The Ondo state Government has debunked insinuations that it received a bailout from the Federal government to pay outstanding workers salary, disclosing however that it only received N2.2b accrued to it from taxes, being part of June allocation from the Federation account, even as it puts its monthly wage bill at about N4b.
At a joint media briefing addressed by the state’s Commissioner for Information Hon, Kayode Akinmade and his Finance counterpart, Chief Yele Ogundipe in Akure yesterday, the government mentioned that the bailout proposal presented to the President at a recent meeting by state governors was yet to bear a fruit as modalities on it are still being worked out.
Making clarifications on the bailout issue, the Finance Commissioner said following the meeting with President Muhamadu Buhari by the state governors over the lingering issue of default in payment of salary and other contractual obligation, one of the things that was decided on was that the Federal Government will find a way to bail out the states in terms of loan and the fund in the excess crude account could also be considered for sharing, submitting however that nothing concrete has been done in these regards.
“I can tell you that so far, no concrete action has been taken in that direction, notwithstanding the fact that all across the nation and in particular in Ondo, most people have read in the newspapers and heard that the Federal government distributed over N720b to assist the states in the payment of salaries on Monday”
--Vanguard
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