Edo State Government on Tuesday ordered the chairman of Etsako West Local Government Area, Mr. Yakubu Musa, to step aside to allow for a thorough investigation into an alleged N46m payroll fraud uncovered in the council.
A statement in Benin signed by the Commissioner for Local Government and Community Affairs, Barr. Jimoh Ijegbai stated, “At the Joint Account Allocation Committee meeting held on May, 28, 2019, the Governor of Edo State frowned at the very high wage bill of Etsako West Local Government, which amounted to sixty-six million six hundred and fifty-two thousand, five hundred and twenty seven Naira, fifty two Kobo (N66,652,527.52) monthly; whereas Oredo Local Government, with far more staff strength, was paying fifty-nine million, eight hundred and fifty-nine thousand, nine hundred and sixty Naira, twenty-nine Kobo (N59,859,964.29) to its staff.
“Consequently, the governor directed the Ministry of Local Government and Community Affairs to carry out a staff audit in Etsako West Local Government.”
At the end of the verification exercise, 63 employees of the council did not show up for the exercise, thereby saving N6,035,656.29 (six million, thirty-five thousand, six hundred and fifty-six Naira, twenty-nine kobo) for the local government.
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“It was later discovered that the authority of Etsako West Local Government entrusted the council’s payroll to a Grade Level Three (GL-03) Officer who inserted two fictitious names on the payroll through whom the local government was defrauded of the sum of forty-six million (N46m) from July 2018 to May 2019.
Noting that, “The case is currently being investigated by security agencies,” he said, “Unfortunately, it took a staff audit ordered by Governor Godwin Obaseki to uncover the massive fraud that had been festering in the local government area.
“Following this unfortunate incident, the government, in keeping with its avowed commitment to the Rule of Law and in accordance with the Local Government Law of Edo State 2000 as Amended, has decided to suspend the chairman in order to ensure unbiased investigation into what led to the scandalous rise in Etsako West Local Government wage bill and make recommendations to prevent further violation.”
“If the Council Chairman was diligent enough, he should have been the one to raise the alarm that his council’s wage bill was increasing astronomically even though no new staff was employed.
“Unfortunately, it had to take a staff audit ordered by His Excellency, Governor Godwin Obaseki, to uncover the massive fraud that had been festering in the Local Government Area.”
The Commissioner explained that the action of the state government was taken in the interest of the people of Etsako West added that Governor Obaseki has ordered a general verification and audit of staff of all the 18 local government areas in the state.
He said the purpose of the order is to check for ghost workers and fraud in the pay roll system.
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