Former Governor of Abia state, Okezie Ikpeazu, has challenged the claims made by his successor, Alex Otti, regarding his financial legacy upon leaving office. In a statement issued by his media aide, Ikechukwu Iroha, and shared with the press on Monday, Ikpeazu disputed Otti's assertion that he departed without leaving any funds or assets behind. According to Ikpeazu, when he left office, there was a sum of N6 billion in the government treasury, and he had no outstanding debts with any commercial bank, including temporary overdrafts.
Otti, who was sworn in as the Labour Party (LP) governor of Abia State, had previously revealed that he inherited a debt of N200 billion from Ikpeazu's administration. Among the inherited liabilities, Otti highlighted a total of N50 billion in unpaid salaries, pensions, and gratuities.
In response to these allegations, Ikpeazu clarified that his administration had secured a $50 million World Bank facility, carrying a mere 0.06% interest rate and a ten-year repayment moratorium. The funds were designated for the construction of over 500 kilometers of roads, including the dilapidated Port Harcourt Road in Aba.
Ikpeazu also pointed out that his administration had invested $5,000,000.00 in the Geometric Power Company, which he considered a near-cash asset. Furthermore, he stated that as of June 9, 2023, the state had received N24 billion through the Nigeria Governors' Forum, bringing the total credit to the state to N48 billion. This money was earned during Ikpeazu's tenure, and the current administration could utilize it from day one to construct crucial roads in Abia State without the need for repayment throughout its tenure.
Additionally, Ikpeazu disclosed that an African Development Bank facility worth $200 million, which had been processed by his administration, was readily available for the new government to access for the construction of rural roads.
The former governor highlighted that prior to his exit from office, the accounts of the Abia State Government and the office of the Accountant General of the Federation had been reconciled, revealing a credit balance of N6 billion in favor of the state. He emphasized that this indicated the federal government owed the state, rather than the other way around. Consequently, the current administration had access to this additional N6 billion.
Ikpeazu expressed his expectation for the new administration to provide a detailed breakdown of the alleged debts left by his administration. He believed that these debts primarily comprised long-term development facilities, contractor debts, and potential outstanding payments to pensioners and salaried workers. In his view, the new administration had sufficient resources to smoothly assume office and address the state's liabilities without resorting to public outcry or alarm.
