Edo House: Bitter fight over a wasting edifice For years, the Edo House on Victoria Island has been laying waste. Instead of generating revenue, it is costing the government money. Precious Igbonwelundu writes on how Governor Adams Oshiomhole’s bid to address the situation has provoked a bitter fight. The outcry, coming from the opposition Peoples Democratic Party (PDP), did not come as a surprise. Oshiomohole, on October 11, announced his administration’s desire to sell the giant edifice “in ruins”, in order to build a smaller liaison office, and then use the remainder of the proceeds to build a business park as well as a five-star hotel in Benin City that will directly create jobs in the state. In one of the interviews he granted, the governor explained how some tenants, who occupied the premises in the days of the PDP, did not pay rents and service charges, whereas the state government is obligated to service land use bills estimated at N60 million owed Lagos State Government. The PDP has since the announcement engaged in various activities to stop the proposed action, including ‘sponsoring’ some people to protest at the Plot 1225 Ahmadu Bello Way, Victoria Island premises, quoting varying figures as annual revenue generated by the state from the building. In the wake of the controversy,our correspondent visited the premises and realised that the property was dilapidated. The gates have fallen out of shape such that plywoods were used to cover the porosity; the premises have become a garage for oil tankers which spill petroleum products, thereby defacing the compound, with most of the roofs and ceilings in a sorry state. It was learnt that it would cost the government an estimated N1 billion to renovate the property. It was also gathered from some of the tenants, most of who admitted that they haven’t been paying their rent to the government because most of the liaison offices in the neighbourhood have been sold. They said they were made to believe that those who collected money from them were in charge of Edo House. It was gathered that a former governor’s father for eight years collected rent from the property and paid them into his personal account. Throughout the period, it was learnt that no renovation or maintenance was done on the property, with the money collected not accounted for. Contrary to claims by critics of the planned sale that the state makes between N80 and N103 million per annum from the Edo House, it was gathered that not a kobo has gotten to the state coffers for some years now. While most of the sub tenants claimed they have religiously paid their rent to their ‘masters’, Edo Government has denied collecting rents from Kenneth Odongharan, who is the Managing Director of Fair Bond, and other PDP stalwarts occupying the house. Odongharan entered into a lease agreement with the state in 1993 but allegedly stopped paying rent in 2005. Aside the rent issue, We gathered that some of the guest houses have been turned to chalets where fun seekers go for ‘short time’. Having reneged in the lease agreement and not sanctioned by the PDP government, Oshiomohole’s administration wrote several letters to Odongharan to either keep to the terms of the agreement or vacate the premises, but he did not budge. Although the annual rental value of an office in the neighbourhood is N5.8 million, it was learnt that Odongharan, a Delta State indigene, who occupies more than 13 rooms, excluding the ones he has been subletting, last paid only N1million to the state in 2008. Unfortunately, the state adopted forceful eviction during the time of Wilson Osigwe as Director General, which prompted Odongharan to drag Edo government to court. Among his sub tenants are Funke Oyedekpe, who it was learnt, pays N140,000 per month to Odongharan for a self-contained apartment and a firm, Teqbridge, occupying two offices on the ground floor of the main building. Although, Odongharan denied sub letting some of the apartments, Oyedekpe, who was not around when The Nation visited, confirmed she has been paying rent to him. When contacted, Odongharan denied sub letting any part to other people and insisted that he was not owing the state. On allegations that he has not paid rent since 2005, Odongharan said he only stopped paying rent in 2009 when he dragged the government to court on a N250 million-suit following the damages of his properties and theft of his belongings during the forceful eviction. But Oyedekpe said Odongharan (Fair Bond) collects N180, 000 per month from all his tenants and she paid the same amount in January when she came into the premises. Oyedekpe said her rent was reduced to N140, 000 the following month after she told him she was staying more than a month. She said she was, however, not satisfied, after she travelled for three months and returned only to see her apartment flooded. However, despite the PDP’s protest against the sale of the property, the state government has insisted its decision is in the best interest of the Edo people. It said since the state already has a befitting liaison office in Abuja, there was no need to keep the massive structure in Lagos, especially since it would attract more expenditure for the state. The government believes that owing a five-star hotel with a conference room that can sit 1, 000 people will add more value to the state, especially with the strategic location of the state. According to the Commissioner of Information, Louis Odion, it is ironic and laughable that PDP, which looted the state blind for 10 years, is faulting the decision of the Oshiomohole administration aimed at upturning the legacy of waste. “In line with our cost-cutting policy, we resolved that the Edo House in Lagos was grossly under-utilised, resulting in monumental waste of tax-payers’ money. “Worse still, a particular old tenant brought by the PDP to the house would not leave, brandishing dubious lease agreement approved by past PDP government. “To add insult to injury, this particular guy, who occupies more than half of the edifice, in turn sublets the property to other tenants. The last time he paid us rent was 2008. Guess what? He last paid a paltry N1m in 2008 and has not paid us a kobo since, even though he continues to collect rent from his sub tenants. “He also runs a hotel in another wing of the same building. You won’t believe that this guy is not even from Edo State. “Meanwhile, they continue to run down the building mindlessly while entrapping us with endless litigations in Lagos courts. “Rather than resign to fate or lament, we resolved to act in the best interest of the good people of Edo by seeking to keep a more compact office in Lagos and put the said house in the market. In any case, Edo now has a big house in Abuja serving as our liaison office. “Consistent with our policy of transparency, the bidding process will, of course, follow the rigours of a competitive process. “Again, the good news is that the proceeds would partly be utilised to build a more compact structure in Lagos and the remainder repatriated back to Edo to build a business park on Mission Road in Benin as well as a five-star hotel in Benin. “So, you can clearly see that the joke is actually on the PDP which had perfected the culture of looting and waste. Our only sin is that Oshiomohole insists we must have an open bid. “In the past, the PDP sold all government houses and land in Benin GRA secretly to themselves. But we will not be distracted from safeguarding the interest of Edo people.”
Posted on: Sun, 20 Oct 2013 10:40:49 +0000
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