ALLEGED N22B LOAN: Ikpeazu’s Govt. Was Not Owing Any Commercial Bank As At May 28 – Ememanka

Sir Onyebuchi Ememanka, the spokesperson to the immediate past Governor of Abia State, Dr. Okezie Ikpeazu, has refuted allegations that Abia state government under Ikpeazu obtained N22 billion naira loan from Zenith bank and UBA respectively.

Ememanka in a statement released on Friday, July 2023, insisted that as at May 28, 2023 Ikpeazu was not owing any commercial bank, and challenged the administration of Governor Alex Otti, to provide evidence to support their claims.

According to the spokesperson, all TODs including the six billion naira loan obtained by Ikpeazu’s administration from UBA were repaid between March and April 2023.

Ememanka added that “the only existing liabilities are loans taken by successive administrations from the old Imo State, most of which were taken to fund critical developmental projects over the years. These also include bail out funds which were loans given by the Federal Government to every State in the country to support the States, with very clearly defined repayment terms which are structured in a way that the ordinary day to day business of State will not be hampered.”

READ THE FULL STATEMENT BELOW:

ENOUGH OF THIS MISCHIEF – ABIA STATE GOVERNMENT WAS NOT OWING ANY COMMERCIAL BANK AS AT 28TH MAY 2023

We are constrained to issue yet another clarification on a matter we consider very serious and of great public importance.

In what has become a clear case of obsession and paranoia, no day passes without the present administration in Abia State looking for some reason to blame the preceding administration for everything under the sun, no matter how unreasonable.

Their latest strategy is to surreptitiously inform key agencies and arms of government that their reason for not meeting their obligations to them is because there is an outstanding loan of a whopping 22 Billion Naira taken by the Ikpeazu administration from Zenith Bank and UBA.

Nothing could be farther from the truth. The 22 Billion Naira loan exists in the imaginations of the peddlers of the wicked and warped narrative.

For the avoidance of doubt, we wish to make it abundantly clear that as at 28th day of May 2023 when the administration of Dr Okezie Ikpeazu ended by effluxion of time, the Government of Abia State was not owing any commercial bank in the ordinary course of business.

This is actually a no brainer because no commercial bank in Nigeria will grant any facility to any State Government, the repayment terms of which will run beyond their tenure of office.

In the ordinary course of business, the Abia State Government, like every State Government in Nigeria, had financial arrangements with banks by way of Temporary Overdraft facilities (TOD).

We are however proud to state that all TODs were cleared before we left office. To be more specific, the only outstanding TOD with UBA which was in the region of 6 Billion Naira was fully repaid in the months of March and April 2023. It is public knowledge that the last allocation received by the Ikpeazu administration was for the month of April 2023.

We hereby throw an open challenge to the Otti administration to produce any evidence to support their spurious claim of a 22 Billion Naira outstanding loan liability from the Ikpeazu administration.

Like we had explained before now, the only existing liabilities are loans taken by successive administrations from the old Imo State, most of which were taken to fund critical developmental projects over the years. These also include bail out funds which were loans given by the Federal Government to every State in the country to support the States, with very clearly defined repayment terms which are structured in a way that the ordinary day to day business of State will not be hampered.

The present administration in the State should purge itself of this Ikpeazuphobia and face the serious business of governance.
In particular, may we remind them that the most critical obligation of any government is to secure the lives and property of the people. Security is a serious and capital intensive project. The Otti administration should stop manufacturing excuses and fund the various security agencies in the State.
It is on record that throughout the 8 years that Dr Okezie Ikpeazu held forte as Governor, the people of Abia State largely slept with their two eyes closed on account of the relative peace and security that prevailed across the State. These didn’t happen by giving excuses and playing blame games.

The removal of Petroleum Subsidy by the Federal Government has naturally jerked up funds available to the 3 tiers of Government in the country.
For the month of May 2023, the Otti administration received 9.113 Billion Naira as allocation. This was received in June. This is the highest allocation received by the State in any single month in the last 10 years. Allocation for the month of June which will reach the states any moment from today is projected to be more than double of what they got last month, so the Abia State Government has no reason whatsoever not to fund Security Operations and even the legislative branch of Government.

Finally, we wish to remind Governor Alex Otti that he was elected to solve the problems facing Abia State and not to blame Ikpeazu.