The scrutiny came during an investigative hearing by the Senate Committee on South East Development Commission, amid growing concerns over transparency in the utilisation of funds released to the relatively new regional development agency created to drive infrastructure and economic recovery in the South East.

SEDC was established on July 24, 2024, following President Bola Tinubu’s assent to the South-East Development Commission (Establishment) Bill, creating a dedicated regional development agency for the five South-East states.

Meanwhile, the committee, chaired by Senator Orji Kalu, raised serious objections to several items in the commission’s financial report, including ₦153m reportedly spent on renting a single-room liaison office in Abuja and another ₦2.5bn categorised as “implied expenditure.”

Trouble began when committee members reviewed the financial documents submitted by the SEDC leadership during the session, prompting immediate questions over how the ₦16.6bn released from the federal budget had been managed.

A visibly dissatisfied Kalu said preliminary findings from engagements with the Central Bank of Nigeria indicated that only ₦13bn remained from the initial ₦16.6bn disbursed to the commission in December last year, implying that about ₦3.6bn had already been spent without clear justification.

He said,

“This committee is disappointed with the financial report given, which is completely unacceptable.”

Other lawmakers on the committee, including Senators Enyinnaya Abaribe, Victor Umeh and Austin Akobundu, also expressed dissatisfaction with the presentation, describing key components of the report as inadequate and lacking transparency.

However, Okoye defended the commission’s expenditure, insisting that all funds so far utilised were deployed judiciously in line with priority projects and procurement realities.

He said,

“Our approach has been to ensure that available resources are directed towards priority projects. We want allocations to guide the procurement process so that contracts awarded can be backed by available funding.

“What we want to avoid is a situation where contracts are awarded without the financial capacity to execute them. For example, having a budget of N140bn does not automatically mean that N140bn in cash is available.

“It would be irresponsible to award contracts worth the entire budget if only N10 billion or N20 billion has actually been released. Doing so would create unfunded liabilities and a significant financial deficit”

Despite his explanation, the committee rejected the submission as insufficient and ordered the commission to return with detailed documentation.

Consequently, the panel directed the SEDC to submit comprehensive records, including contract details, payment schedules, and all supporting documents no later than the 23rd of this month.

“By the 23rd, we want to have the complete documentation. Once we receive and review the documents, we will determine the date for your next appearance before the committee,” he said.

The Chairman thereafter adjourned the session, stressing that the Senate expects full compliance and complete disclosure before further consideration of the commission’s financial operations.

From a competitive pool of over 1,200 applications, the selected startups represent a new wave of founders building tech-driven solutions across key sectors of the South-East economy.

Breakdown: 128 Early-Stage, 82 Growth-Ready Startups

SEDC revealed that 128 startups were selected for the Incubator Track, targeting early-stage innovators, while 82 made it into the Accelerator Track, reserved for startups with proven traction and scaling potential.

Rigorous Selection, High-Stakes Criteria

The Commission said entries were screened using strict benchmarks including problem-solution fit, market opportunity, execution strength, and innovation depth. Startups in the accelerator category were further assessed on revenue performance and growth metrics.

Next Stop: Video Pitches and Final Showdown

Shortlisted startups will now advance to a video pitch phase, where founders will be evaluated on clarity of vision, leadership strength, and scalability.

The programme will culminate in a grand finale on May 25, 2026, where top-performing startups will secure funding and gain access to mentorship, partnerships, and post-investment support.

Driving a Regional Innovation Surge

SEDC says the initiative is part of a broader strategy to unlock venture capital, strengthen the startup pipeline, and position the South-East as a leading hub for digital innovation.

With funding, structure, and visibility on the line, the programme could prove pivotal in closing early-stage financing gaps and accelerating the rise of globally competitive startups from the region.