From Rose Ejembi, Makurdi
The Nigerian Security and Civil Defence Corps (NSCDC), through its Anti Corruption and Transparency Unit, has warned all members of Rice Farmers Association of Nigeria (RIFAN) who got the Central Bank of Nigeria (CBN) 2018/19 Wet Season Farming loan in Benue State and are yet to pay back to do so without further delay or face the wrath of the law.
Commandant of NSCDC in charge of Benue, Dr. Philip Okoh gave the warning on Wednesday during a meeting with RIFAN executives and representatives of banks in the state.
Okoh explained that a loan of N301,850,000 million was given by the CBN to Benue Rice Farmers through RIFAN regretted that of the amount, only N5,176,000 has so far been repaid leaving a balance of N296,674,000 yet unpaid.
He disclosed further that most of the beneficiaries of the loan were not paying back because of the viral misconception that the loan was COVID-19 free loan which is not to be paid back.
“We are here to inform the general public that the loan is not free but a rotatory loan which must be paid back. Beneficiaries are not paying back and that’s why the bank cried out to NSCDC to help. If nothing is done to ensure the recovery of this loan, it will threaten the food production of the state and exponentially reduce the status of Benue as the food basket of the nation.”
Okoh also warned council chairmen as well as RIFAN executives at the local government level who have collected a repayment of such loans from farmers but refused to refund such monies to the bank that those loans must be repaid.
The Commandant who gave a grace period of March ending for all defaulters to pay back further warned that at the expiration of the grace period, anyone who refuses to pay back would be dealt with accordingly.
On his part, State Chairman of RIFAN, Fidelis Akosu who disclosed that the Association secured loan for 2,264 farmers lamented that less than one percent of those who got the loan have paid back.
“When the loan came, people thought it was not a repayable loan and so they collected for their wives and children and now, it is difficult for them to repay the loan,” Akosu said.
He disclosed that even some members of executives who bought into the misconception collected the loans for themselves, their wives and children and are yet to commence a process of repayment of the loan.
Also speaking, representative of the CBN, Usman Abraham noted that the loan given to RIFAN is to ensure food security in the country and to empower small holder farmers and over the years, had succeed in other states of Bauchi, Jigawa, Yobe, Gombe, Kebbi and FCT among others.
He however wondered why the Benue farmers who got the loan could not pay back as expected even as he urged all those who got the loans and are yet to do pay back to do so to enable others benefit from the loan also.
“From the figures available to CBN in terms of repayment of these loans, Benue is termed to be a bad state when it comes to loan repayment and if this trend is not curbed, over time, the CBN will have no other choice than to stop giving such loans to Benue farmers.
Usman while thanking those beneficiaries who have paid back the loan, commended the NSCDC for its involvement in ensuring that efforts are on to ensure that defaulters pay back the loans too.
Responding on behalf of RIFAN LGA Chairmen, Otukpo, John Adeka, promised to take the message back home and sensitize farmers to ensure that those who took the loans pay back.