Hakeem Gbadamosi examines the recent controversy surrounding the 2025 budget in Ondo State and issues that spark controversy.
THE Ondo State 2025 budget and the many controversies surrounding it remain the issues of the moment that may not abate soon in the Sunshine state. This follows controversial allocation of funds to some parasatals, ministries and principal officers of arms of government.
Governor Lucky Aiyedatiwa had on December 10, 2024 presented the 2025 budget estimate of N655.230 tagged “Budget of Recovery” to the state House of Assembly. The governor would later sign into law the budget passed by the Assembly after it had been increased by N43.4 billion, bringing the total budget to N698 billion on December 30, 2024.
The 2025 budget proposal presented by Aiyedatiwa is higher than the total projected budget outlay for 2024 Fiscal year by about N260bn higher than the previous year. In the budget, a total of N248.923bn representing 37.9 percent was allocated for recurrent expenditure, while N406.307bn representing 62.01 per cent of the budget, was earmarked for capital expenditure.
Analysis of the budget showed that infrastructural development has the largest allocation with N238.572bn, representing 36.40%, followed by public finance with N125.456 billion (19%), education with N77.024 billion (11.80%), and agricultural development with N56.102 billion (8.60%).
The administration of justice was allocated N132.163 billion (2.80%), trade and industry N8.839 billion (1.30%), health N46.016 billion (7.00%), and environment and sewage management N13.084 billion (2.00%).
Also, the general administration receives N34.398 billion (5.20%), information N3.230 billion (0.50%), legislative administration N7.636 billion (1.20%), regional development N8.869 billion (1.40%), community development N14.128 billion (2.20%), and energy N3.742 billion (0.60%).
The lawmakers however, wasted no time in passing the budget but not without jacking it up by N43.4bn. The bill was passed after the House approved a total estimate of N698,659bn out of which N265,037bn (47.94 percent) is dedicated to recurrent expenditures, while 433,622bn (62.06 percent) is earmarked for capital expenditure and was subsequently signed by the governor.
While justifying the upward review of the budget, the chairman, House Committee on Finance and Appropriation, Hon. Oluwole Ogunmolasuyi, said the review becomes necessary to reflect the current economic realities.
According to Ogunmolasuyi who is also the Majority Leader of the House, the new figures would cater for the effects of the removal of fuel subsidy, fluctuating exchange rates, and the recent minimum wage increase. He however said the committee avoided granting additional requests from MDAs, except in critical areas, saying “the increase in the budget by N43.43bn was approved to address essential needs.”
The committee recommended that the government should take all necessary steps to ensure that the expected independent revenue target is attained and that the schedules that accommodate necessary adjustments required to meet the urgent needs of the people of Ondo State are conscientiously applied to the needs, among others.
The speaker of the House, Hon. Olamide Oladiji, expressed the determination of the legislative arm of government to continue to work harmoniously for the overall interest of the people of Ondo State at all times, hoping the budget would improve the state’s economic fortunes.
But a study of the Ondo 2025 Budget as posted on the state website exposed some illegal insertion or allocation in the budget and this widespread discrepancies raised concerns about the prudence and accountability of those entrusted with the management of resources of the state, leaving many citizens of the state fuming amid the economic hardship in the country.
Controversial Items
The entire process however, became dramatic after the discovery of widespread discrepancies in the budget. One of such anomalies in the 2025 budget passed by the Ondo lawmakers is the unusual and strange portion of the budget attributable to the Ministry of Finance, particularly the allocation of N11.5bn to the Finance Ministry as a security vote.
The allocation of the N11.5bn to the ministry raised concerns about transparency and accountability in the state’s financial management regime. This, to many observers, is strange, alien and gave credence to the argument that the entire budgeting process was full of discrepancies.
Apart from the odd security vote injected into the finance ministry budget, additional N250m was also budgeted as honorarium and sitting allowance for the finance commissioner, while another N1.5bn was earmarked for contingencies while other ministries were allocated less amount, particularly Ministries of Education and Health.
Similarly, a total of N462m was detected to have been budgeted for the maintenance of cars of the Speaker of the Ondo State House of Assembly, his deputy and 24 other legislators in the state. This is despite the presentation of brand-new SUVs to the Speaker and his deputy, and Abayomi Akinruntan, less than 12 months ago.
It was noted that the provision which was contained in the 2025 approved budget of the state, tagged ‘Budget of Recovery,’ allocated N77m to the office of the Speaker for the maintenance of motor vehicles and transport equipment, while the office of the Deputy Speaker and the State Assembly were allocated N35m and the sum of N350m allocated for the other 24 lawmakers
Also in the passed budget the sum of N235m was allocated and to be expended on telephone calls as the State Assembly will be receiving N200 million, the Speaker N28m and the Deputy Speaker N7m for telephone charges in 2025.
The budget further revealed that a total of N791m was earmarked for local and international travel and transport for the three composite offices. The Speaker will receive N181m, the Deputy Speaker got N90 million, and other lawmakers will receive N520 million. A total of N200m was earmarked for the printing of non-security documents for the State House of Assembly, while the sum of N25m was budgeted for the office of the Speaker and N6 million for the office of the Deputy Speaker.
The breakdown was published under serial numbers 11202300100, 11200300100, and 11202100100 in the budget, N300m was earmarked for all the lawmakers with separate welfare packages pegged at N26m and N11m for the Speaker and his Deputy.
Additionally, N33 million was budgeted for electricity charges in the office of the Speaker, N8 million for the office of the Deputy Speaker, and N300 million for the entire House of Assembly. For hotel accommodation for the legislators, N20m was allocated, N50m was for the lawmakers refreshment and meals, while the Speaker and his Deputy will receive N25m and N10m, respectively for their refreshment and meals.
No allocation for Amotekun
It is however, disheartening to discover that there was no allocation for the State Security outfit, also known as Amotekun. It will be recalled that the lawmakers in the state recently asked Aiyedatiwa to strengthen Amotekun Corp in fighting criminals by provide the logistics needed and sufficient funds for Amotekun’s activities to protect lives and property.
But surprisingly, zero allocation was recorded for the running of the Amotekun in the budget while the purchase of security equipment which include five Armoured Personnel Carrier for the outfit, estimated at N120m each was rooted through the finance ministry.
This particularly raised dust in the state, as citizens noted that the state security outfit had been battling with problems of funding, training and equipment for its personnel. They however blamed the Assembly for toying with security of lives of the people who elected them to run the affairs of the state on their behalf, noting that only a few projects of interests to the lawmakers were included in the budget.
A resident of the state, Ayala Ayolami, described the budgets for the offices of the lawmakers as misplacement of priority, considering the economic situation of Nigeria, and said “spending so much on a small group of people does not convey concern for the plight of their constituents especially with this economic hardship being experienced in the state and country”
However, in quest to know the reactions of the people over the budget allocation of security vote to finance ministry and outrageous phone calls to the Assembly members and the benefits to the citizenry, most residents condemned the action saying, such an act will never solve the problems being encountered by the people of the state.
A civil servant in one of the ministries, Tunde Adetunji, described the allocation as nothing but misplacement of priorities on the part of the Assembly members and that of the government, saying the constituencies of the members are nothing to come by in terms of infrastructure, Education and the rest.
Also, a retired civil servant said, “It’s a pity that we are where we are today in the state.
According to her, the state is the least developing in terms of infrastructure in the South-West, that the lawmakers cannot fight for this but rather to be sharing the common wealth of the people.
A public affairs analyst, Timi Apakwo, said, the entire system is down and that the so-call lawmakers have nothing to offer again in anal of things. A sources told Sunday Tribune that the N11.5bn security vote was indeed included in the budget signed by Governor Aiyedatiwa.
A staff member of the Ministry of Finance, who spoke on condition of anonymity, described the allocation as “strange” but said officials of the ministry may not be invited for questioning.
However, the Nigerian Anti-Corruption Network (NACN) has condemned the inclusion of the N11.5 billion security vote.
In a statement signed by its National President, Comrade Mike Aderosoye, the group expressed outrage over what it described as an “affront to the sensibilities of Ondo State citizens.”
“It is unacceptable for a commissioner, who reports to the governor, to appropriate a security vote budget head when the governor is already receiving one. This raises suspicions of gross mismanagement and deliberate looting of public resources,”
NACN also criticized Aiyedatiwa for failing to prioritize meaningful governance, saying “It is shameful that a governor who has not commissioned a kilometer of road in the past year and has abandoned countless projects would allow his commissioner to insert such an outrageous sum into the budget for personal gain,”
The NACN urged the EFCC to thoroughly investigate the matter, warning against any attempt to sweep it under the carpet, saying “the EFCC must prove its commitment to fighting corruption. We will not hesitate to seek legal redress if this case is abandoned,” it said.
The group however, called on the state government to redirect the N11.5 billion to developmental projects, including roads, healthcare, and education and said, “This money belongs to the people of Ondo State and should be used to alleviate their suffering, not to fund dubious security votes,” the statement concluded.
Meanwhile, the main opposition party in the state, the Peoples Democratic Party (PDP) has taken a swipe at the content of the 2025 budget proposal of Governor Aiyedatiwa’s administration, describing the budget as questionable, unrealistic, and not in the interest of the people of the state.
The party, in a statement issued by the party’s Publicity Secretary in the state, Kennedy Peretei, said the budget christened “Budget of Recovery” should be tagged “Budget of Looting” urged the Economic and Financial Crimes Commission (EFCC) to beam its searchlight into the alleged inflated overhead costs in the 2025 budget of the state.
Peretei, who frowned on the huge amount voted for by lawmakers for the maintenance of their cars and the making of telephone calls, expressed dismay that sectors like education and health were not adequately catered for in the budget, while the Ministry of Finance was overfunded, suggesting that the focus of the present administration is more on looting than the development of the state.
The party pointed out that the content of the fiscal estimate showed that the governor and his team lack a proper grasp of micro and macroeconomic fundamentals in budget and economic management, saying not even budget experts could explain the meaning of security vote in a ministry.
“Not even budget experts could explain the meaning of a security vote in a ministry, different from the one the Governor receives monthly under the same sub-head.
“There are other outrageous allocations such as N200m to House of Assembly Members and N280m to the Speaker of the Ondo State Assembly, respectively, as phone expenses.”
“Critical sectors like education and healthcare received only N77.024B and N46.016B respectively. Is there any doubt why Gov Lucky Aiyedatiwa’s government has achieved nothing since its inception over a year ago? The focus is more on looting than the development of the state.
“Our party calls on the Economic and Financial Crimes Commission (EFCC) to be thorough in their investigation of the stealing of public funds in Ondo State through the 2025 budget. No state can make progress if those entrusted with the people’s funds are not accountable but use underhanded tactics to steal.”
Also, an Akure-based legal practitioner, Femi Emmanuel Emodamori, described the 2025 budget by the state government as unrealistic, opaque, and insincere. He noted that the budget was riddled with unverified economic figures, querying the rationale behind the security votes allocated for the state finance commissioner.
The legal practitioner described the N200m allocated for the Speaker of the House of Assembly and security votes for the finance commissioner in the 2025 budget as totally scandalous, senseless, tactless, and heartbreaking.
He said, “The allegation that the Speaker of the Ondo State House of Assembly claimed, inserted, and approved N200m as telephone call allowance for his office in the 2025 Ondo State Budget is, therefore, totally scandalous, senseless, tactless, and heartbreaking.”
According to him, “We have 60 minutes in an hour, 24 hours in a day, and 365 days in a year. So, we have 1,440 minutes in a day (60 x 24) and 525,600 minutes in a year (1440 x 365). Even with the recent approval for a 50% increase in call tariff from N11 to N16.5 per minute by the Federal Government, a non-stop telephone call for the entire 525,600 minutes in a year would cost only N8,672,400.
“Could this be part of a mutual arrangement by the Executive and Legislative arms of Government in Ondo State to plunder the state, particularly in view of the allegation that the state’s Commissioner for Finance got an approval for a strange, unprecedented, and illegal N11b as ‘Security Vote’ in the same budget, under the watch of Governor Lucky Aiyedatiwa? Are these allegations mere political propaganda and smear campaign?
“Unfortunately, unlike the normal practice in the days of late Governor Rotimi Akeredolu, the current Ondo State 2025 Budget is not on the state government’s official website for Nigerians to crosscheck the facts and figures.
“However, if these allegations are true, then, I demand the immediate resignation of Mr Speaker and the State Commissioner for Finance. They need not wait to be investigated by the EFCC. If, on the other hand, the allegations are false or inaccurate, there is a need for the Speaker and state commissioner for Finance to immediately allay the fears and concerns of the people of Ondo and all well-meaning Nigerians by publishing the 2025 Budget of Ondo State as assented to by the Governor on the state government’s website.”
Meanwhile, there are indications that the anti-graft agency, EFCC has launched investigation into the Ondo State 2025 budget, with focus on the controversial allocation of N11.5b as a security vote for the State Ministry of Finance. The budget revealed a N250 million for honorarium and sitting allowances for the Finance Ministry and N1.5b allocated for contingencies as contained in 2025 budget document.
The development raised concerns about transparency and accountability in the state’s financial management regime, and attracted the anti-graft agency to beam its searchlight to the state budget. To this end, indication emerged the EFCC undercover agents have arrived the state to verify the budget details, though the anti-graft agency has not officially confirmed the investigation.
Also, an EFCC insider hinted that members of the State Assembly would soon be summoned to provide further insights into the budget’s passage, particularly the N11.5b allocation for the Commissioner of Finance as a security vote.
“We are investigating whether such an amount has ever been allocated to the ministry in previous budgets. We are also interested in understanding the purpose of this allocation and how it will be spent, especially since the governor already receives a security vote package which is not disclosed.
“This is not a witch-hunt but a clear way of trying to find out the truth of the matter on the case at hand. Several anti-corruption bodies have called and made inquiries on the matter like you are also doing right now”, the anti-graft agency’s source told our correspondent in confidence.
All efforts to speak to the chairman of the Standing Committee on Finance and Appropriation Hon. Ogunmolasuyi, were not successful as all calls and messages to him were not returned or answered.
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