Abia Govt Breaks Silence: Why Public Should Ignore "False ClaimsÔÇØ Over Abia Hotels Revocation
Afnews Editor
Dec 02, 2025
Abia State Government has debunked circulating claims about the revocation of Abia Hotels, insisting the public disregard misleading narratives. Officials explain why the investor's allegations are false. Read the full report via the link below.
https://youtu.be/9iERQpowqIY
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The Abia State Government has urged the public to completely disregard what it describes as false, misleading, and politically motivated narratives surrounding the revocation and takeover of Abia Hotels Limited, Umuahia.
The clarification was made on Monday by the Commissioner for Information, Prince Okey Kanu, during a press briefing at Government House Umuahia following this week's State Executive Council meeting chaired by Governor Alex Otti.
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Prince Kanu dismissed recent social media publications by Investment Guarantee Limited, the former investor in the hotel, insisting that the allegations were deliberately crafted to distort facts and create unnecessary public tension.
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According to him, the state government lawfully reclaimed the facility after fully compensating the co-investor, Barr. Randy Obinna Ukanwoko, stressing that attempts to portray the government as high-handed or insensitive are baseless and mischievous.
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Special Adviser to the Governor on Media and Publicity, Mr. Ferdinand Ekeoma, said the investor breached every single clause in the contractual agreement governing the management and development of the hotel.
"There was negotiation only because this is a compassionate government. Not because he was right,ÔÇØ
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Ekeoma explained, insisting that Dr. Otti's administration believes in fairness but refuses to tolerate deliberate manipulations.
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He emphasized that the investor had a history of entering into questionable agreements under previous administrations, yet Governor Otti chose to handle the matter with empathy rather than retaliation.
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The General Manager of the Umuahia Capital Development Authority (UCDA), Mr. Kingsley Agomuo, provided further clarity, noting that the state government paid the investor a total of 450 million in October, after which the hotel was sealed three weeks later.
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He displayed the original Memorandum of Understanding (MOU) signed with the previous government, stating that the investor was expressly required to seek approval before altering or upgrading any existing structure on the property.
"He violated the MOU. The facility was not a virgin land. Any development required approval, yet he proceeded unlawfully,ÔÇØ
Agomuo said.
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Mr. Agomuo further disclosed that the investor allegedly misled other partners by claiming that the government had not paid him any compensation.
"He collected 450 million but kept telling his investors and the public that he received nothing. He even begged government not to reveal the amount,
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he added.
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According to him, since the investor chose to take the matter to the media, the government has a duty to expose the truth and set the records straight.
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The Abia State Government reiterated its commitment to transparency and assured residents that no amount of propaganda will derail ongoing reforms aimed at restoring efficiency, accountability and public trust in state-owned assets.
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— Afnews Editor