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Ibadan Disco slumps, taken over by AMCON

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The insolvent Ibadan Electricity Distribution Company (IBEDC), distributing power to Ogun, Oyo, Osun, Kwara and some parts of Ekiti, has been taken over by the Assets Management Corporation of Nigeria (AMCON).

The Disco had in 2021 raised its tariff by about 300 percent and has been issuing out crazy, estimated bills to unmetered houses which outnumbered prepaid metered houses thereby fleecing millions of consumers, Persecondnews recalls.

Several communities also purchased transformers, concrete and wooden poles as well as other items without IBEDC reciprocating the gestures by giving them light as it embarked on power rationing in supplying light to the communities for about three or six hours every other day.

Breaking the development to staff members at the Ibadan headquarters, the Chief Operating Officer, Mr John Ayodele, said in a memo that the takeover by AMCON was immediate.

Ayodele said the takeover was inevitable following the “insolvency” of the company.

Persecondnews.com also recalls that the Abuja Electricity Distribution Company (AEDC) was taken over by UBA in December 2021 over debts and insolvency as it could not pay staff salaries.

AMCON had listed 7,912 names owing N4.4 trillion as the deadline for payment expired today.

The memo reads:“Further to the judgment wherein the Federal High Court on the 8th of September 2021 granted preservative orders in favour of Asset Management Corporation, AMCON, (being the Receiver/Manager of Integrated Energy Distribution and Marketing Limited); the court has appointed Mr Kunle Ogunba Esq. SAN to act as Receiver/ Manager Nominee in the receivership action.

“Based on the foregoing the Receiver/Manager came in today 20th January 2022 ( Thursday) to the IBEDC Headquarters to take charge formally and subsequently met with the management team. Therefore, I hereby wish to inform all staff that there is no cause for alarm.”

Allaying the fears of workers, the CEO stated:“We are assured of job security which entails our position/ duties in the company, being entitlements to our salaries and other benefits etc.

“On behalf of the management, I urge us all to kindly go about the efficient discharge of our duties to ensure a speedy and mutually beneficial resolution.

“I wish us all the best, while I appeal that we continue to remember IBEDC in our prayers.”

However, investigations by Persecondnews revealed that all payments by electricity consumers go straight into the account of the owners and not the company account thereby making it difficult for staff to monitor its finances.

“Every Kobo paid by customers goes into the account of the owners as they get bank alerts.

“Account staff don’t know how much the company makes whether it is breaking even or not,” a disgruntled senior staff said.

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