Calculations of reports, researched
upon by our correspondent, indicated that Ondo State under the current
administration has a debt profile of over N17billion on gratuities for both the
state and its local government.
Civil servants in Ondo State have
continued to grumble over yet to be paid August salaries and entitlements owed
them by the state government.

Governor Olusegun Mimiko
The state allege the governor, Dr.
Olusegun Mimiko, used their salaries for politicking and want him to publicly
address them on the reasons for the delay in their payment.
The workers have also vowed to take
their anger to the streets if the state government fails to do something
urgently about their salaries.
Workers disdainfully blamed the
state leadership of the Nigerian Labour Congress (NLC) for being hoodwinked by
the administration, and accused the union of always been ‘cajole’ by the state
government when it comes to workers urgent plight.
Despite the tension, one member of
the service said correspondent, “its not too bad if the government still owed
them [workers] their August salary since September has not ended. They can
still endure.”
Firing back, the workers criticized
that thinking, saying, “Anyone who said is too early for us to start demanding
for our unpaid August salary is insane, or he or she is a politician like
Mimiko, who is now fond of playing politics with everything in the state.”
A SaharaReporters correspondent
gathered that the state governor had met with the leadership of the workers
under the Joint Negotiating Council (JNC) and offered them half payment of
their salary but rejected it and asked for a full pay.
Government officials at the meeting
were said to have informed the leadership of the workers that the dwindling
allocation from the federal account to the state is causing the delay in their
salary.
The workers said they could not
verify such government claims on the dwindling allocation.
Different sources in the government
circle have been telling SaharaReporters that a proposed National Executive
Council meeting (NEC) and convention of the Labour Party (LP) slated to hold in
Ondo State might also be a reason for the delay, though this claim could not be
verified.
The sources said the governor is
already keeping and saving money to host the NEC meeting, booking several
hotels in the state.
However on Tuesday, a high profile
officer, who pleaded anonymity at the governor’s office in Akure, told our
correspondent that “the state is in serious financial calamity and has been
battling with unpaid debt.”
“What is currently on in the state
is affecting everybody because the state is in a serious debt. Our borrowed
fund has not been completed. What I can tell you now is that the state is
in a serious financial mess and calamity.”
Investigations carried out by
SaharaReporters’ office in Akure indicated that debt deductions were made from
allocations that came into the state from the federal account, thereby leaving
the state with little.
Impeccable sources at the State
Ministry of Finance and the office of the Head of Service (HOS), hinted that a
loan secured by the state government around February/March 2012 to run many of
its ‘customized projects’ is also taking its toll on the allocation of the
state.
“The government is now paying back
the loan every month in the tune of billions and this is affecting the federal
allocation coming into the state. The debt is now removed every month immediately
the money enters into the state account,” source said.
“Many of the projects crested with
Labour Party logos and colors carried out and initiated by government in the
state were done on a borrowed fund. Now, we are reaping what we sow because it’s
affecting everybody,” our sources said.
Underground findings by
SaharaReporters revealed that after several debt deductions from the allocation
of the state what is left behind in the account is not enough to ensure
worker’s salaries in the state.
Local loans from banks in the state
amounting into billions of Naira also exhausted what comes into the state due
to charges of interest on such loans by the banks.
Calculations of reports, researched
upon by our correspondent, indicated that Ondo State under the current
administration has a debt profile of over N17billion on gratuities for both the
state and its local government.
Despite such, higher institutions
owned by the state government receives over millions of Naira for subvention
monthly while state media stations including the Ministry of information also
receive grants close to billions for their running cost.
Worse, millions of Naira termed
“special fund” for the governor, with other unnecessary allowances needed to
run the offices of the governor, deputies, commissioners, special advisers and
other appointees is contributing to the mess in the account of the state.
Financial analysts in the state told
SaharaReporters that mismanagement and unnecessary government portfolios with
heavy pay and costly incentives under the present administration also
contributed to the dwindling fortune of the state.
“Just go around those major markets
in the state capital alone, some of these PAs were given offices, personal
vehicles and servants on a running cost. These things are unnecessary because
it flouts cost in the government,” an analyst said.
In a recent press briefing at the
cocoa conference hall of the governor’s office in Alagabaka, Akure, the State
Head of Service, Toyin Akinkuotu, was quick to tell journalists that close to
N5billion was always budgeted for workers salary in the state.
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