The Enugu State Government has entered into a N100 billion partnership with Pragmatic Farms Limited to revive the United Palm Products Ltd (UPPL), a move that has been met with opposition from the Labour Party in the state.
The party, led by Chairman Comrade Casmir Uchenna Agbo and Publicity Secretary Onuora Odo, has raised concerns about the legitimacy of the transaction, citing the suspiciously recent registration of the company just four days before signing the agreement.
They fear that this partnership could be a front for siphoning the state’s resources, emphasizing the lack of evidence regarding the company’s capability to manage such a project.
The Labour Party has sounded the alarm on what they perceive as potential economic exploitation and corruption, urging the people of the state to be vigilant.
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The political party has raised concerns regarding the transparency of the partnership deal involving the state governor and Diamond Stripes Limited, urging the people of Enugu State to remain vigilant.
They pointed out discrepancies between the company’s stated business activities and its registration documents, calling for anti-corruption agencies to investigate what they perceive as a potentially dubious transaction.
Despite welcoming efforts to revive state-owned projects, the party criticized what they described as a heavy tax burden on the state and emphasized the need for prudent resource management.
The Senior Special Adviser to the Governor on External Relations clarified that the Enugu State Government would not be providing funds to Pragmatic Palms Ltd, the SPV for the partnership, but rather the company would finance the revitalization of UPPL with the state government contributing plantations as equity.
According to the Senior Special Adviser, UPPL is part of the legacy of Dr. Michael Okpara, the late Premier of the defunct Eastern Region, and has been inactive for many years. The explanation provided aims to address concerns raised by the political party and shed light on the nature of the partnership agreement.
