Youths from Okitipupa and Irele local government areas of Ondo state, under the aegies of Ikale Supreme Civil Right Council, (ISCRC) have threatened to shut down the operation of Ondo Oil Palm Company (OOPC) over the alleged failure to honour the agreement between the company and the communities.
The group alleged that the company failed to honour its agreement and obligation to the host communities despite generating billions of naira from the land and exploiting local landowners for many decades.
They disclosed that the company had failed to honour the Community Development Agreement (CDA) signed with their host communities, challenging the company to identify any social or infrastructural development it had undertaken in the region.
Speaking on behalf of the group, the Spokesperson, Orimisan Adelokiki, explained that the company has failed to honour the agreement with the community saying the company has ceased operations, leaving the community to suffer.
According to him, there is no available land in most of the communities for people to build houses or establish businesses, and said the company had failed to honour the Community Development Agreement (CDA) signed with their host communities in 1954.
He said “The record we obtained shows that on March 31, 1954, an agreement was signed at the provincial office of the Native Authority of Okitipupa at the time, in which our forefathers released a large expanse of land, approximately 50,000 hectares, across these communities for the cultivation of oil palm plantations.
In the course of the agreement, two items are very important for the communities, the terms between the Western Region Government and our forefathers were based on a lease and a joint venture partnership.
“The cost of cultivation on the land at that time was aggregated to 45 pounds per acre. It was agreed that the government would pay 10 years’ rent in advance in order to relocate farmers on the land to another place.
Subsequent activities on the land for 10 years were to be converted to equity, which would provide shares for our forefathers so that their descendants could benefit from employment and the company’s Corporate Social Responsibility (CSR).
“This arrangement also allowed the communities to have some level of control since it was a government-partnered business”
He noted that since the government sold its shares in the company to the private sector without returning the land to its original owners, it is therefore a clear infringement on the land ownership rights of the community.
“After reviewing the records, it is evident that companies need to adhere to the agreements they sign. Given that this company is a Public Limited Company (PLC) regulated by the Stock Exchange, it is required to comply with corporate laws. Unfortunately, these obligations have been neglected.
“Furthermore, the Gazette publication at the time explicitly stated under the Public Land Acquisition Law, Chapter 125, that land in Igbotako within Okitipupa Division of the Western State of Nigeria, was required for public purposes.
“It is worth noting that the government has since sold its shares in the company to the private sector without returning the land to its original owners. This is a clear infringement on the land ownership rights of the community.
“Given that the government has divested its shares, it should no longer interfere in the activities of the company”
“Additionally, 60% of any profit from the partnership scheme with the Western Regional Production Development Board was to be paid to the communities. Such payments were to be made annually in May.
“The final clause of the agreement stated that all rent and profit allocated to the communities under this agreement would be divided among the community leaders, the landowners, and the people community.
ALSO READ: How planned telecoms tariff hike will help reduce inflation — Rewane
“This agreement formed the foundation of the partnership and joint venture. However, it is disheartening to note that since the inception of this agreement, the terms have not been fulfilled.
“The responsibilities of the company to the community, as outlined in the document, have not been met.
“In the last 35 years, the company has ceased operations, leaving the community to suffer. Currently, there is no available land in most of the communities for people to build houses or establish businesses, despite the growing food insecurity in the country”
He said the communities have written to the management of the company but said there was no positive response from the company while attempt to resolve the difference between the communities and company.
The group however, called on the state government to urgently intervene before the land dispute crisis escalated and disclosed that they have appointed a transition committee to oversee the management of the land.
“We are peacefully reclaiming our land, and work has already commenced. Employment opportunities will be announced within the next week for people to start working on their land.
“In case the management of OOPC wishes to contest ownership of the land, we have engaged the services of a competent advocate to contest and defend our rights but remain open to negotiation if they wish to engage productively”
“Our people are ready to embrace farming on their land. We appreciate the cooperation of all security agencies, including the Nigerian Police and the Army, in ensuring a peaceful transition.
“We pledge strategic collaboration with these agencies to achieve sustainable mechanized agriculture, addressing food insecurity and creating employment for over 30,000 people in the state.
“We have waited for 71 years without any development in the lives of our people who have been living in misery.
We have written to the EFCC to investigate the fraud in this company, requesting an inquiry into the N10.7b generated from this land between 2021 and 2024. None of that money has been invested in our land.
If the company has made any investments or provided social services here, they should identify them.
Even the oil mill has not produced a single liter of vegetable oil in 31 years. This so-called government-backed company is merely a front for individuals benefiting at the expense of our people’s livelihood.
READ MORE FROM: NIGERIAN TRIBUNE