Alltimepost.com Sincerity of Purpose
By Idahosa Musa
Edo State House of Assembly has given Governor Monday Okpebholo the green light to work with relevant anti-graft agencies to recover N17.5 billion allegedly still in the custody of two escrow agents—Meristen Trustees Limited and Emerging Africa Trustees Limited—linked to the controversial Radisson Blu Hotel project in Benin
The amount represents an alleged unaccounted balance of the N25 billion bond raised by the immediate past administration of Governor Godwin Obaseki from the capital market for the hotel investment.
In addition to the recovery of the funds, the lawmakers also directed the governor to obtain the complete statement of account relating to the transaction and to retake full ownership and control of the Radisson Blu Hotel on behalf of the Edo State Government.
These resolutions followed the submission of a damning report by an investigative committee set up by the Assembly to probe the ownership, funding and management structure of the hotel project.
The escrow agents appeared before the panel during the investigation.
According to the committee’s findings, the Escrow Agreement was never validly executed by the purported escrow agents, rendering the agreement defective and invalid.
The report further revealed that the supposed investor failed to meet the agreed payment schedule and that not a single kobo of the alleged N10 billion investment was paid into the Edo State Government’s coffers.
The lawmakers noted that the hotel was purchased outright by the Edo State Government for N2 billion on December 23, 2021, and that title to the property was never transferred to either the Ministry of Finance Incorporated (MOFI) or the Hospitality Investment and Management Company (HIMC).
The Assembly declared as fraudulent the Deed of Assignment dated May 25, 2023, involving Cable & Rod Nigeria Limited, MOFI and HIMC, stressing that the property had already been acquired by the state government and that the deed violated the original contract of sale.
It also faulted the Certificate of Occupancy issued in the name of HIMC, describing it as illegal, since HIMC neither bought the hotel nor possessed any valid document transferring ownership from the Edo State Government.
The report further established that there was no approval from either the State Executive Council or the House of Assembly authorising the transfer or vesting of the hotel in MOFI or HIMC, as required by law, adding that all agreements seeking to acquire ownership of the hotel through the purchase of HIMC shares were void ab initio.
Raising concerns over due process, the committee disclosed that several agreements were invalidly executed, including those signed by an individual who was not a staff of the Edo State Government, while also alleging conflict of interest against former Governor Obaseki for appointing his own firm as financial adviser and close associates as legal advisers to the transaction.
Consequently, the Assembly resolved that the Edo State Government should immediately revoke the fraudulent Certificate of Occupancy, revert ownership of the property to the state, and engage competent professionals to complete the renovation and put the hotel to productive use for the benefit of Edo people.
It further mandated Governor Okpebholo to initiate legal action and collaborate with anti-graft agencies to recover both the N17.5 billion bond proceeds and the full account details still allegedly held by the escrow agents.
The lawmakers insisted that, based on all findings, title to the Radisson Blu Hotel remains firmly with the Edo State Government, stressing that public assets must be protected and any loss of state funds fully recovered.
