Osun State Internal Revenue Service has shutdown the Obafemi Awolowo Unuversity, OAU, Ile-Ife, following the expiration of the seven-day ultimatum issued to private organizations and public establishments to pay up their tax arrears.
Africa Update gathered that a team of top officials led by Oladipo Babatunde, had stormed the university at about 7a.m on Wednesday, to lock up the institution over outstanding unremitted PAYE withholding taxes and developments levy which had become due and payable since year 2015 and 2016, estimated at N1.8 billion.
The Senate Building, the Administrative Block and the Bursary were part of the facilities the agency sealed off before proceeding to the university main gate to put it under lock and key.
Other tax defaulting establishments including a construction company, Sammiya Construction Company with about N5 million debtdebt and a money lending company, LAPO Agric located along Gbongon/Ibadan Road, Osogbo, which owed N7 million, were also sealed off by officials of the agency.
In a swift reaction, the authorities of the Obafemi Awolowo University, a statement by its Public Relations Officer, Mr. Abiodun Olanrewaju, the university said that the debt was inherited from the past administrations of the institution.
The statement read: “I must add this that the present university administration since 2017 has been paying consistently but the backlog of debt inherited from the past administrations is niw causing this little problem. Everything will be resolved by the grace of God. The school management is assuring the public that it will soon be resolved.”
