Dangote Cement plant Obajana belongs to Kogi State, says Yahaya Bello
Kogi State government on Thursday said that the Dangote Group cannot claim ownership of Dangote Cement Company, Obajana, adding another to the invasion of the company by agents of the state on Wednesday.
Governor Yahaya Bello, speaking during the public presentation of the report of the Specialised Technical Committee on the Evaluation of the Legality of the Alleged Acquisition of Obajana Cement Company Plc by Dangote Cement Company Limited by the Secretary to the State Government, Dr (Mrs) Folasahade Ayoade, noted that based on official reports and other documents at the disposal of the state government, the Dangote group is not the owner of the cement firm.
Bello said: “We received several petitions from the general public over this particular subject matter. In the past five to six years, all efforts to sit with the proprietors of the Dangote conglomerate failed.
“We set up a committee to look into this and invited the Dangote company to discuss with them and tell them the imminent dangers they are exposing the people to, but it all fell on deaf ears.
“I am here to defend my people, and from all reports, it is clear that Obajana Cement Company does not belong to Dangote.”
The governor, however, said that the state was open to discussions once Dangote Company is ready to come clean.
Dr. Ayoade, while presenting the report of her committee, revealed with documents that the purported transfer of Obajana Cement Plant to Dangote Industries Limited, was “invalid, null and void.”
She disclosed in the report that three Certificates of Occupancy for Obajana Cement Company Plc, which was solely owned by the Kogi State government at the time, were used to obtain a loan of N63billion by Dangote.
According to her, the Committee, in view of its findings, has therefore recommended that Kogi State should take steps to recover Obajana Cement Company from the Dangote Group.
The Committee also recommended that: “Kogi State government should take steps to recover all accrued dividends from profits made over the years, including accrued interest on same.
“Kogi State government should take steps to cancel the existing seven Certificates of Occupancy in the name of Dangote Cement Company.”
Stressing the aberration in the acquisition process, the SSG said: “Agreement between Kogi State government of Nigeria and Dangote Industries Limited, dated 30th July 2002 and supplemental agreement dated 14th February 2003, as contained in Exhibit 71 of the Judicial Commission of Inquiry Report, purporting the transfer of Obajana Cement Company Plc to Dangote Industries Limited, are all invalid, null and void.
“There is no evidence of consideration paid by Dangote Industries Limited to Kogi State Government from the alleged transfer of Obajana Cement Company Plc and no dividend was paid to the state from the profits realised from the inception of Dangote Cement Company Plc to date.
“By the assignment of the three certificates of occupancy, the title in Obajana Cement Company Plc, still vests in Kogi State Government as the sole owner.
“The three documents were used to obtain a loan of sixty-three billion naira only (63,000,000,000.00) to finance the construction of the cement plant in Obajana.
Speaker of the state House of Assembly, Matthew Kolawole, said that the acquisition of the Obajana Cement Company by Dangote was without the resolution of the House of Assembly, which made the process null and void.
“It is clear that you cannot sell a state government property of any form without the resolution of the Kogi State House of Assembly.
“All the transfer process of the share capital to Dangote from Obajana by the previous administration was without any law backing it by the state House of Assembly,” Kolawole said.
