The House of Representatives has warned the Chairman of Dangote Group, Aliko Dangote to appear before it on 27th of the month or face the risk of being forced to comply.
The House took exception to being ridiculed with disrespect and disregard for its invitation of Dangote Rice Ltd to its hearing on a petition by a group of youth farmers.
Neither Dangote nor any representative from the company showed up for the hearing in spite of the official letter of invitation to that effect.
The youth farmers accused Dangote Rice Ltd of breach of contract, intimidation and fraud and are seeking the assistance of the House for N1.1b damages incurred during the duration of the aborted contract.
Chairman, House Committee on Public Petition, who expressed disappointment at the non-appearance of the officials of Dangote Rice Ltd said a second chance is given so that the claims by the youth farmers can be addressed by Dangote Farms.
“Nigerians are concerned about youth unemployment and when efforts of youths are geared towards addressing the challenge by themselves, all we should do is to support them.
“We cannot say Dangote Farms is guilty of what the youth farmers said but they (Dangote Farms officials) have to come and present their own side of the story.
“They have to appear by 27th and 28th of this month to clear the air”.
Earlier, the youth framers in a petition by their counsel, Paul Ajiroba alleged that Aliko Dangote, through the officials of Dangote Rice Ltd agreed in 2017, through an agreement to partake and finance some aspects of rice production located at Ejiba in Kogi State.
“As times rolls by, the company agreed to partner with the youth by financially supporting them where both parties agreed on terms and conditions of the contract.
“Further meeting was also held at Obajana with Mr.D.V.G Edwin and Mr.Robert Coleman with the youth farmers’ leadership to seal up the project.
“The agreement by both parties was that the contract will last for two years which is renewable in order to empower the youth and reduce unemployment in Nigeria. Both parties also agreed that the rice paddy will be sold back to the company and the capital spent on the farm will be deducted before crediting the youth on the profit”.
However, trouble started when officials of Dangote Rice Ltd began to foot drag in the implementation of the contract as well as engaging in alleged fraud to the detriment of the project and the purpose of job creation and youth empowerment it was established for.
“After, several attempts the farm inputs and cost implications for the success of the farming in the first season was sent to the management for financial mobility.
“But to the surprise of the youth farmers, prices sent to the youth farmers was overpaid out of fraud and conspiracy by the officials of the company. For instance, the land rent was sent by the youth farmers to the management of Dangote Rice Department was #11,000 per hectare and #550000 for 50 hectares was overpaid by the same officials of the Rice Department to Lower Niger River Basin at the rate of #40,600 per hectares and two million thirty thousand Naira for fifty hectares.
“The attention of the management was drawn to this, but the management claimed it was a mistake on their part.
“Also, the same management overpaid for land preparation costing #19,000 per hectare but paid #29,000 per hectare to the contractor for fifty hectares also.
“The leadership of the youth farmers drew the attention of the management to the overpayment the second time, they still insisted that it was a mistake. At this juncture our client perceived fraud and conspiracy and decided to notify the higher authority in the company which is Mr. D.V.G Edwin but still no positive response from the company. Kindly find attached the receipts of the overpayment and letter written to Mr .D.V.G Edwin.
“It must be pointed out that, both parties agreed that the company will deduct all financial contributions made to the project after harvesting of the rice project before remitting the youth farmers their profits.
“After, all these over payments, the youth farmers proceeded to the farm on 7th April,2017. We must point out at this junction, that the failure of the project started from the early stage of the project caused by some cartels in the Dangote Rice Limited.
“First, from the overpayment for the land rent and land preparation, second, late delivery of farm inputs for over 21 days after nursery and thirdly wrong agronomist advise from the company who was the Field Officer deployed to oversee the project on the best type of planting”.
The youths complained that officials of Dangote Rice Ltd tuned up on different days to forcefully cart away farm inputs and their personal belongings from the farm which led to confrontation and subsequent intervention by the police.