Ogun Assembly Passes Bond Bill

Abiodun Onafuye, Abeokuta

The Ogun State House of Assembly today passed the executive bill sent by the state governor, Senator Ibikunle Amosun seeking an enabling law to raise bonds and other financial instruments.

The lawmakers at a sitting presided over by the Speaker, Surajudeen Ishola Adekunbi, also passed a bill to impose tax on goods and services consumed in hotels and event centres in the state.

The House however effected 21 amendments in the bond bill, before it was passed.

The implication of the amendment is that the governor would have to revert to the House and get the lawmakers’ approval before taking bonds, promissory notes, treasury notes or contractor-financing for projects.

“The amendment will now regulate how loans could be raised from financial institutions or capital market compared to what obtained
during the past administration.It must be two third of the whole house that can give approval to any form of financial instrument to be
raised at any financial institutions or capital market”, the amendment noted.

The governor had on 27 August sent the bond bill to the House, and the lawmakers later organised a public stakeholders’ forum to address
certain loopholes in the bill.

Based on the report of the House Committee on Finance and Appropriation chaired by Hon. Olusola Bankole, 21 amendments were
effected in the bond bill.

For example, Sections 10 and 11 of the bill, which deal about the power to raise loans and issuance of bonds, have now been amended with
proviso of “subject to the approval of the House of Assembly.”

Upon a motion moved by the Majority Leader, Israel Jolaoso representing Ewekoro Constituency and seconded by Victor
Fasanya representing Abeokuta South 1 State Constituency, the lawmakers passed the amended bill.

The legislators resolved to send a clean copy of the amended bill to the governor for his assent while the House thereafter adjourned
sitting till next week Tuesday.

The amendments effected by the House debunked speculations that members were under pressure by aides of the governor to pass the bill without any amendment.

The House last week granted the governor’s request to raise N7.5 billion loan to finance some road projects across the state.