Financial misappropriation and fraud hit the Lagos State Waste Management Authority (LAWMA) as staffs complained of not getting paid for over three months.
According to reports, contractors who had engaged several street sweepers had refused to pay their staffs while they still collect money from the state government.
There is a strong indication that those involved in the fraud may go freely without being punished as a result of their connection with top politicians in the state and at the central
Dr Muyiwa Gbadegesin, the former Chief Executive Officer and Managing Director of LAWMA’s head have rolled over the incident. The state government has asked him to step aside as facts build up in the case and allegations of fraud in the system.
A source who claimed anonymity revealed that “the running cost of LAWMA rose from about N540m to N1bn and the governor, who wanted to save money, asked the former MD to step aside for an audit.
“Now we now have a new MD who will now oversee the process. The new MD, Mr Ibrahim Odumboni”, the source said.
It is disclosed that LAWMA has 652 operators with 15,498 workers, including sweepers and supervisors working for them.
The operators have designated routes allocated to them and the staffs of these operators man their route which is 600 in all across the state.
Staffs of the operators vary and their responsibilities differ. Some are sweepers while others are supervisors who got N25, 000 and N40, 000 respectively at the end of the month.
However, the contractors reportedly padded wage bills and passed the cost to the government as the salaries of their workers.
“If as a contractor, I am supposed to have 40 sweepers on a route, I will simply employ five, while telling government I have 40 people working for me. I will then collect their money, in addition to the money paid to me by the government as a contractor,” the source said.
Iron Lady and allegedly had 66 routes assigned to her according to the source while the woman was said to claimed 2,310 workers.
“The auditors discovered that most of the names submitted by the woman to collect money were non-existent, while a number of the routes were unkempt.
“Based on the figures she submitted to the government, her company was collecting over N80m monthly from LAWMA.
“On the appointed day, only half of the number she gave showed up for verification. In some cases, a sweeper would be discovered to own several phones documented under different names,” the source said.
Another major revelation of the Iron LadyN80m the operator was collecting, her fees were supposed to be about N34m.
Govtoros correspondents gathered that the case is similar with other contractors and the state s seen how t can curb the excesses of these operators who are fund of inflating the budget.