LBIC MD’s Fate Hangs in the Balance as Lawmakers Call For Her Sanction Over Insubordination

LBIC MD’s Fate Hangs in the Balance as Lawmakers Call For Her Sanction Over Insubordination


Tunde Ogunmola

The Lagos State House of Assembly on Thursday, 23rd of November 2017 berated Mrs. Folashade Folivi, the Managing Director, Lagos State Building Investment Company (LBIC) Plc for disrespecting its committee without showing any remorse when she appeared before it.

The Assembly had on Tuesday summoned Folivi to appear before it on Thursday, over her flagrant disregard of its committee’s orders.

Hon. Setonji David, the acting Chairman of the House Committee on Urban and Physical Planning, had reported this alleged disregard for the committee to the House, while presenting a report in a petition written by the residents of Ogba/Ijaiye Low and Medium Housing Estate.

The residents of the estate had petitioned the House over a plan by LBIC to demolish illegal structures in the estate. David added that Folivi went ahead to demolish these structures within the estate, against the orders of the committee to stay demolition.

The Speaker of the House, Rt. Hon. Mudashiru Obasa, who echoed the reports by the committee to Folivi, over her alleged insubordination, asked the MD her reasons for disobeying orders to stay demolition.

Lawmakers took turns asking Folivi several questions,spanning from her alleged disregard of the committee’s calls and letters; to the powers of the LBIC to demolish buildings and her understanding of the relationship with the legislature.

In response to these allegations, Folivi said that she was surprised at the accusations of disrespect leveled against her by members of the committee, as she had answered several calls from them in the past.

The managing director, who noted that LBIC had never demolished any house in the aforementioned estate, said that the intention of the company was estate clean up.

In her own words,”We want to restore the aesthetic and economic values of our estates. We don’t demolish any house. Crimes are so many in the estates because there is no visibility anymore. We don’t demolish houses, we only demolish shanties and illegal structures. We have looked at the Master Plan because they are completely distorted. We only clean up environmental infractions, we don’t demolish houses.”

She also went further to say, that the company never carried out anything without collaborating with the relevant government agencies like the Ministry of Physical Planning and Urban Development as well as the Ministry of Environment.

According to her, the company has 1,295 shareholders which include Lagos State, and it is being regulated by Company and Allied Matter.

Folivi noted that LBIC is a mortgage bank that finances the construction of residential houses, and it stopped the demolition of shanties as directed by the committee. She stressed that there were so many illegal structures in the estate.

With regards the allegation of illegal rates collection by the officers of the company, Folivi said that such practices had stopped since she became the MD in 2015, adding that anyone with proof, must present it, so culprits would be prosecuted

The Committee Chairman, David Setonji, noted that many of the responses of the MD were untrue, stressing that the company continued with the demolition in spite of the committee’s orders.

The Chairman of the Committee on Housing, Hon. Bayo Osinowo said that Folivi had also disregarded several calls to her from the Ministry of Lands.

The Speaker of the House, intervened saying that the House would have to reach a conclusion on the report of the committee on the matter. Many of the lawmakers urged the House to sanction Folivi for failing to proffer adequate justification, for why she should be allowed to still hold her position.

The lawmakers called for sanctions against her to serve as a deterrent to others.

Happenings Media