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The Senate has expressed concern over the N4.2 billion allocated in the 2024 budget as personnel cost for unverifiable workers at the Ajaokuta Steel Company Limited.
During an investigative hearing, the Deputy Chairman of the Senate Ad Hoc Committee, Senator Natasha Akpoti-Uduaghan, questioned the Sole Administrator of the steel company about the number of workers collecting salaries from the allocated funds.
She stated that she often found fewer than 10 people at work during her unscheduled visits to the plant.
The steel company has spent a massive amount on personnel costs yearly, yet no steel has been produced and the mills remain idle.
The sole administrator, who is from the local area and passionate about reviving the company, questioned why only a handful of people were observed during visits, despite the 4.2 billion naira appropriated for personnel costs in 2024.
According to the text, there are concerns about the appropriation of N4.2 billion for Ajaokuta Steel Company, with questions raised about the number of workers receiving monthly salaries from this fund.
The minority whip of the Senate, Senator Osita Ngwu, prevented the sole administrator from responding to those questions, stating that the appropriation was approved by the National Assembly.
The chairman of the ad hoc committee said the presentations and submissions made by various stakeholders would be thoroughly looked into to find a solution for Ajaokuta Steel Company.
In his concluding remarks at the investigative hearing, the Chairman of the Ad Hoc Committee, Senator Adeniyi Adegbonmire (APC Ondo Central), stated that the committee would thoroughly examine the presentations and submissions made by the various stakeholders to find a solution for the Ajaokuta Steel Company.
The key stakeholders who participated in the investigative hearing included the permanent secretary of the Ministry of Mines and Steel Development, a director from the Central Bank of Nigeria, a director from the Bureau of Public Enterprises, the Nigerian Society of Engineers, and the Steel and Engineering Union Workers of Nigeria.
