporter obtained yesterday, Kolawole, who was led in evidence by his counsel, Chief Rafiu Balogun, tendered some documents, including the resolution of the Assembly, the letter of invitation, his medical report and the transcript of a news item aired on Ekiti State Television (EKTV) in which he said he was maligned by two aides of Governor Fayose.

    Under cross-examination by defence counsel, Mr. Sunday Bamise, the former commissioner told the court that the House of Assembly Committee’s Chairman on Information, Dr. Samuel Omotoso, and the Special Assistant to the Governor on Public Communication and New Media, Mr. Lere Olayinka, appeared on an EKTV programme where they said he (Kolawole) and Fayemi stole state’s funds during their tenure.

    Kolawole said he had scheduled an appointment with the Assembly before the duo appeared on the television programme.

    The former commissioner said their action passed judgment on him, ahead of testifying before the lawmakers.

    He said: “I duly communicated with the House which, to the best of my knowledge, was acceptable to them by their subsequent correspondence, until the time I saw a member of the House on television, calling me a thief and other names.

    “I was invited twice to appear before the House and I responded on both times, requesting their permission to appear the third time, which I got invitation for.

    “I did not appear the third time because the House, as represented by Dr Omotoso, who was chairman of one of the committees, with Olayinka representing the Executive, going on air and accusing the former governor and myself. I was then instructed not to appear before the House for a hostile interview, as judgment has been passed on me and the Fayemi government.

    “The discussion of Olayinka and Omotoso touched on the fact that we stole all the money in Ekiti State and that the (then) new governor was crippled completely without noting the N17 billion we left behind and another N1 billion in another account, that is the Millennium Development Goals (MDGs).

    “They never mentioned that the State Universal Basic Education Board (SUBEB) money, which was the issue of this case, the N852 million they alleged we stole, was actually withdrawn by Access Bank, the owner of the money. They never gave us credit for the interest on that account, taken by the present governor (Fayose).”

     

  • Fayemi canvasses removal of mining from exclusive list

    Fayemi canvasses removal of mining from exclusive list

    Minister of Mines and Steel Development Dr. Kayode Fayemi has canvassed an urgent review of the country’s laws to allow states play more prominent roles in mining issues as a necessary step in making the mineral and mining sector more profitable.

    Minister stated this in his keynote address at the fifth annual lecture of the School of Management Technology, Federal University of Technology, Akure (FUTA), on Friday.

    Fayemi, in the lecture, titled: “Mineral resource management for national cohesion and progress”, said the present situation where state governments were not adequately involved in the administration of mineral titles despite bearing the brunt of impact of resource exploitation, grossly affect growth of the sector.

    He said the country needed to take a cue from her experience in the oil rich Niger Delta, where oil riches rather than cementing national cohesion, became a source of discord and a toxic bone of contention in the polity and where decades of oil exploitation have resulted in a legacy of ecological degradation, trans generational poverty and violence.

    “The critical difference between resource-rich performers and resource-rich underperformers is simply resource management. We must now end this grossly self-destructive culture of governmental, economic and political irresponsibility,” he said.

    Although the minister said the Ministry of Mines and Steel Development has put in place some administrative measures to involve the states and ensure they take advantage of the resources in their domains, he maintained that a review of the laws giving the Federal Government exclusive rights over mining must be effected in order for states to play more prominent roles.

    Fayemi, however, assured that the President Muhammadu Buhari administration has the political will and the preparedness to do what is necessary in this regard.

    The minister also said government needs to create about two million jobs annually in the next decade in order to effectively tackle the menace of unemployment among its teeming youths. He added that mining would help in in the realisation of this massive job creation through the ongoing reforms in the sector.

     

  • Govt trying its best to diversify economy, says Fayemi

    Govt trying its best to diversify economy, says Fayemi

    If claims by the Mines and Steel Development Minister Kayode Fayemi are anything to go by, the recent signing of a ‘Modified Concession Agreement’ between the Federal Government and Global Infrastructure Nigeria Limited, the former Indian concessionaires, has unlocked and resolved the protracted legal tussle over the ownership of Ajaokuta and NIOMCO.

    The minister told participants at the Annual Nigeria Mining Week in Abuja that the modified concession agreement removed all the legal encumbrances over ASC and reverted its ownership to the Federal Government.

     

    More policy pronouncements pour in

     

    Fayemi used the annual mining week platform to draw attention to the bountiful opportunities in the nation’s mining sector. The minister assured that state governments will get 13 per cent derivation from mining revenue.

    The week was organised by Miners Association of Nigeria (MAN) in partnership with IPAD Nigeria, PricewaterhouseCoopers (PwC) and Spintelligent. It was endorsed by Fayemi’s ministry.

    The week offered an opportunity to key stakeholders in the industry to facilitate and accelerate the development of their operations in the mining sector.

    It also opened the door to an exclusive networking opportunity for serious investors, mining operators, finance houses and technology solution providers who are seeking a new market and new clients for mineral exploration and extraction.

    Fayemi said: “We have rightly identified as one of our priorities the need to improve our engagement of stakeholders at the sub-national level, particularly the state governments and communities.

    “We have realised that to give the states good reason to work with us, we need to create avenues for a greater degree of financial participation and revenue sharing in the sector.

    “Accordingly, we have secured approval for state governments to be beneficiaries of 13 per cent derivation from mining revenue.”

    in his remarks Taraba State Governor Darius Ishaku aligned with Akabogu’s call for modification or necessary amendment of the nation’s extant mining laws. He said that under the constitution, the exclusive list gives the right to the Federal Government, but gives the states right over the land.

    “There is a conflict there; you have to get to the land to mine the mineral below,” Ishaku said, advocating for restructuring in the mining sector to reduce tension between the federal and state governments.

    Apart from dangling the 13 per cent derivation incentive, another major highlight of the event was an announcement by the minister that the Federal Government has secured $150 million (about N43.2 billion) loan from the World Bank to support development in mining.

    According to Fayemi, the fund will go to strategic interventions in the sector.

    The minister explained: “Three issues stand out. For instance, geological data is very important to us, and part of this money is going to assist with geological data.

    “It’s also going to contribute to our organising the informal sector into a formal sector providing some access to funding and helping them with technological equipment for the artisanal miners.

    “There are many miners that have done extensive exploration, but to move to production has been a challenge, So, for those who are crossing over from exploration to exploitation and to actual mining, we believe that giving them some assistance would help boost the industry, particularly the small and medium scale players in the industry.”

    The minister further said that plans were underway to pull another $600 million investment fund for the sector, working with the Nigerian Sovereign Investment Authority (NSIA) and the Nigerian Stock Exchange (NSE), among others.

    He said that his ministry would focus on delivering Key Performance Indicators (KPIs), including a robust institutional and governance framework that would provide adequate oversight and guidance, stronger participation and shared responsibility from the states and communities.

    The minister also announced that the government will promote a wider spectrum of vibrant participants across the mining value chain, create a solid archive and database of geo-sciences research and data to encourage investor participation.

    Besides, the government, he said, will create an enabling environment to support infrastructure and services that will enable the industry to flourish.

    The government has announced the introduction of a portal to allow investors apply and acquire mining licences and permits.

    The portal will also handle mineral titles’ application, online payment of royalties and fees, as well as a database for revenue drive.

    Fayemi, who spoke at the unveiling of the Integrated Automation and Interactive GIS Web Portal in Abuja last week, the initiative was aimed at increasing the provision of reliable information and knowledge to enhance promotion of investment in the sector, using technology-driven innovation.

    He said that the revolution will increase the sector’s contribution to the Gross Domestic Product (GDP).

  • How FG, others shared N9.9bn solid mineral revenue- Fayemi

    How FG, others shared N9.9bn solid mineral revenue- Fayemi

    Minister for Mines and Steel Development, Dr. Kayode Fayemi, has said the N9.9billion revenue generated directly from the solid mineral sector was shared among the three tiers of government in July, 2017.

    He said the Nigeria Extractive Industries Transparency Initiatives (NEITI)’s intervention through recommendations in solid minerals audit report, led to the sharing of monies from the sector by the three tiers of government and other beneficiaries in line with section 162 of the 1999 constitution on derivation.

    He stated this during the NEITI South West Zonal Outreach and Stakeholders’ engagement meeting in Abeokuta, Ogun State.

    The minster, who was represented by a member of the NSWG of NEITI, Lawan Lantewa, also revealed that the ministry had received the sum of N30billion from the Natural Resources Development Fund for exploration, research, geosciences data generation and improved mines field security.

    Fayemi also noted that the conduct of the Fiscal Allocation and Statutory Disbursement Audit (FASD) by NEITI resulted in the setting up of the Natural Resources Development Fund to develop alternative sources of revenue, adding that before he joined NEITI, the fund was used in contravention of its intended purpose.

    He said: “NEITI truly, has been the beacon of light shining in dark places. We are about embarking on another round of this Fiscal Allocation and Statutory Disbursement audit. In the previous audits we were able to cover just nine pilot states and more states only Ondo was captured from the South West zone.”

    He said in response to the desire of the current administration to diversify the economy, the present NEITI Board had directed greater attention to the solid minerals sector.

    The Ogun State governor, Senator Ibukunle Amosun, while declaring the event open expressed displeasure over what he described as unfair treatment of the state by the federal government in spite of its contribution to the federation account.

    Represented by the Chief of Staff, Tolu Odebiyi, Amosun noted NEITI’s 2014 solid minerals audit report established Ogun state as one of the top two states in Nigeria in terms of solid minerals production volumes, fiscal value and royalty payment to the Federation Account.

    He pointed out that the same report stated that the state accounted for 25.3 per cent of total solid minerals’ production in Nigeria in 2014 with a total value of N6.3billion and N315million royalty payments to the Federation Account.

    “It is most unfair that despite our contributions to the national Gross Domestic Product (GDP), as at February, 2017, the state still ranks 32nd out of 36 states and the Federal Capital Territory on the Gross Summary of Statutory Revenue Allocation and Value Added Tax (VAT) to both the state and the local governments, together. This is not fair to the state and its people,” he argued.

    While commending the stakeholders meeting, the governor agreed it was an apt demonstration of the need to educate, orientate and deepen the knowledge of Nigerians about the extractive sector, broadening the scope of citizens’ participation in activities of NEITI, in ensuring that extractive resources give room for a total growth and sustainable development in Nigeria.

    He expressed optimism that the workshop would offer a veritable platform to cross-fertilize ideas and brainstorm on the need to expand the scope of the extractive industries in the country.

    South West Zonal Representative on NEITI Board, Gbenga Onayiga, called on all the state governments in the zone to setup a special team that would interface with NEITI with a view to integrating the findings and recommendations of its report in various reform initiatives that were being embarked upon by government of the states.

    He appealed to governments across the states in the zone to give opportunity to NEITI to make presentations to the States’ Executive Councils and Houses of Assembly for deeper understanding of how the NEITI/EITI works and how its implementation could transform governance and citizens’ conditions across the states.