Reported by: Oahimire Omone Precious | Edited by: Oravbiere Osayomore Promise.
The Senate Committee on the South East Development Commission (SEDC) on Tuesday, June 9, 2026, interrogated the Managing Director of the Commission, Mark Okoye, over several questionable expenditures from its N16.6bn 2025 budget, including an eyebrow-raising N153 million for the rent of a one-room liaison office in Abuja and a N2.5 billion ‘implied expenditure’ that lacked clear justification.
The investigative hearing, conducted at the National Assembly Complex, turned confrontational as lawmakers expressed disappointment and frustration over the quality of financial records presented by the fledgling interventionist agency. Committee members were particularly irked by a financial report that the Senate panel Chairman, Senator Orji Uzor Kalu (Abia North), described as “completely unacceptable.”
Central to the grilling was the claim that the Commission had spent N153 million of its initial seed money to lease a one-room liaison office in the capital. This, coupled with a N2.5 billion entry simply labeled as ‘implied expenditure,’ triggered intense scrutiny from the committee.
“This committee is disappointed with the financial report given, which is completely unacceptable,” Senator Kalu declared, voicing the collective displeasure of the panel.
Kalu further revealed that a cross-check with the Central Bank of Nigeria (CBN) had shown that of the N16.6 billion released to the SEDC in December 2025, only about N13 billion remained. This indicates that roughly N3.6 billion has already been spent by the agency—a sum the committee insisted must be accounted for in absolute detail.
“We are not satisfied with your job. This is not the job of somebody that claims to be an expert,” the former Abia governor lambasted the SEDC boss. “I am very disappointed, and this committee is equally disappointed.”
Other prominent members of the panel, including Senators Enyinnaya Abaribe (Abia South), Victor Umeh (Anambra Central), and Austin Akobundu (Abia Central), echoed the chairman’s sentiments. They expressed dissatisfaction with the presentation and questioned what they described as insufficient explanations regarding budget performance and expenditure records, demanding greater transparency from the agency.
Facing the lawmakers’ ire, Mark Okoye, the SEDC boss, launched a spirited defence of his stewardship. He insisted that the commission was operating prudently and had made only strategic expenditures aimed at avoiding financial waste.
On the hot-button issue of the Abuja office, Okoye defended the expenditure by stating that the Commission was acting out of fiscal prudence. He explained that the agency deliberately avoided leasing multiple large office spaces that would eventually become redundant, as the Enugu State Government is currently renovating a permanent headquarters facility for the SEDC, expected to be ready by August.
“We don’t want to expend hard… resources,” Okoye argued, suggesting that the high cost was a strategic move to secure a functional base for the commission’s federal operations without committing to wastefully long-term leases.
He further justified the commission’s cautious spending approach, stating that they were building a brand new institution from scratch. “We are trying to build a brand-new institution. We are trying to build up the different systems and departments we need to run successfully, but at the same time, we are also trying to execute programmes and projects because the people in the South-East are impatient for development,” Okoye explained.
Addressing the broader financial management, he maintained that all expenditures so far had been judiciously made. He outlined a policy of phased funding, insisting that contracts are only awarded when cash releases are available to execute them, thereby avoiding unfunded liabilities and deficit spending.
“For example, having a budget of N140bn does not automatically mean that N140bn in cash is available,” Okoye told the committee. “It would be irresponsible to award contracts worth the entire budget if only N10bn or N20bn has actually been released.”
Despite the defence, the Senate panel remains unconvinced. Noting a lack of substantive documentary evidence to back the MD’s claims, the committee has issued a hard deadline of June 23, 2026, for the SEDC to submit comprehensive records of all contracts, payments, and supporting documents for its N3.6 billion expenditure.
“By the 23rd, we want to have the complete documentation. Once we receive and review the documents, we will determine the date for your next appearance before the committee,” Kalu ordered, adjourning the session.
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