The governor of Osun State, Ademola Adeleke, revealed that Adegboyega Oyetola, his predecessor, left N407.32 billion in debt in Osun State in addition to raising the state’s debt level.
Adeleke claims that this occurred after Oyetola’s defeat in the governor’s race.
The newly elected governor claims that this goes against Oyetola’s assertion that he never borrowed while serving as governor.
“The only fund in government coffers, as of Monday, November 29, 2022, was for November 2022 workers’ salary. Otherwise, the state treasury was empty.”
In his speech at a gathering with the traditional rulers of Osun State in the state’s capital, Osogbo, Adeleke made this disclosure.
The governor expressed shock that Oyetola allegedly received a Federal Government Bridge Finance Facility of N18.04bn, adding that a significant portion of the loan was taken after the July 16, 2022 election, which Oyetola lost. The governor backed up the disclosure with a document that was purported to have come from the state’s Accountant-General.
“If the N76 billion debts on salaries and pensions are added, the state is indebted to the tune of N407.32bn,” the governor said, adding that the total loan stock is currently N331.32bn. The amount owed contractors is yet to be determined.
“With high sense of responsibility, I am reporting to our people through our traditional rulers the total debt profile inherited by my administration from former Governor Oyetola’s administration.
“This event is in pursuance of my pledge to Osun State people to be transparent and run an open government.
“My administration inherited eight outstanding loan facilities, apart from salaries and pension debts from former Governor Oyetola’s administration. The repayment period ranges from 16 months to about 28 years.
The governor has hinted that he will investigate his predecessor’s use of the loans during the interim. He added that commercial banks would detail their decisions to lend money to the outgoing governor after he lost the election.
Additionally, Oyetola revealed in his farewell speech that his administration had left N14bn in cash in the state’s coffers for the incoming administration, and he added that his administration had successfully paid N97bn of the total debt it had inherited in 2018 when he took office.
