Inquiries reveal Okorocha left Imo State in very bad shape
Colossal distortion of Owerri master plan Massive N112.82bn debt profile Poor project execution As Governor Uzodimma opens probe
IMO, THE ‘EASTERN HEART LAND state,’ appears quite stressed – structurally and financially broken. An oil and gas-rich state, with gas deposits in excess of 7.8 trillion cubic feet (tcf), and estimated gross domestic product (GDP) size in excess of $18.31 billion (a 2016 survey), the last eight years fortuitously took the state into a negative growth. In the most foreseeable future, it would prove a herculean job to get it out of the woods, or so it seems, new inquiries seen by our correspondent have revealed.
For instance, Florence DuruohaIgwe, a retired state chief judge and chairperson of a judicial commission of inquiry into lands administration and related matters in the state, said: “It would require a man/ government with a lion’s heart; a governor with strong determination to right the wrongs” created in the state by Rochas Okorocha, former governor, who is now cooling off at the nation’s upper legislative chamber, the Senate, representing Imo’s west senatorial district.
Duruoha-Igwe’s commission, while submitting its report to Governor Hope Uzodimma last week, returned with a verdict that the Okorocha administration (2011– 2019) carried out “colossal distortion” of Owerri master plan, in its rather unguided ‘urban renewal programme’ of the state capital. The commission had been set up by Emeka Ihedioha, immediate past governor of the state, who was ousted via a Supreme Court judgement on January 14 this year. “The visual evidence shows that the distortion of Owerri Master Plan was colossal and mind-boggling,” Duruoha-Igwe said, while submitting her commission’s report at the Sam Mbakwe executive council chambers, Government House, Owerri.
She said the commission’s recommendation had only one motivating factor: “To completely restore Owerri Master Plan and the lost glory of our beautiful city.” She said the commission members were mindful of the fact that history and people of Imo State will judge them harshly if they failed in the onerous task of doing it right. She explained that in the course of their assignment, the commission received 1,532 petitions and memoranda from within the state and the Diaspora. “It is the prayers of members of this commission that our work/report will find acceptability before our God and the people of Imo State,” the chairperson added.
By far, the above evidence of governance distortion is only part of a maze of financial and structural landmines left behind at Douglas House, Owerri by Okorocha, whose eight-year rule has left Imo, perhaps in a worse position ever, than he had met it in 2011.
In February, a financial advisory committee of financial experts and consultants, headed by Abraham Nwankwo, former director general of the Debt Management Office (DMO), asked Governor Hope Uzodinma to order nine deposit money banks to refund to the state, amount in excess of N112.82 billion (N112,824,333,367.42). The money constitutes locations of and balances on all bank accounts operated by Imo government, its ministries, departments and agencies under the administration of Rochas Okorocha up until 29 May, 2019.
Nwankwo’s committee said it arrived at the humungous amount after it undertook a forensic audit of all financial transactions of the state government’s sources of funds, disbursements and applications of state resources, ascertaining the propriety of charges levied on accounts, interest payment on loans and deposits, review of Imo Board of Internal Revenue (IMSBIR) and governance/financial reviews of key agencies of government. Like the Duruoha-Igwe commission, the Nwankwo committee was also set up by former governor Ihedioha. Nick Opara-Ndudu, a former finance commissioner in the state, served as secretary.
The body in its financial advisory report, which was seen by Business A.M., said it discovered that one of the banks alone was liable to refund N73.28 billion (N73,281,899,828.66) of the primary amount, and all of the secondary amount of N38.22 billion (N38,221,701,806.96).
For Nwankwo’s committee, the amount to be recovered is not just significant, but humongous, and its recovery is certainly deserving of whatever attention or effort that may be necessary. It said Imo was in dire financial straits; the recovery of the aforementioned money would go a long way in augmenting the resources needed for implementation of the state’s development agenda.
Its members said in a letter to Governor Uzodimma that, they “feel a compelling obligation to bring this very important issue to your attention. The pursuit of these claims and recovery of the outstanding claims require political will and leadership which can be provided by you. It would be a grave and historical insult, assault and financial rape of Imo State, if the recovery of the claims from the banks was not vigorously pursued whatever the excuse.
Another report by the auditor general of Local Government Areas submitted that N19.63 billion being statutory federal accounts allocation committee (FAAC) funds for the state’s 27 local governments were not accounted for between January 1 to December 31, 2019. Governor Uzodimma however laid it all on Ihedioha as culpable. But his party, the PDP quickly debunked the auditor’s report accusing the former governor. The party said the period of the missing LG allocations, (Jan-Dec 2019), had Okorocha still on the saddle as the state’s chief executive (that is Jan 1 to May 28, 2019). The state PDP chapter said the audit report said between Jan-May 28, 2019, approximately N16 billion was expended under Okorocha’s watch. “It was only the sum of approximately N3.7 billion that was spent by the 27 LGAs between May 29 and December
2019 during the administration of Governor Ihedioha,” the party said in a statement.
One analyst told Business A.M. that, Okorocha, rather than use his eight-year administration to provide Imo people (Imolites) with bread and butter, he rather propagated financial rape of the state leading to misery, unstructured government, distorted infrastructure marked by poorly executed projects, social pain orchestrated by massive youth unemployment, educational dilapidation using a fraudulent “free education” mantra. At least, the Imo State University (IMSU) visitation panel said so – that the much-touted free education scheme was only a big fraud, nebulous and a drain pipe through which billions of naira left the government treasury. At the end, thousands of supposed Imo students were denied the mostbasic education. These disastrous postings would dog Imo for a long time to come, said one Owerri financial consultant.
For Governor Uzodimma, history beckons on him to rebuild Imo or further diminish the state. While receiving the Duruoha-Igwe report, he had promised that the report was important to Imolites, as they have looked forward to it.