Osun State governor Rauf Aregbesola and his predecessor Olagunsoye Oyinlola yesterday appeared before the commission of inquiry set up by the Aregbesola-led administration to probe contracts and financial transactions particularly the N18.38 billion loan obtained by Oyinlola's administration. The commission had summoned the governor and his predecessor to come and state their positions before it. Oyinlola explained why the loan was obtained from UBA while Aregbesola stated how the loan was bought back by First Bank by his administration.
Explaining the circumstances that surrounded why the loan was taken, Oyinlola said his administration took the loan because the state was insolvent and that there was need to develop the state's infrastructure. He told the panel that his administration followed due process in the award of contracts but admitted that "there is no way we cannot see a little bit of slip in such a situation."
Aregbesola, in his own position, faulted the decision of his predecessor to take such loan with stringent conditions from the UBA, saying he opposed the loan because Oyinlola administration claimed to have spent part of the money to renovate and construct nine technical colleges to solving youth unemployment in the state.
He said his administration negotiated for a credit line facility from the First Bank to be able to buy the N18.38b loan obtained by the former administration as his administration was equally suspicious of utilization of the loan.
Daily Trust