Kogi Lawmakers Probe Dangote’s Acquisition Of Obajana Cement

The Kogi State House of Assembly has launched a probe into how the state owned cement company, Obajana Cement was wholly taken over and transformed into Dangote Cement Limited.

The investigation the legislative house explained is part of the effort to ensure that the state gets a worthy portion of what is due it from resources taken from the state.

GWG reports that Dangote was absent on Saturday when the probe was supposed to have commenced.

For Dangote it shadows the fractious relationship that existed between it and the Benue State Government at the turn of the century when the billionaire investor, Alhaji Aliko Dangote bought into the former BCC Cement Limited. The investment roused the indignation of the Benue people who opposed it until a settlement was reached years after the acquisition.

Affirming the determination of the Kogi House of Assembly to untangle how Obajana Cement was transformed into Dangote Cement, the speaker of the House of Assembly, Matthew Kolawole said: “the invitation is simply a demand for the rights of the State to a fair share of resources taken out of her soil.”

While decrying the manner of the transformation, he said:
“we are currently investigating sources of our Internally Generated Revenue, IGR, and we believe it is expedient for the House to interface with some companies operating in the State.

”For example, Dangote Cement Limited started as Obajana Cement company. Kogi State House of Assembly is interested and curious to know what happened at a point that the company transformed to Dangote Cement Limited.

“We want to know what is the benefits of the State in the company. What is the equity share of the State in the company.

”We are beaming our searchlights on all companies in the State, as we not particular about Dangote.

“We have Mangal Limited, we have some that are into mining coal, limestones, gold, even as different kinds of solid minerals are being mined out of Kogi on a daily basis.

”We want to know on whose instruction are they paying their dues. We are interested in doing business with companies that will give us our fair share of the quantum of resources taken out of our soil.

”We are not against any organisation, but let the right things be done at the right time. We enjoin them to give to us what belongs to us and that is why we are here.

”We are confident that when the report would be written a lot of discovery will be made. We invited Dangote and they are not here. I have directed the committee to invite Dangote for Thursday and ensure that they acknowledge receipt of the correspondence,” the Kogi speaker disclosed of the decision of the lawmakers to probe how Obajana was transformed into Dangote Cement.

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