The Nigerian Senate on Tuesday raised concerns over the N4.2 billion allocated in the 2024 budget for personnel cost at the moribund Ajaokuta Steel Company Limited, questioning the existence of the workers purportedly receiving these funds.
During an investigative hearing by the Senate’s ad-hoc committee on alleged corruption and inefficiency at Ajaokuta Steel Company Limited and the National Iron Ore Mining Company from 2002 to date, the issue of unverifiable workers at the non-functional steel company was brought to light.
Natasha Akpoti-Uduaghan (PDP Kogi Central), deputy chairman of the committee, questioned Summaila Abdul Akaba, the sole administrator of the steel company, about the number of workers drawing salaries from the N4.2 billion appropriated for personnel costs in the 2024 budget
She said being an indigene of the area desirous to get the steel company revamped and working, she had made several unscheduled visits and rarely found more than 10 people on site.
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She further lamented that despite the humongous amount of money being spent on personnel costs by the steel company every year, no steel has been manufactured and no mill rolled.
“The sum of N4.2billion was appropriated for personnel cost in 2024 but from several visitations I’ve made to the complex, hardly were 10 people sighted to be around or doing anything. So, who are the workers collecting monthly salaries from the appropriated N4.2billion”, Akpoti-Uduaghan said.
“Statistically, if N300,000 is paid monthly to 14, 000 people per month for a year, you get N4.2 billion or N500,000 to 8,400 workers per month in a year. Where are the 14, 000 or 8,400 workers in Ajaokuta, the appropriated N4.2billion is being spent on? “, she further queried.
But in an embarrassment-saving move, Osita Ngwu, the minority whip of the Senate who is also a member of the committee, intervened to prevent the sole administrator from responding.
“Please don’t let us indict ourselves because the said appropriation was approved by the National Assembly,” Ngwu interjected.
Adeniyi Adegbonmire, chairman of the ad -hoc committee, said presentations and submissions made by the various stakeholders would be thoroughly looked into by the committee for way out solution report on Ajaokuta Steel Company to the Senate.
