Dr Ifeanyi Okowa
* Says other issues are coming
By Jon Egie
Elder Statesman and leader of Pan-Niger Delta Forum (PANDEF), Chief Edwin Kiagbodo Clark, 96, has asked immediate past governor of Delta State, Dr Ifeanyi Okowa to account for the sum of 1,077,450,286,552.17 (One trillion, seventy-seven billion, four hundred and fifty million, five hundred and fifty-two thousand and seventeen kobo, being amount of money received by Dr Ifeanyi Okowa while in office as Governor of Delta State from the federal government, on behalf of oil producing communities in Delta State.
The request for accountability of the fund was contained in a letter the Elder Statesman wrote to the immediate past governor recently.
Chief EK Clark had earlier on, written a first letter to Okowa while still in office, reminding him of the consequences of his refusal to remit adequate funds for payment of DESOPADEC Contractors who obtained loans from banks to execute contracts awarded by the Commission and remained unpaid, irregular payment of salaries of Staff of DESOPADEC, as well as the agitation by New Delta Avengers who threatened to cause unrest and disrupt smooth production in the oil industry if funds meant for the Commission were not justifiably appropriated to the beneficiaries.
In the recent letter, Clark charged Okowa to account for the illegal and unlawful diversion of the quoted sum received in leu of 13% derivation funds for the oil producing communities since 2015 to 2023 while he held reins as governor of Delta State.
In the letter, Clark also mentioned the name of Okowa’s predecessor, Dr Emmanuel Uduaghan, to also account for the sum of ₦765,662,198,080.07 (seven hundred and sixty five billion, six hundred sixty two million, one hundred and ninety eight thousand, eighty naira, seven Kobo), being receipt of 13 % oil derivation funds from the FG on behalf of oil producing communities, for the period between June 2007 and May 2015.
He said for some undisclosed reasons, Dr Ifeanyi Okowa acted funny and shady when he refused to inform stakeholders of the true financial status of the funds but arbitrarily took solo decisions in the disburse and expenditure of the funds without recourse to the concerns of indigenes of the oil producing communities.
According to Clark, the activities and behaviour of Dr Ifeanyi Okowa with respect to 13% oil derivation funds allocated to Delta State have been shrouded in secrecy until Nyesome Wike Esq, immediate past governor of Rivers State blew the lid on the volume of money received by him and his counterparts in the Niger Delta and what he had used his share for in the development of Rivers State.
He told Okowa not to dare stir about the authenticity of the quoted amount he needed to account for since the figures were obtained from the office of the Accountant General of the federation.
He reminded Okowa of the legal backing and implications of receipt and expenditure of the funds as contained in Section 162(2) of 1999 Constitution which states:
* Provided that the principle of derivation shall be constantly reflected in any approved formula as being not less than 13% of the revenue accruing to the Federation Account directly from any natural resources.
* The 13% derivation fund is paid directly to the oil producing States by the Federal Government, and the State is supposed to use at least half of the funds, to develop the oil producing communities in their States, because these communities are the worst sufferers of the effect of the oil exploration. The fund is paid as a recompense or amelioration for the harms these communities suffer.
Chief EK Clark said: “For a very long time, the amount paid by the Federal Government as 13% derivation fund to oil producing States, have been shrouded in secrecy, until not too long ago, when the Executive Governor of Rivers State, Barr. Nyesome Wike, revealed how much his State and other counterpart States that are oil producing, have been receiving from the Federal Government. That statement by Governor Wike blew the lid off the container. The mind-boggling figures received by the State Governors/governments were made public.
“For some reasons quite surprising and difficult to understand, you were agitated when your colleague Governor, Nyesome Wike, made that revelation. More surprising was the fruitless efforts your officials immediately embarked upon to proffer explanation of what was paid, what was received and how it was spent. For instance, that you used ₦5 billion (five billion) to settle pensioners. The spontaneous reaction and fruitless efforts of you and your officials, got some of us very inquisitive. So, I decided to obtain from the Office of the Accountant General of the Federation, a certified true copy of the total amount the Delta State government has received from the Federal Government between 2007 and 2015, the period of which Dr Emmanuel Uduaghan was Governor of the State, and between June 2015 – December 2022, your period as Governor.
“My findings reveal that you have received a total sum of ₦1,077,450,285,552.17 (one trillion, seventy seven billion, four hundred and fifty million, two hundred and eighty five thousand, five hundred & fifty two Naira, seventeen Kobo); as 13% derivation fund in your administration. There will be need to give an account of this money. This letter will be copied to your predecessor in office Dr Emmanuel Uduaghan, for him to also account for the money he received from the Federal Government from June 2007 to May 2015, amounting to ₦765,662,198,080.07 (seven hundred and sixty five billion, six hundred sixty two million, one hundred and ninety eight thousand, eighty naira, seven Kobo).
“From the records available, you have only released, in instalments, the sum of ₦232 billion to the Delta State Oil Producing Areas Development Commission (DESOPADEC) out of the 50% of the derivation fund received, which ought to go to the oil producing communities. In fact, you kept under your control the total amount paid by the Federal Government, and dispense it as you like. This is ultra vires.
“The consequences of your action in depriving DESOPADEC and the oil producing communities what is due to them, resulted in problems with the New Delta Avengers in June 2017 which I addressed in my first letter when they accused you of the misuse of the 13% derivation funds; I reproduce here under
“It is also necessary here to mention that on 10th June 2017 in a Vanguard publication, the New Delta Avengers accused you of gross marginalization, milking and starving DESOPADEC to death and at the same time a monumental failure.
“On 20th of June 2017, I, Chief Edwin Clark leader of Pan-Niger Delta Forum (PANDEF) released a statement in a Vanguard publication in which I pleaded with members of the New Delta Avengers to withdraw the ultimatum of June 30th, issued to Acting President Prof. Yemi Osinbajo, to compel you to tell the world how much was due to the Delta State Oil Producing Communities Development Commission (DESOPADEC) from the 13% derivation.
“Again on 29th June 2017, the New Delta Avengers responded positively to my appeal for them to withdraw the ultimatum and they temporarily suspended hostilities”.
“It is, therefore, misleading for you and your officials to claim that through your development of oil producing areas, peace now reigns in Delta State, hence you are now producing the highest quota of crude oil in the country.
“As I write this open letter, hundreds of DESOPADEC contractors are being threatened by their banks; they are about forfeiting their properties which they used as collateral to obtain loan for execution of contracts awarded to them by DESOPADEC, because they have not been paid by the commission, and thus cannot settle their debts.
“The workers of DESOPADEC are not properly and regularly paid. I had received series of complaints from most of these workers as far back as 2017 & 2018, when I was in Warri.
I had mentioned it in my first open letter to you where I said:
“Both the Managing Director of DESOPADEC at the time Engr. Makinde and Favour Izuokumor visited me in Abuja to appeal to you to make money available for their staffs and contractors who were being threatened by their banks and as a result I contacted you, when you were on leave.
“You may therefore wish to tell the people of the oil producing communities in Delta State, whether their money, which you allegedly misappropriated was budgeted for, in your annual or supplementary budget presented to and approved by Delta State House of Assembly between June 2015 and December 2022.
“You may also wish to tell the oil producing communities of Delta State whether you have the right to spend or appropriate the funds outside their areas, leaving them to wallow in poverty and underdevelopment by breaching the mandatory provision of Section 13(1) of the DESOPADEC LAW of Delta State 2006, as amended 2007, 2015 & 2018, and Section 162(2) of the 1999 Constitution of the Federal Republic of Nigeria; whether it is legal for you to single-handedly spend the funds in total disregard to the mandatory provision expressed in the section quoted above and all of Section 13(1) of the DESOPADEC LAW of 2006 as amended 2007, 2015 & 2018 respectively.”
Chief Clark stressed that it was a mandatory requirement of the law that 50% of the 13% derivation fund accruing to Delta State Government must be paid in bulk to DESOPADEC for development and rehabilitation of the oil producing areas of Delta State; and therefore, put it across to Okowa that ” you have violated/breached this sacrosanct provision of the DESOPADEC LAW, by doing the contrary.”
He listed 12 private companies belonging to Okowa, Uduaghan , and their collaborators, used in siphoning and misappropriating the 13% derivation fund, pointing out in particular, Anioma Petroleum Resources which regularly received a substantial amount from the derivation fund which is changed to the United States of America currency, the Dollar.
“Other issues are coming up. In the meantime, we are anxiously waiting for your reply/answers.” Clark concluded.
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