The Nation Newspaper

Tag: selling

  • ‘How I got my break selling plantain chips’

    Olumuyiwa Aiyegbusi, Chairman and CEO, Olu Olu Group of Companies, easily described as a serial entrepreneur has a multibillion business empire across continents with a niche market in agriculture value chain, where he has been a pioneer, enabler and early adopter of technology to transform local staples liker moi-moi, plantain chips, yam powder, palm wine into international brands. He spoke with Yetunde Oladeinde about the untapped goldmine in food and agribusiness.

    To say that Olumuyiwa Aiyegbusi who sits atop as Chairman and CEO, Olu Olu Group of companies is a man of means is certainly stating the obvious. But then, he didn’t come about wealth overnight. He tells anyone who cares to listen that he was able to make good in life through dint of hard work. He toiled and toiled and today, he is glad that he made all the sacrifices that got him where he is today. As a way of giving back, he admonishes women, young people and other entrepreneurs to start looking inwards. He strongly believes that it is time to look at the opportunities and potentials, make a comparison of the situation instead of settling for white collar jobs.

    Speaking with our correspondent on the sideline of the NECA’s Network of Entrepreneurial Women Summit in Lagos recently, the Ekiti state-born seasoned entrepreneur who is also a consultant to many organisations both locally and internationally, said the agriculture is a goldmine yet untapped by many in the country.

    “A lot of us are sitting in the office while the famers are becoming millionaires especially in the North, if we are not careful they would leave us behind and we need to do something fast about this. I am usually angry when I see people just walking around when there are so many opportunities around them. The first is that you can be comfortable working for other people but you can never be rich working for somebody.”

    According to him, “You can do more as an employer and as a job creator. Have you ever heard of Tomapep? Where is it today, it is gone. But do you know that if you start making Tomapep today by next year, you would become a millionaire.”

    Looking askance and wondering how you are you going to do this, as if reading your mind, Aiyebusi provides an answer: “You dry tomato, dry onion and you are already used to dry pepper and before you know it you have a good product. So, you start putting in a plain sachet and start with friends and family. You then start selling in open space, schools and in different places, before you know it you will be everywhere.”

    The nation’s huge population almost 200 million, he says is the ready market. “All you need is just one per cent of that population. That is 2million and if you sell that sachet of tomapep for N50, and if you multiply that, it is about N100 million. If you are not stupid, you should be able to make at least 10 per cent profit. Women are women wonderful at the home front and they can do same to their businesses.”

    To buttress his point about starting small and growing big, Aiyegbusi cites the case of a friend who was the pioneer maker of sachet water. “He started in 1983 from Aswani and we were laughing at him at that time. Today, the business is everywhere, from Nigeria to Cameroon and Sierra Leone, the water business is over a hundred billion.

    “I tell people that our problem is not making computers now, our problem is feeding ourselves and making money out of it. In the last few years, agriculture accounts for almost 25 per cent of our GDP, but it could double that. We have three streams in the agric value chain, that includes the upstream, midstream and downstream. Downstream is the supermarket, Mile 12 market and upstream is the harvesters and farmers.”

    Happily, Aiyebusi goes on to tell you where he falls into in the sector. “I operate in the midstream. This is when a person takes yam from the farm, loads it and drops it at Mile 12. Midstream is when you take tomatoes from the farm and do something to it before it gets to the downstream.”

    He goes on to tell you that Nigeria is number one in ten produce and the nation is so blessed. “We are number one in yam and cassava. We are number two in Soya beans and Sorghum. Even in the rice that we import, we are number 16 and number 14 in maize.”

    Unfortunately, he explained that Nigerians are not maximising the benefits of the resources that they have. “Just like the Yoruba saying, Akotileta.  Nigerians like to export what it doesn’t have and import what it has. That is a paradox. We have crude oil but we import petrol. We don’t have electricity but we use to export electricity to Ghana and Benin Republic. What you don’t have, you export.”

    To get out of the woods, Aiyegbusi informed that we must add value to the resources God has blessed us with. “My belief has been that shipping raw materials abroad would not make us rich. But adding value would make us rich.”

    To buttress his point, Aiyebusi goes on to cite figures and the opportunities available. “Cocoa for example, Ivory Coast is the largest importer of cocoa and in a year it earns $2.5 billion. However the guy that makes chocolate bars turns this to about $10.5 billion. For cashew, we are the second largest producer but the Asians come here, pack it and it goes for about N600,000 per tonne. They take it to India, Vietnam and they do very simple things to it and at the end turns to something worth $10 million.”

    The seasoned entrepreneur and consultant goes on to talk about some of the opportunities being wasted in the sector. “On tomatoes, yam and onions, Nigeria loses about N10 trillion every year. So, why don’t you just take part of this and add value to it. What this means is that we have to be farmers in the midstream sector. For tomates, just dry it and make tomato paste. You can also make packaged kilishi.”

    He goes on to talk about his personal experience and how hard work, dedication and perseverance made him conquer the terrain. “On pounded yam alone, my company turns over N10 million every month. I also produce Ipekere (plantain chips). When I wanted to go into its production about 15 years ago, my friends were laughing at me. They said I liked too much wahala, don’t you have enough money.”

    Determined Aiyegbusi started with the production of plantain chips and it is quality plantain chips because he was dealing with the international market. “The first container took me six to seven months to sell but I didn’t give up. Right now, as I speak to you, the business has expanded and my children run it. We send to countries like South Africa and Columbia. Every month I sell six containers, each container of plantain chips is worth N15 million and on each the profit is N3.6 million. In Africa, the easiest way now is through agriculture.”

    He continued: “You can be comfortable working for other people but you can never be rich working for other people.”

    It’s easy to assume that Aiyegbusi have had everything on a platter of gold. But he says he had a humble beginning. The younger Aiyegbusi who tried to study medicine without success later studied Chemical Engineering both as first and second degrees from Central state University, Wilberforce, Ohio, University of Cincinnati, Ohio, and University of Louisiana, Louisiana, all in the United States.

    After several attempt in various fields of engineering which did not meet with success, he brought the knowledge he acquired from the Federal Institute of Industrial Research, Oshodi (FIIRO), during his Youth Corps Service year into play.

    Aiyegbusi established Olu Olu Industries (Nigeria) Limited in 1986. The company’s activities involved pioneering processing of bottled palm juice drink with export to the United Kingdom and West African countries. Two years later, instant pounded yam flour was added and became an immediate success worldwide. Yem Yom Ventures was registered in 1987 as a sole-proprietorship, acting as the sole international distributor for Olu Olu Industries (Nigeria) Limited. Year 2000 brought into being the incorporation of United Tastes of Africa Inc in United States of America with Aiyegbusi as President.

    In the past 20 years Yem Yom has spread the reach of Olu Olu products (Cassava Starch Flour-Fufu), Yam Flour (pounded yam), processed black-eye beans, canned products (Egusi Stew, Moin Moin- Sponge Bean cake, etc) across five continents.

    Aiyegbusi sits on the Board of numerous companies too many to detail here. He has won many awards and accolades from his grassroots in Efon Allaye all the way to the UK and the USA. Notable among these are, President, Efon Alaaye UK and Europe Association, 2002-, The Nigerian Entrepreneur Award 2003 by The Nigerian Achievers Awards Institute, UK; The Nigerian Business Personality Award (UK) 2000 by Oasis Promotions Inc and Globe Ventures Ltd; The African International Business Person Award (UK) 1999 by National Westminster Bank UK & Western Union UK and several others.

     

  • Security selling arms to criminals!

    •Time to streamline hiring of security personnel and to monitor arms meant to secure the nation

    The culture of impunity that led to the change of government in 2015 seems to be very much in place in the country’s security sector. At a public hearing of the House of Representatives’ Joint Committee on Customs and Excise and National Intelligence on Influx of Small Arms into the country, the Director of Operations of Department of State Security (DSS), Godwin Etang, revealed that many individuals in the military and other security agencies are in the habit of selling arms to criminals.

    Such acts encourage various forms of criminality—armed robbery, kidnapping, terrorism, assassination, etc., and have the potential to destabilise the population that the arms were provided to protect. If not properly addressed, such criminality has the tendency to cause further erosion of trust between citizens and security agents.

    The DSS’ director of operations further revealed that the agency “conducted more than 27 operations and arrested more than 30 persons involved in the supply of arms and ammunition and some of them are serving security men.” He added that the reason for this is that “some agencies have over a period of time recruited people who were before cultists and armed robbers and are now wearing uniforms.”

    We view the news about this criminal habit of persons paid to secure the state and its citizens as alarming, to say the least. Indeed, it is shocking that citizens provided with arms to secure life and property in the country feel at ease to turn legal arms in their custody into illegal arms in the hands of criminal elements. If such revelation had come from other sources like the media, and not from the DSS, many partisan citizens could have taken it to be an attempt to smear the character of men in uniform.

    We call on the Federal Government, to which all security agencies are responsible, to do the needful immediately, given the danger inherent in such heinous acts.

    In the context of illegal transfer of arms and ammunition to people who should not have access to them, by persons who are paid to hold such arms in trust, any wonder that Boko Haram has existed for years, or that kidnapping has been on the rise? Any wonder that violent herdsmen from within and outside the country carry combat weapons such as AK-47 to kill or harass innocent farmers? And is the mushrooming of militancy in different parts of the country surprising, or that there is growing disaffection between citizens and security personnel?

    We consider it ironical that at a time that sanity should have returned to all arms of government, many citizens in sensitive agencies still find the environment conducive to impunity, two years into a regime of anti-corruption war. We ask the Federal Government to give the revelations by the DSS serious and immediate attention by ensuring, in the short-run, speedy trial of individuals that have been involved in the sale of arms to criminals. And in the long-run, there is a need for public inquiry into existing regulations and practices guiding hiring of security personnel; management of materials sensitive to national security; and post-severance access to official arms  and ammunition by  security personnel.

    We commend the DSS for not choosing to cover up such sabotage of the country’s security by bad eggs in the security service. We, however, call on the service to do more investigation on the abuse of trust on the part of serving personnel in the entire security sector. With this kind of news, the ministers of defence and internal affairs have a challenge requiring immediate action. Citizens have a right to believe that those paid to secure them are not criminals in uniform.

  • Six held for selling donkey meat

    Four women and two men have been arrested in Benin City, Edo State capital, for selling donkey meat.

    The meat is called Jaki in Benin.

    The women were nabbed at Oka market in Ikpoba-Okha Local Government by the butchers’ task force.

    They refused to give their names, saying they had been in the business for a long time.

    The women claimed they were unaware of the prohibition of sale and consumption of donkey meat.

    The men said they imported the meat from Niger Republic, where donkeys were killed, roasted and packaged as beef.

    Bags of donkey meat were recovered from the suspects.

    The Chairman of the task force, Akhere Odigie, advised people to buy meat from reputable meat sellers.

    He said monitoring of sale of unwholesome meat would continue.

  • Petrol dealers arraigned for selling ‘stolen fuel’

    Petrol dealers arraigned for selling ‘stolen fuel’

    The police yesterday arraigned two petroleum product dealers, Lookman Onabanjo and Lukman Eluku (both 52), at the Federal High Court in Lagos for allegedly dealing in fuel loaded from vandalised pipelines.

    The two, said to own petrol stations, were arraigned on three counts each before Justice Mohammed Yunusa.

    Onabanjo is said to be the Chief Executive Officer of Gaffa Oil and Gas Limited, while Eluku runs Bugon Oil and Gas Limited.

    Eluku was arraigned along with Solomon Afolabi (30) and Adesimisola Ogunsanya (36).

    The judge ordered that they be remanded in prison custody pending hearing of their bail applications.

    Also arraigned for similar offences were Sani Idris (34) and Bode Jonah (39).

    The police said Onabanjo and others, on August 15, were caught with 16,000 litres of Premium Motor Spirit (PMS) loaded in several 50-litre jerry cans.

    Prosecution counsel M.O. Omosun said the product belonged to the Pipeline and Product Marketing Company (PPMC).

    He said the accused persons dealt in the product, said to be worth N1.55million, without valid licence.

    Eluku and his co-accused were accused of illegally loading 25,000 litres of PMS valued at N1.6million from a vandalised pipeline into a Mercedes truck with registration number APP 04 QX without obtaining lawful permit from the PPMC.

    The alleged offences contravene Section 3(6) of the Miscellaneous Offences Act Cap M17 of the Revised Edition, Laws of the Federation of Nigeria, Act, 2007 and punishable under Section 17(b).

    All the accused persons pleaded not guilty.

    Their lawyer Mr. McAnthony Aikharialea said he had filed a bail application

    Justice Yunusa adjourned to August 28 for ruling.

    Similarly, Police arrested three persons – Jamiu Ajani, Demola Lawrence and Raymond for allegedly dealing in stolen petroleum products from vandalised pipelines.

    The Special Task Force on Pipeline Vandalism said 300 50-liters jerry-cans, loaded with PMS were recovered from them.

    They were intercepted at Owode area of Ikorodu in a Chevrolet truck, while transporting the ‘stolen products’ to their buyers.

    The force commander, Olumese Valentine, said members of the  syndicate operate within  Ikorodu axis.

  • Equities cave in under selling pressure

    Equities cave in under selling pressure

    The tight trades at the Nigerian stock market crumbled into a losing spree yesterday with nearly five losers for every gainer. The selling pressure at the Nigerian Stock Exchange (NSE) was highlighted by the simultaneous increase in turnover and widespread decline in share prices.

    With 42 losers to nine gainers, aggregate market value of all quoted equities dropped by N39 billion from N11.395 trillion to close at N11.356 trillion. The All Share Index (ASI), Nigeria’s sovereign equity index that tracks prices of all quoted equities, fell by 0.34 per cent to close at 33,266.87 points as against its opening index of 33,380.84 points.

    The downtrend yesterday further depressed the average year-to-date return to -4.01 per cent, strengthening expectations that the equities market may close the first half in the negative.

    Traders at the NSE painted a picture of overwhelming selling pressure as investors opted for open market orders to match available buy orders. The supply stream may continue to depress the market situation, according to many analysts.

    “We expect the current bearish mood to continue,” said SCM Capital, a dealing firm at the NSE.

    Julius Berger Nigeria, which is undergoing a major divestment by its foreign core investor, topped the losers’ list with a loss of N2.61 to close at N49.78. Conoil followed with a drop of N1 to close at N41. International Breweries dropped by 73 kobo to close at N19.07. Forte Oil declined by 66 kobo to close at N187.99. Flour Mills of Nigeria lost 63 kobo to close at N33.57. University Press and Stanbic IBTC Holdings dropped by 60 kobo each to close at N5.90 and N27.40. Cement Company of Northern Nigeria dwindled by 58 kobo to N11.02. Ecobank Transnational Incorporated dropped by 49 kobo to N22 while Guinness Nigeria lost 40 kobo to close at N163.40 per share.

    Turnover volume and value increased by 49 per cent and 173 per cent respectively as investors pumped more shares into the weak market. Turnover rose above average at 310.34 million shares valued at N6.12 billion in 3,667 deals. Financial services sector accounted for 194.29 million shares worth N1.54 billion in 2,104 deals.

    Julius Berger Nigeria was the most active stock with 46.33 million shares valued at N2.39 billion in 17 deals.

    On the other hand, Mobil Oil Nigeria meanwhile led the contrarian upside stocks with a gain of N5.54 to close at N158.85. Ashaka Cement followed with a gain of 50 kobo to close at N22. Unilever Nigeria rose by 33 kobo to close at N45.50. Vitafoam Nigeria added N14 kobo to close at N5.63. Skye Bank Nigeria rose by 12 kobo to close at N2.55 while Neimeth International Pharmaceuticals gathered 11 kobo to close at N1.45 per share.

  • APC plotting to accuse me of selling shares, says Aliyu

    APC plotting to accuse me of selling shares, says Aliyu

    •‘He’s being chased by his shadow’

    Niger State Governor Dr. Mu’azu Babangida Aliyu said yesterday that he had uncovered another plot by the All Progressives Congress (APC) to blackmail his administration over allegation of selling 20 per cent of state shares of the Shiroro hydro power station.

    He said the allegation was part of a smear campaign by the opposition against his administration to whip up sentiment for cheap public sympathy.

    But the Public Secretary of the APC, Jonathan Vatsa, denied such plan, saying the governor and the ruling Peoples Democratic Party (PDP) were only being chased by their shadows.

  • LAGOS as unique selling point

    More than just a publicity stunt, the projection of the political vision of Lagos State governorship hopeful Akinwunmi Ambode through an inventive acronym, LAGOS, bespeaks thoughtfulness. At the well-attended October 24 ceremony at the Onikan Stadium, Lagos, where he formally expressed his desire to govern the state, Ambode of the All Progressives Congress (APC) declared: “Our message is LAGOS. LAGOS is Leadership, LAGOS is Accountability, LAGOS is Good Governance, LAGOS is Opportunities and LAGOS is Service. This is what I stand for.”

    It is interesting, and a demonstration of impressive originality, that he has been able to package his guiding principles in a capsule named after the state he seeks to govern. More importantly, his antecedents indicate that he is a man who can walk the talk. His credentials in leadership, accountability and service are showcased and reinforced by the well-publicised letter of commendation he received from Lagos State Governor Babatunde Fashola following his voluntary retirement from the state civil service after a 27-year career that he ended as the Accountant-General from 2006 to 2012.

    At the risk of repetitiveness, the well-quoted letter simply cannot be ignored or downplayed in considering Ambode’s suitability for the office of governor. Fashola reportedly wrote, in what stands as a glowing testimony to Ambode’s observed and undeniable quality: “I write on behalf of the people of Lagos to commend your high sense of dedication, selflessness and integrity which you brought to bear on the civil service. I wish to specifically remark that working closely with you has been of tremendous mutual benefit, particularly in the present administration.” He continued: “You have displayed high sense of professionalism and have been a good team player, guided by the philosophy of a true public officer, who must place himself last while rendering service to the public. We are convinced that your brilliance and zeal will make you excel in your future endeavours.” It is beyond question that Fashola knew what he was talking about, and that his striking song of praise for Ambode was firmly rooted in reality.

    It is unsurprising that Ambode, 51, the Chief Executive Officer of Brandsmiths Consulting, made a passing reference to the characterisation at his May 15 book launch at the Civic Centre, Lagos.  The presentation of two books, Public Sector Accounting by Ambode, and his biography, The Art of Selfless Service by Marina Osoba, provided a fitting forum for him to bask in the glory of his recognition.   “The letter of commendation by Fashola is my gold medal for public service,” Ambode said at the event.

    Perhaps the most credible governorship hopeful in Lagos State today, irrespective of whether the other aspirants belong to his party or are members of rival parties, Ambode represents a positive mix of knowledge-driven vision and experience of the workings of the administrative system, qualities which Lagos would require of its next political helmsman to build on the acknowledged achievements of the Fashola era. It is instructive to note that Ambode himself has signified his intention to pursue “continuity of excellence.”

    It is probable that such pursuit would require a reimagined governmental approach to cope with the increasing challenges of a megacity with a population of over 10 million, which may soon become a metacity with at least a population of 20 million. Indeed, an individual with Ambode’s broad perspective, reinforced by post-retirement training in top international business and leadership institutions, may be in a better position to manage the diversity of the populace for the social good.

    This is certainly not the time, or more precisely, the time is past when governorship aspirants, especially in Lagos, with its urban sophistication, would expect that all it takes is mouthing populist slogans without manifest competence in what may be considered essential to modern governance, namely, a solid developmental visualisation informed by a practical blueprint. In this regard, Ambode’s concrete history recommends him.

    In particular, Ambode’s critical role in the creation of the State Treasury Office (STO) should be of special significance in rating him as a governorship aspirant. The STO has been acknowledged as a ground-breaking development which has fundamentally improved how the state’s funds are raised, budgeted, managed and spent. It goes without saying that Ambode’s demonstrated authoritative grasp of treasury issues would most likely be an advantage. ”If we take the concept of resource generation, allocation and distribution into cognisance and apply the principles of good governance, we will achieve economic growth and development,” Ambode said while presenting a paper titled “Public Finance: Probity and Accountability” at a workshop organised in August by the Lagos State Government and the Lagos Business School.

    Also important is Ambode’s work experience at the local government level, given that the so-called third tier is regarded as the closest to the people. Ambode himself observed: “If you work successfully at Local Government level and you are able to make a difference, there is nowhere else you cannot work successfully.”

    It is noteworthy that, beyond his respected financial wizardry and managerial mastery, Ambode’s claim to selfless service, which is also recognised, is another plus. This aspect may be considered fundamental because a leader without a correct sense of service is ultimately negative.  Service to the people, in the purest sense of the concept, is apparently not alien to Ambode.  According to him, “A true leader sees his work as selfless service towards a higher purpose. A true leader should be judged by what he has not – ego, arrogance and self interest.”

    Demonstrable commitment to good governance and ability to deliver what the people yearn for should rank among the uppermost qualifications for the type of progressive leadership that would benefit the state at this point in time. As Fashola prepares to leave the stage, the state deserves an exemplary successor who will be focused on excellence in office informed by a mastery of wealth creation and a humanitarian orientation.

    In a newspaper interview, Ambode shed light on his understanding of good governance, which is an essential aspect of his vision. He said:  “In essence, the elected government is like a caretaker for the rest of the people, overseeing their resources on their behalf. The citizens remain the landlord while the elected officials are only caretakers.”  He further said: “Arising from this, good government can only thrive where the resources of the people are judiciously distributed to various sectors/needs in the society in a just and equitable manner that makes life easier for every person.”

    Ambode’s positioning with LAGOS, in the countdown to the APC governorship primary election in the state, and indeed next year’s general elections, deserves serious attention from the electorate, considering his profile and the unassailable evidence of its genuineness.

  • ‘Why Edo is selling its property in Lagos’

    ‘Why Edo is selling its property in Lagos’

    The planned sale of the ‘Edo House’, the property of the Edo State government in Lagos, has generated controversy. Governor Adams Oshiomhole spoke with reporters in Benin-City, the state capital, on the transactions and other issues. Osemwengie Ben Ogbemudia was there.

    Tempers are rising over the proposed sale of the Edo House by your administration. What informed this decision?

    I think that the whole essence of democracy is that people have the right to express support and people also have the right to condemn in the strongest term possible any matter of public interest for which they feel uncomfortable. That is what makes us an open society and we are prepared and ready to response to any question. First, Edo House has not been sold and it will not be sold secretly. Yes, we decided as a government at the level of the State Executive Council to look at the matter of Edo House and all issues around it and we came to the conclusion that it is in the interest of Edo State and, in particular, Edo Tax payers, that that property be put to the market in a very transparent manner. I emphasise this because governve been sold by previous government, including military and civilian, without the benefit of advertising it.

    If we wanted to have an underground transaction, to sell to ourselves or family, we will not need to advertise it. It is consistent with our commitment for transparency and accountability that we decided that, as a matter of obligation, we decided to advertise the house. However, having noticed some reactions, I thought that, giving an opportunity such as this, we put the matter to the public and more so, that it has not yet been sold, but our decision to sell it has not been revised, but we are willing to have an open mind and certainly, not an empty mind on this matter. I think I have a duty as your steward to share with you my conviction and reason why as the governor of Edo State, I approved of the decision to sell the house.

    What are the facts about Edo House, considering the stiff opposition from indigenes against the proposed sale?

    Edo House, as it is called, is located on a prime area, along with several states, which have similar properties in the same area. This was as a result of the fact that Lagos was the capital of Nigeria. Consequent upon the creation of Abuja, just as we are been summoned to Abuja from time to time, it was even more so during the military that governors had to go to Lagos for one meeting or the other. And of course, you need effective liaison between the state government and the Federal Government when Lagos was the capital of Nigeria. So, in order words, Edo House in Lagos was built to provide space for liaising services and secondly, to provide accommodation.

    In Edo House, we have what is called the governor’s chalet and the deputy governor’s chalet and other chalets to be used for government and non-government officials when they are in Lagos. As far as I know, that was the reason Edo House was built as at the time it was built. However, two things have happened. First, Lagos lost the status of being the capital of Nigeria when the capital was relocated to Abuja. Consequently, the issue of Lagos liaison between Edo State and the Federal Government can no longer take place in Lagos. Indeed, I am sure that many of you will know that the Federal Government has sold the Federal Secretariat and a lot of Federal Government properties in Lagos, although in some cases, in a controversial manner, but it has been sold.

    The 1,004 housing units, which used to house the National Assembly members, once Lagos lost it status as the capital and the parliament relocated to Abuja, the property was sold, and it remained sold to private companies because there was no need to maintain them when the parliament is no longer in Lagos. We can speak about several properties that have been sold. The state governments have sold their properties built for liaison purposes between those state and the former federal capital.

    We want to ensure that the investment we make is sensible and that you do not tie down money or asset that is performing so that the primary political purpose and even the social purpose is lost. The Edo House, before I assumed office, from records, showed that none of my predecessors stayed in that lounge. The governors and their deputies did not stay there because it has been in terrible shape and I can almost swear that, even if we decide to revise the decision, it is not likely to be used by my successors.

    What is your reaction to the argument that the property is commercially viable, contrary to the position of the state government?

    That again is not true and the answer is no. I have asked for all the evidence. My predecessor in government had contracted the management of Edo House to various estate agents. I confirmed recently that the managing agents have changed for six times and, from records, the last one was done by a commissioner under my government during my first tenure. Whether the agent has changed or not, the facts available are clear.

    The total annual estimated income, if and when it is paid in full by our agent, is put at N34 million, but even this amount was never realised in one year, certainly not since I assumed office and you all know how hard I have tried to collect every revenue available to the Edo State. But the record of my predecessors show that the return was even less as of that time. If we assume, without conceding, that we have been able to reaslise N34 million in 10 years, it will attract N340 million and, if you pay five per cent to the estate manager, your net would be N340 million in 10 years minus 10 percent.

    In 20 years, it would be N620 million, in 0 years, we would have made N1. 36 billion. I want to imagine that we have seasoned estate managers. I also want to recall that, when I was the Chairman of the Nigeria Social Security Trust Fund, we were involved in acquiring real estate and I was told by the experts that, in trying to put value, whether it is viable to buy landed property, you are looking at a possibility of between 12 and 14 years. If you can’t recover your investment, it is not considered a viable asset.

    So, when I say that Edo House is not viable, it is because I believe, whether by reason of its location and what it might require to reposition it, it would be worth a couple of billions. I would be shocked certainly, if anybody tells me it would be less than that.

    Some people reason that it would be better to re-invest in it than outright sale?

    Yes, it is an option. We can decide to rebuild or renovate, but it would require more than half a billion naira to put the property in a rentable state to compete with other properties in that neighborhood. As your governor and steward, who has the privilege of collecting your taxes and putting those taxes into best use, the issue for me, is will it be in the interest of Edo people that I collect half a billion and take it to Lagos and re-invest it so that we can collect more rent? If we collect more rent ,how many years? What is the commercial purpose?

    Don’t you think the Edo House represents a monument that needs to be preserved for children yet unborn?

    I have heard some people say that and I have tried to search for the meaning of the word monument in the Oxford Dictionary. Edo House is not one of our tourist attractions and there is no big history behind it. It does not depict our traditional value, neither was it designed by an architect that had in mind the peculiar Edo culture. And, if anybody says it represents our culture or it is a monument, then, I stand to be educated. A monument cannot be an asset that would be so bad that no body here would say he went to Lagos last week and stayed there. However, my first choice in arriving at the decision to sell, and this is in line with our commitment to raise revenue from any legitimate sources as we can in order to rebuild Edo State. Government, no matter how hard we try, never seem to get full value from property the way a private person would do. Some people have converted it to hotel and for short stay. I had to take your tax payers money to hire a senior lawyer and the case is running for, at least, three years now. As we speak, ejecting those tenants has not been possible and, if things go the way they are, the matter will be not be settled during my tenure. We are living painfully with an individual who is defrauding the Edo State government. For an individual property owner, there are many options to get rid of your tenants. For me, I am very clear of my mandate and obligation and it is to develop Edo State and not Lagos State because I am committed to divest in Lagos and re-invest in Edo. We are not set out to be collecting rent from rooms and parlous. When I was campaigning, I didn’t promise that I was going to build houses for rent because no government is about that.

    You just talked about divesting to re-invest the proceeds back to Edo State. What area of investment is your government considering?

    I believe Edo State needs a convention centre. It is my conviction. Edo State needs to be a tourist centre because we have a lot of historic centres to attract tourists in all the 18 local government areas. For Edo to truly become a tourist destination, there are certain infrastructure that must be put in place, not just a five star hotel, but one with convention facilities. In Edo, we have various hotels, but certainly, not a five-star hotel and we do not have any conference hall, you do not want to host any event where all the participants are scattered in different hotels and before now, in going round Benin City, I observed the location of the military hospital and I was told why and when it was built, but given today’s reality of Benin City, the military barrack is at Ekenwa and we have discussed with the military and they have given approval in principle to cede the place to us on the authority of the Chief of Army staff.

    The land can be put to better use for the good of Edo people. In selling Edo House, the proceed will be use to built a five-star hotel and we will subsequently privatise it in a transparent manner because experience has shown that government is not a good managers of business based on current reality, so that we do not owe it 100 per cent depending on who is coming into it with the government

    There are speculations that you have already sold the house to yourself

    One of my friends, who do not like me now, said that I took his land and gave it to a company to built a shopping mall and he alleged that I have sold the house 60 per cent to my self and 40 percent to what he described as a non- biological son. I m not an angel, but I am not a greedy person and I pray that I will never become so greedy that I want to become the owner of Edo State, and that is not in my prayers.

  • Syndicate arrested for ‘selling’ free govt textbooks

    Security operatives have arrested a syndicate selling free Universal Basic Education (UBE) books.

    Minister of State for Education Nyesom Wike sad officials of the State Universal Basic Education Board (SUBEB) are involved in the crimes.

    He said from next year, independent monitors would be drafted to monitor the distribution of textbooks to schools across the country.

    The minister said the ministry and its security partners would work to ensure that saboteurs in the book distribution chain are arrested.

    Suspected members of the syndicate are officials of the Niger State Universal Basic Education Board and the Niger State House of Assembly.

    Members of the syndicate arrested include: Mohammed Abubakar Kutigi, a staff of the Niger State House of Assembly and facilitator between traders, Mohammed Ndako, Chief Store Officer, SUBEB, Mohammed Sani, Principal Store Officer SUBEB and Tanko Abdulahi, principal store assistant, SUBEB.

    Wike said investigations led to Kutigi’s arrest, the mastermind who identified other suspects.

    He said: “The command established that the source of the UBE, Federal Government ‘not for sale textbooks, have been seen in markets in Onitsha, Kaduna, Port Harcourt and Kano.”

    Kutigi said he served as a link between the SUBEB store officers and traders.

    He admitted to have sold 50,000 books to the traders at N80 each.

    A trader from the Onitsha Market, Ikpe Okorie, said upon buying the books at N80 per copy, they sell at N100.

    The four suspects were arraigned before a Minna Magistrate’s Court.