During an investigative hearing, the Senate expressed disappointment over the allocation of N4.2 billion in the 2024 budget for personnel costs at the Ajaokuta Steel Company Limited without clear verification of the actual number of employees.
Issues regarding the accountability of workers at the inactive steel company were brought to light by an ad hoc committee of the Senate investigating alleged corruption and inefficiency at Ajaokuta Steel Company Limited and National Iron Ore Mining Company spanning from 2002 to present.
At the hearing, Senator Natasha Akpoti-Uduaghan (PDP, Kogi Central), the deputy chairman of the committee, questioned Summaila Abdul Akaba, the sole administrator of the company, about the utilization of the N4.2 billion allotted for personnel costs in the 2024 budget.
Senator Natasha raised concerns, stating, “I have visited the complex multiple times and have observed that there are hardly any workers present despite the allocation of N4.2 billion for salaries. Who are the individuals receiving salaries from this fund?”
Senator Natasha further elaborated, “If N300,000 is paid monthly to 14,000 individuals or N500,000 to 8,400 workers annually, where are these workers at Ajaokuta Steel Company that justify the N4.2 billion expenditure?”
However, Senator Osita Ngwu (PDP, Enugu West), the Minority Whip of the Senate and a committee member, intervened to prevent the sole administrator from responding, emphasizing the approval of the appropriation by the National Assembly.
Concluding the investigative hearing, Senator Adeniyi Adegbonmire (APC, Ondo Central), the committee chairman, assured that all presentations and submissions from stakeholders would be thoroughly examined to formulate a comprehensive report on Ajaokuta Steel Company for the Senate.
Key participants at the hearing included the permanent secretary of the Ministry of Mines and Steel Development, a representative from the Central Bank of Nigeria, a director from the Bureau of Public Enterprises (BPE), the Nigerian Society of Engineers, and the Steel and Engineering Union Workers of Nigeria.