2015 poll: Umar raises alarm over excessive borrowing by governors for campaign

Aformer Military Governor of Kaduna State, Col. Abubakar Dangiwa Umar (rtd), yesterday raised the alarm over excessive borrowing from banks by some governors to campaign for the 2015 poll.He also accused some governors of selling off assets, including shares, belonging to their states.Umar, who made his feelings known in a statement in Abuja, asked the anti-corruption agencies to intervene because legislatures in the affected states had been caged by these governors.The statement said: It has become necessary to alert the nation to a dangerous trend, indeed an explosive scheme, by which some state governors are mortgaging the future of their states through excessive borrowing from commercial banks and other financial institutions to finance projects of dubious viability.The motive is entirely unclear. But one suspects it is either to fraudulently acquire campaign funds as the 2015 elections approach or retirement benefits.Some of them are also desperately selling off states assets, including shares and other long term investments.Umar appealed to anti-graft agencies to stem the tide of unjustifiable borrowing by some governors.He added: In a situation where state legislatures have reduced themselves to all, but an arm of the executive, it is unrealistic to expect them to check and stop this fraud.We, therefore, appeal to the anti corruption agencies to intervene.He advised banks to live up to the ethics of their sector by checking some of these governors.He said: We also warn banks to desist from connivance with those governors. They need to be reminded of their civic responsibility and banking ethics to protect helpless public.They must be aware that most of these states have already lost the capacity to meet their financial obligations due to huge debt burden and diminishing revenue.The bankers must not forget that, in the past, collapse of oil prices in the world market has often led to widespread collapse of Nigerian banks because they never learned to say no to prodigal but cash-strapped state governments in such critical periods.]]>
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