A deepening financial scandal is rocking Bomadi Local Government Area of Delta State, as fresh documents reveal how an ₦800 million loan allegedly obtained without legislative approval has triggered impeachment proceedings, EFCC investigations, and an unprecedented demand that Zenith Bank Plc freeze the council’s accounts.
At the centre of the storm is the Chairman of Bomadi Local Government Council, Hon. Dagidi Andaye, who is accused by a majority of councillors of secretly contracting the massive loan, allegedly forging their signatures to secure it, and running the council’s finances without lawful oversight.
The Loan Nobody Approved
Findings by the Legislative Arm of the council suggest that the ₦800 million loan was obtained from Zenith Bank Plc without the knowledge, consent, or approval of the councillors—an action they say directly violates the Delta State Local Government Law (as amended), which mandates legislative endorsement for loans of such magnitude.
According to the councillors, the purpose of the loan was never disclosed to the elected representatives of the people, raising serious questions about how the funds were accessed and how they were intended to be spent.
Alleged Forgery and EFCC Probe
More troubling is the allegation that the signatures of about 15 councillors were forged to facilitate the loan transaction.
The councillors contend that this goes beyond administrative misconduct, describing it as an economic crime. Documents show that the Economic and Financial Crimes Commission (EFCC) has already been petitioned and is investigating the matter, following a letter dated January 8, 2026.
Councillors Move to Block Further Funds
As the controversy widened, 15 out of the 20 councillors escalated the matter by instructing their lawyers to formally demand that Zenith Bank immediately stop further releases of funds to the Bomadi Local Government Council—except for the payment of salaries.
In a letter dated January 25, 2026, addressed to the Branch Manager of Zenith Bank Plc in Ughelli, the councillors’ solicitors, F.T. Okorotie, SAN & Co., warned the bank against continued disbursement of public funds while impeachment proceedings and criminal investigations are pending.
The letter urged Zenith Bank to demonstrate accountability and transparency, cautioning that failure to comply could expose the bank to legal action.
Impeachment Triggered
The alleged loan irregularities, alongside accusations of gross misconduct, abuse of office, and misappropriation of public funds, have culminated in a formal impeachment process.
Relying on Section 31(1) of the Delta State Local Government Law, the councillors issued a Notice and Recommendation seeking the removal of Hon. Andaye from office. The impeachment petition, dated January 5, 2026, was submitted to the Speaker of the Delta State House of Assembly and the Chairman of the House Committee on Local Government.
The Silence from the Assembly
However, despite the gravity of the allegations and the clear constitutional timelines stipulated by law, the Delta State House of Assembly has remained conspicuously silent.
More than three weeks after the petition was submitted, no investigative panel has been announced, no public hearing scheduled, and no official statement issued—raising questions about institutional delay and political interference.
Who Is Watching the Public Purse?
Copies of the councillors’ demand to Zenith Bank were also forwarded to the Accountant-General of Delta State, the Auditor-General of the State, the Auditor-General for Local Governments, the Commissioner for Local Government Affairs, and the Chairman of the Local Government Service Commission—an indication of how far the crisis has spread.
As investigations continue and pressure mounts on financial institutions, lawmakers, and anti-graft agencies, one question now dominates the Bomadi political landscape: how was an ₦800 million loan allegedly secured without legislative approval, and who will be held accountable if the allegations are proven true?
For now, the allegations remain unresolved, the funds under scrutiny, and the silence from key authorities only deepens public suspicion.