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APC, Edo Govt. Clash Over N23bn Hotel Project Scandal

The Edo State government and the All Progressives Congress in the state have clashed over allegation of N23 billion hotel projects fund.

The APC   called on the Economic and Financial Crimes Commission (EFCC) to investigate the N23 billion expenditure on the construction of Radisson Hotel by the state governor, Mr. Godwin Obaseki.

The state chairman of the party, Emperor Jarrett Tenebe, made this call while addressing journalists in Benin City.

Reacting to the allegations, the Commissioner for Orientation and Communication, Mr. Chris Nehikhare, dismissed the APC’s claims as baseless and sensationalist.

 

During his address, Tenebe highlighted what he described as a series of financial discrepancies and mismanagement associated with the project. 

He accused Governor Obaseki of inflating the initial contract sum for the hotel, which was awarded on August 23, 2023, to Shapoorji Pallonji Nigeria Limited for N15.4 billion, to a staggering N23 billion through additional sub-contracts. 

He added that they  included N2.1 billion for MEP/HVAC equipment, N1.6 billion for kitchen and laundry equipment, and N703 million for aluminum glazing works and Alucobond cladding, all awarded on June 1, 2023.

Tenebe further criticized the administration for its failure to complete critical infrastructure projects, noting that the hotel complex was already 85% completed before the state government took over, yet more than N28 billion has been allocated to the project.

 He accused Afrinvest, a company allegedly owned by Governor Obaseki, of questionable involvement in the project as a financial advisor.

In addition to the Radisson Hotel controversy, Tenebe called for an investigation into the ownership of the modular refinery in Ologbo. 

He alleged that despite the state government investing over N1 billion in the project, it has now been transformed into a private company wholly owned by Michael Osime’s AIPCC Energy.

Tenebe also raised alarms about Governor Obaseki’s move towards paperless governance, alleging that it is a scheme to delete sensitive documents that could implicate the administration in fraudulent activities. 

He warned the governor and the head of e-governance, identified only as ‘Ugo’, against deleting these records.

 

 Nehikhare while reacting  urged the APC to focus on presenting their plans for the development of Edo State instead of making unfounded accusations.

“The APC leadership should articulate their plans for Edo State and how they intend to sustain or improve upon the progress made by the current administration,” Nehikhare stated, emphasizing that the state government would not dignify the APC’s allegations with a detailed response.

 

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