There was palpable tension in Osogbo, Osun State, on Monday following the disappearance of operators of a cheap food initiative called Global Food Initiative, as residents who had deposited various sums to buy cheaper food items rued their losses.

Our correspondent, who observed the situation from close range, reports that many residents who had paid for the cheap food items offered by the operators of the initiative loitered around the Odi-Olowo, Osogbo, office of the organisation, expecting the operators to open for business.

Speaking with PUNCH Online, a resident identified simply as Mistura said she deposited N300,000 last Wednesday into the scheme to purchase 11 bags of rice at N27,000 per bag.

Mistura further said the maturity date for the collection of the items was usually one week after payment, adding that the 11 bags would have cost her N605,000 at the current market price of N55,000 per bag.

Another investor, Olamide, who said she paid N1.2m for various food items to be used for the upcoming wedding ceremony of her stepdaughter, explained that she made the payment through a designated account, number 5287459667, bearing the name Global Food Initiative and domiciled in an online microfinance bank, last Monday.

“I got here this morning and met a crowd waiting to be attended to. But the operators were nowhere to be found. I was warned, but I never thought they would run away this early. The items I paid for were to be used for the wedding ceremony of my stepdaughter.

“Before I paid the last sum of N1.2m into the scheme last Monday, I had earlier collected two gallons of five litres of groundnut oil from the operators. I paid N30,000 for each. But it costs far more in the market. I am in a serious mess here,” she said.

Another investor, who spoke on the condition of anonymity for security reasons, said the operators of the scheme commenced operations more than three weeks ago and told those investing that the initiative would run for six months.

She further said panic created by a presenter on a private radio station in Osogbo on Sunday, who reportedly warned residents against the scheme, caused the operators to flee when they saw the huge crowd that stormed their office to claim their items on Monday.

“The operators actually reported here (their office) on Monday, but when they saw the agitated crowd, they ran away. A radio presenter on a private radio station in Osogbo on Sunday caused panic when he warned the residents against the scheme.

“The agitated crowd that stormed this place early today (Monday) forced the operators to run away. A woman deposited N35m for various food items, another man showed us a receipt of N10m. Some hoodlums had attempted to break into the storeroom of the operators, but police personnel were deployed to stop them. We are still waiting for the operators to come back and resume operations,” she said.

When contacted for reaction, the Osun State Police Command Public Relations Officer, Abiodun Ojelabi, said operatives were deployed to the scene to prevent a breakdown of law and order.

Ojelabi further said, “There has not been any report by those affected, but to avoid a breakdown of law and order, police officers have moved to the scene.

“It was there that we began to identify that a company identified as Global Food Initiative has been collecting people’s money, promising to subsidise food items while they pay in advance. We are still waiting for somebody to come and give us detailed information about the issue. We are monitoring the situation.”