Emergency rule: Alli spends N3.4bn in four months � Tells Punch reporter, �You�re wasting your time�
Ibanga Isine,Oluyinka Akintunde and Jude Owuamanam
Facts emerged in Abuja on Wednesday that the emergency administration of the former Sole Administrator of Plateau State, Maj. Gen. Chris Alli, spent N3.41billion in four months out of the six months it spent in office.
Out of the amount, N2.91billion went into recurrent and capital projects between May and August 2004.
During the period, Alli�s government also spent N497.62million out of the N500 million released from the approved N2.5 billion Emergency Fund.
The figures were contained in a report by the House of Representatives Committee on States and Local Governments, which was exclusively obtained by our correspondents in Abuja on Wednesday.
The National Assembly performed oversight functions on the finances of Plateau State during the six months (May 19 � November 19) that emergency rule lasted in the state.
The State�s budget for 2004 is N20.6billion.
According to the details of the expenditure profile of the state, the Alli-led-administration spent N2.9 billion on personnel, N1.2 billion on overhead and N322 million on capital projects.
The report revealed that in July, the government spent N108.55 million on capital projects and N137.13million on overheads.
Capital projects in August gulped N213.46million while overhead cost was N82.04 million.
In May and June, the government spent N92.51million and N173.72million on overheads.
The specific projects were not mentioned in the report.
On personnel, the state paid N363.17 million in May; N368.79 million, N411.79 million in July; and N509.14 million in August.
The state, however, recorded a shortfall of N433.024 million of income over expenditure.
It earned N3.97 billion from Federation Account and Internally Generated Revenue.
To meet up with its financial needs, the report said that the Alli administration turned to banks for �short-term funds� on monthly basis.
It said, �There is shortfall of N433.024 million of income over expenditure. The state has to fund the shortfall by resorting to short term fund on monthly basis from the commercial banks.�
The current interest rate in most commercial banks is over 23 per cent.
Though there was no indication of the interest on the loans obtained by the interim government, experts said that given the political circumstances of the government, the banks would likely treat such loans as �high risk�, and charge higher than normal interests.
The breakdown of the allocations showed that in May, the state received N923.10million; N914.81million in June; N892.97million in July; and N691.18million in August, from the Federation Account and Value Added Tax.
Internally, the state generated N128.62million in May; N111.58million in June; N131.67million in July; and N176.28 million in August.
On the N500million released to the state from the approved N2.5billion Emergency Fund, the report stated that the President�s visit to Jos in August cost N24million; purchase of vehicles, N174.87million; and security and logistics N84.42million.
Other disbursements made from the N500million included: relief materials, N175.07million; peace conference, N21.41million; census of displaced persons, N416,000; equipment, N1.014million; transport/travels, N1.325million; road construction, N6million; and miscellaneous, N9million.
When contacted for his response on Wednesday, Alli told our correspondent, �You are wasting your time.�
At the heart of the present crisis facing the state, among other things, is the handling of its finances by the Governor, Chief Joshua Dariye.
Dariye would appear before a Federal High Court in Kaduna on December 13 over charges by the fraud watchdog, the Economic and Financial Crimes Commission, that he defrauded the state of N1.1billion.
Government officials refused to comment on Wednesday about whether the former military administrator could be called to account for his expenses between May and November.
