Barely two weeks after the candidate of the Peoples Democratic Party (PDP) and Imo Governor-elect, Rt Hon Emeka Ihedioha has emerged, he has warned all financial institutions both home and abroad to avoid entering into any form of new borrowing deal with the outgoing administration in the state.
In his spirited submission, he warned that any bank entering into new transactions with the state government is clearly doing so at its own peril.
Already, the Imo State PDP leadership had accused Governor Rochas Okorocha of withdrawing N17bn from four banks in three days and converting government property to personal use.
State PDP Chairman, Mr. Charles Ezekwem, said this on Saturday in Owerri, the state capital, during a press conference.
In his allegations, he claimed that between Tuesday, March 12, 2019 and Thursday, March 14, 2019, Okorocha made withdrawals from Access Bank, Zenith Bank, Unity Bank and Skye Bank (Polaris) amounting to over N17bn.
PDP averred that “In the last two days alone, Governor Okorocha and his cronies transferred ownership and re-registered more than 150 government vehicles to individuals. Government property including furniture and electronics in Government House, Owerri, are being moved out to Ogboko, Ideato South, the governor’s country home.
“About 300 uninstalled transformers have been moved to the governor’s home in Ogboko.”
“There was an ongoing mass employment and back-dating of employment with a view to creating problems for the incoming government.
“We are also aware of the rampant issuance of Certificates of Occupancy to family members and friends of the Okorocha family”, the party said.
According to the party, those involved in the act do so at their own peril.
However, in a swift response, Chief Press Secretary to Imo State Governor, Sam Onwuemeodo, urged the public to ignore whatever lies being churned out from the incoming governor, saying “There is a government in place and until May 29, 2019, that government should continue to work in the interest of the state and her people and also continue to carry out programmes and policies for the same purpose, until its tenure ends. To begin to harass or give directives to financial institutions in the state is an act of hostility and they should know that.”
“The financial institutions in the state should disregard such directive and continue to do the right thing and take the right action since the best they can do is to confront the outgoing government on any financial transaction they have reservations about when they take over,’ Okorocha’s aide stated.
Explaining more during an interactive session with select media executive in Owerri, he made it clear that any new transactions with banks must be in bad faith capable of further frustrating the already bad-shaped financials of the state.
Business Hilights recalls that currently, Imo economy shows disabling outlook, yet expectations are not only high but urgent in the minds of Imo citizens for credible change.
According to Debt Management Office (DMO), Imo has domestic debt stock of N85bn plus foreign debt of $62.2m as @ 2018 Half Year.
Imo IGR averaged N6.8bn annually even as it receives average of N85bn from Federation Accounts Allocation (FAAC) a year.
This puts its consolidated Debt/Gross Revenue @ 292.82%, or 369.65% Debt/Net Revenue. Either way, the journey is long, tough, rough and the future not far from being bleak.
However, financial pundits argue that with estimated population of 5m growing @ 3%p.a, and 60% being youth, Ihedioha should know that the problem at hand is as real as mom and apple pie.
The governor-elect commended other contestants in the election for their “sportsmanship” and urged them to partner his administration to “restore the dignity of the state”.
While describing his win at the poll as a “new path to progress” which would signal an end to impunity and brazzenness in the state, the former Speaker of the Federal House of Representative was quick to promise ensuring that the citizens remained united for a common purpose without traces of divisiveness.
