Osun APC, state govt clash over alleged N13.7bn payroll fraud

The Osun State chapter of the All Progressives Congress, APC, has alleged the existence of a N13.7 billion annual payroll fraud under the administration of Governor Ademola Adeleke.
The claim was made during a world press conference addressed by the state party chairman, Tajudeen Lawal, in Osogbo on Friday.
DAILY POST had reported that the Osun State Government strongly refuted allegations of a ₦13 billion payroll scam involving Sally Tibbot Limited.
The state government had in a statement by Kolapo Alimi, the Commissioner for Information and Public Enlightenment, described the renewed claims as fake news sponsored by the All Progressives Congress, APC.
The government insisted that no such fraud existed, stressing that verification of the controversial audit report showed that more than two-thirds of those labelled as ghost workers were genuine staff with proper identification and documentation.
The government also maintained that Governor Ademola Adeleke remained open to investigations by anti-corruption agencies, noting that he initiated the staff audit in the first place to address concerns about payroll irregularities.
However, speaking at the Tinubu/Shettima Campaign Office along Gbongan-Osogbo Road, Lawal said disclosures credited to the Vice Chairman and Chief Executive Officer of Sally Tibbot Consulting Limited, Saadat Ottun, had vindicated the party’s long-held concerns about the state government’s payroll system.
Lawal alleged that the revelation confirmed what he described as serious irregularities within the administration, urging anti-corruption agencies to scrutinise the matter.
He called on the Independent Corrupt Practices and Other Related Offences Commission, ICPC, and the Economic and Financial Crimes Commission, EFCC, to commence a comprehensive probe.
The APC chairman, while raising concerns over the alleged involvement of individuals within the governor’s inner circle, urged investigators to determine the extent of their roles, if any, in the reported findings.
Lawal also questioned the administrative structure within the state government, “the people of Osun State deserve clarity on the chain of authority and accountability.”
The opposition party also expressed concern over the delayed action following the submission of the audit report in July 2024.
Lawal who asked why decisive steps had allegedly not been taken despite reported discoveries of payroll irregularities claimed that a civil servant was allegedly receiving salaries meant for 5,615 workers, describing the allegation as alarming and deserving of urgent investigation.
“If this claim is accurate, continued inaction would be indefensible,” Lawal stated.
The APC chairman also called for explanations regarding the reported purchase of an Automated Payroll Administrative System valued at N79 million, alleging that payment was made without confirmed delivery or deployment.
Lawal criticised the state government’s denial of the allegations adding that such responses could heighten public concern.
He maintained that only a transparent and independent investigation would resolve the controversy.
The party reiterated its demand for relevant anti-corruption agencies to thoroughly examine the allegations and hold any culpable individuals accountable in line with the law.
In January, a forensic audit firm, SALLY TIBBOT Consulting Limited, had alleged that the Osun State Government inserted 8,452 ghost workers into its payroll, resulting in an annual financial loss of N13,716,914,129.28.
The allegation was disclosed by the firm’s Executive Vice Chairman and Chief Executive Officer, Sa’adat Bakrin-Ottun, who spoke through its legal counsel, Jiti Ogunye, at a press conference held at the Nigeria Union of Journalists Secretariat in Lagos.
Bakrin-Ottun said the figures emerged from a comprehensive forensic audit and payroll validation exercise conducted for the Osun State Government, which she said uncovered widespread payroll fraud within the state’s civil and public service.
As at the time the allegations were made public, the state government denied it maintaining that the unusually high number of alleged ghost workers presented by the consultant necessitated a re-verification exercise, which revealed significant inflation in the figures originally submitted.
Osun APC, state govt clash over alleged N13.7bn payroll fraud