$200m diesel scam: EFCC begins prosecution of oil pirates, companies
A Lagos High Court, Ikeja Judicial Division will tomorrow commence trial of how an international company, Trafigura Baheer BV, and her Nigerian counterpart, Trafigura PTE Ltd defrauded Nigerian companies in a 10,000 metric tonnes of Automotive Gas Oil (AGO) worth N200 million, which led to the bankruptcy of Spring bank, the financial institution that financed the deal.
It is a case that has taken the Economic and Financial Crimes Commission (EFCC) a hard work of ten years, with international investigations carried out, before trial could begin. It also a case of corporate international conspiracy of oil scam that led to the fall of a Nigerian financial institution, Spring Bank that financed the oil deal.
In what promises to be an interesting and eye opening trial, the court will hear how ExxonMobil, an international oil company contracted a Nigerian company, Nadabo Energy Services Ltd to supply 10,000 metric tonnes of AGO to her facility at Eket, Akwa Ibom State.
Nadabo in turn entered into contract with Mettle Energy and Gas Ltd, who contracted Rembrandt Ltd. Rembrandt in turn entered into purchase agreement to supply the AGO to Trafigura Baheer for the supply to Republic of Benin where JIL Engineering and Gas Ltd supplied the ship for onward transportation for Benin to Eket.
From this moment on, intrigues of international pirates in conjunction with their local partners began. In a make belief, ExxonMobil allegedly discovered that the first supply if 3000 metric tonnes did not meet the specified quality it ordered, which in actual sense means it had been adulterated. ExxonMobil allegedly rejected the remaining 7000 metric tonnes but paid for the first supply.
However further investigations in 2017 revealed that the whole transactions was a scam from the beginning. Documents sourced by investigators revealed that the contractual partners actually swindled Nadabo Energy Ltd as most of the 7000 metric tonnes that remained never got to ExxonMobil but were diverted between Republic of Benin, Eket and Lagos.
Spring Bank that provided the finance for the contract also sued Nadabo before the court claiming N1.6 billion been the amount of the loan taken by Nadabo Energy Ltd.
Joined as defendants in the case are two Nigerians, Yusuf Yahaya Kwande, and Osahon Asemota. The other companies that are defendants include Mettle Energy and Gas ltd, Renbrandt Ltd, and JIL Engineering and oil Services Ltd.
In the information filed before the court by EFCC, a three cound charge have been preferred against the defendants.
Count one stated that Messrs Trafigura Baheer BV, Yusuf Yahaya Kwande, Mettle Energy and Gas Ltd, Renbrandt Ltd, And Osahon Asemota, sometimes in 2008 in Lagos, within the jurisdiction of the court, conspired together to commit felony to wit: stealing of about 6,425,271 metric tonnes of Automotive Gas Oil (AGO) worth about $8,442,806.094, property of Nadabo Energy Ltd, which was under the legal custody of Spring Bank Plc, Victoria Island, Lagos.
Count two stated that Messrs Trafigura BV, Yusuf Yahaya Kwande, Mettle Energy and Gas Ltd, and Osahon Asemota between 12th October 2008, and 15th December, 2008 at the office of Trafigura Baheer BV, 20, Sinari Daranijo Street, Victoria Island, Lagos within the jurisdiction of this honourable court, stole, by fraudulently converting to your own use and benefit, about 6, 425,271 metric tonnes of Automotive Gas Oil(AGO) worth about $8,442,806.094 property of Nadabo Energy Ltd.
The trial is scheduled to start before Justice Mojisola Dada of the Special Offences Court, Ikeja today.
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