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Truck Drivers Block Abuja-Lokoja Road Over Obajana Factory Closure

by Ayobami Omole
3 years ago
in News
Obajana Factory
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Truck drivers yesterday blocked the Abuja – Lokoja highway in protest against closure of the Obajana Cement Factory by the Kogi State government. This added to the delay caused by flooding on the Koton-Karfe road.

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Most of the trucks were Dangote vehicles that transport cement to different parts of the country.

Motorists plying the road appealed to the Obajana Cement Company to urgently resolve the problem with the Kogi State government to ameliorate their suffering.

The blockage at Koton-Karfe caused long queues of vehicles, paralysing social and economic activities in the area.

The protesters said they would not suspend their action until the Kogi State government reopens the cement plant. A few days ago, a delegation of the state government went to seal the cement factory,  where about seven of the staff were wounded while others scampered for safety.

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Meanwhile, the Kogi State government has debunked claims by the  Dangote Group that the Obajana Cement Factory is owned 100 per cent by the conglomerate, saying there was no valid acquisition.

The state government also vowed to recover all accrued dividends from profits made over the years by the Dangote Group, including accrued interests on same.

As a first step, the specialised technical committee on the evaluation of the legality of the alleged acquisition of the company by Dangote Cement Company Limited has expressly asked the state government to cancel the existing seven Certificates of Occupancy.

This was part of the recommendations contained in the report of the 10-man committee headed by the secretary to the state government, Dr. Folashade Ayoade and submitted to Governor Yahaya Bello.

Reacting to an official statement by the Dangote Group yesterday, the commissioner for information in the state, Kingsley Fanwo, said it was important to make it clear to the general public that the state had all the relevant documents to prove that the purported acquisition of Obajana by Dangote was null and void.

He noted that Kogi State indigenes would not be intimidated into forgoing their birth right to any individual or institution, no matter how highly placed, adding that Governor Yahaya Bello was committed to his inaugural promise that his administration “shall exist for the sole purpose of serving the superseding interests of the people of Kogi State”.

“We want to assure the good people of Kogi State that with God on our side, what belongs to the state shall be recovered, including all dividends and interests on profits from inception till date. The Dangote Group is just distorting facts to save its face,” Fanwo said.

The detailed Committee report, which was made public on Thursday by the SSG, also charged the government to take steps to recover the Obajana Cement Company Plc now changed to Dangote Cement Company Plc.

Ayoade had revealed with documents that the purported transfer of Obajana to Dangote Industries Limited, was “invalid, null and void”.

She disclosed in the report that three Certificates of Occupancy for Obajana Cement Company Plc, which were solely owned by the Kogi State government at the time, were used to obtain a loan of N63 billion by Dangote. According to her, the committee, in view of its findings, had therefore recommended that Kogi State should take steps to recover the Obajana Cement Company from the Dangote Group.

Stressing the aberration in the arrangement, the SSG said, “Agreement between Kogi State government of Nigeria and Dangote Industries Limited, dated 30th July 2002 and supplemental agreement dated 14th February 2003, as contained in Exhibit 71 of the Judicial Commission of Inquiry Report, purporting the transfer of Obajana Cement Company Plc to Dangote Industries Limited, are all invalid, null and void.

“There is no evidence of consideration paid by Dangote Industries Limited to Kogi State Government from the alleged transfer of Obajana Cement Company Plc and no dividend was paid to the state from the profits realised from the inception of Dangote Cement Company Plc to date.

“By the assignment of the three certificates of occupancy, the title in Obajana Cement Company Plc, still vests in Kogi State Government as the sole owner. The three documents were used to obtain a loan of sixty-three billion naira only (63,000,000,000.00) to finance the construction of the cement plant in Obajana.”

The management of Dangote Cement Company Plc earlier described the recent invasion of its Obajana Cement Plant by armed vigilantes of the state government as illegal and unacceptable.

This was contained in a statement signed by the group managing director, Michel Pucheros.

Michel said the vigilantes led by officials of the state government, were apparently acting on a resolution of the state House of Assembly on controversial tax claims.

The statement said; “In the process of forcefully evicting the workers to enforce the shutdown, the vigilantes shot at 27 of our workers and also destroyed some of the company’s property at the plant.

“We have taken steps to get the hoodlums apprehended by the law enforcement agencies, and we will ensure that full legal action is taken against them. We therefore appeal to all our staff and our esteemed customers to remain calm while we explore all possible legal steps to address the situation.

“The welfare of our staff remains our key focus as we work hard to minimise further impact on our people and operations, while we reiterate that Obajana Cement Plant is 100% owned by Dangote Cement PLC, we remain resolute in transforming Africa, creating sustainable value for our people, communities, investors and customers.”


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