Tag: Ex-NNPC

  • Recovered N3b: I’ve no case to answer, ex-NNPC boss Yakubu tells court

    FORMER Nigerian National Petroleum Corporation (NNPC) Group Managing Director (GMD) Andrew Yakubu has told a  Federal High Court in Abuja he has no case to answer in a suit bordering on  $9,772, 800 and £74,000.00 recovered from his house.

    Yakubu is being tried on a six-count charge brought against him by the Economic and Financial Crimes Commission (EFCC) for allegedly failing to declare assets and engaing in money laundering.

    The EFCC had, on February 3, 2017, raided Yakubu’s house, which is located on Chikun Road, Sabon Tasha area of Kaduna South Local Government Area of Kaduna State, from where it claimed to have recovered $9,772, 800 and £74,000.00, which informed the charge.

    The ex-NNPC’s boss contended, in the no-case submission he filed on November 6, that he has no case to answer.

    Yakubu argued that the essential elements of the charge brought against him were not proved by the prosecution to warrant his being called to enter defence.

    According to the defendant, the evidence led by the prosecution’s seven witnesses did not establish a case against him to require him to defend himself.

    He is praying the court to strike out the charge and discharge and acquit him.

    Prosecuting lawyer Ben Ikani announced the closure of the prosecution’s case on October 17, this year, at the conclusion of the testimony by Suleiman Mohammed, an official of the EFCC, who testified as seventh prosecution witness, following which the court adjourned to December 5 for the defence to open its case.

    In his testimony, Mohammed explained how a team of EFCC’s investigators, which he was a member, recovered the money, estimated at N3 billion.

    Led in evidence by Ikani, Mohammed said the money was hidden in a fireproof safe, allegedly belonging to Yakubu. The huge safe has since been tendered in evidence in the proceedings.

    The prosecution witness said the recovery process and the counting of the money were recorded and saved in a 32-gigabyte memory card and in another two mini disks, which were admitted as exhibits by the court on October 17, this year.

    Yesterday, Ikani was absent in court. There was no reason why he was not in court.

    Defence lawyer Anone Usman told the court that the case was adjourned to yesterday for the defence to open its case.

    Usman said, upon the closure of the prosecution’s case, the defence filed a no-case submission on behalf of the defendant, as provided under the Administration of Criminal Justice Act (ACJA) 2015.

    He said the no-case submission was filed on November 6, and served on the prosecution on the same date.

    Usman later applied for a date for parties to adopt the processes in respect of the no-case submission.

    Justice Ahmed Mohammed adjourned to January 17 next year for adoption of written addresses on the no-case submission.

    Justice Mohammed also directed that hearing notice be issued on the prosecution.

     

  • $9.8m fraud: Witness’ absence stalls ex-NNPC GMD’s trial

    $9.8m fraud: Witness’ absence stalls ex-NNPC GMD’s trial

    The trial of former Group Managing Director, Nigerian National Petroleum Corporation (NNPC) Mr. Andrew Yakubu was yesterday stalled at the Federal High Court, Abuja, due to the absence of prosecution witnesses.

    When the matter was called up, the prosecuting counsel, Mr. Ben Ikani, told the court that the matter was for continuation of trial, but that unfortunately, his witnesses were not present in court.

    Yakubu’s counsel Mr. Ahmed Raji (SAN) also told the court that in the circumstance, he had filed an application seeking the leave of court for his client to attend to his health.

    Raji told the court that the prosecution had not opposed the application.

    The trial judge, Justice Ahmed Mohammed, granted the application, as the prosecution raised no objection and adjourned the matter until May 10.

    On the last adjourned date, Mr. Waziri Nitte, the second prosecution witness, told the court how he and his colleagues raided a house in Kaduna and recovered a huge sum of money in foreign currency.

    Nitte, who was led in evidence by Ikani, told the court that he was a detective with the Economic and Financial Crimes Commission (EFCC).

    The witness, who said they acted based on an intelligence report that the house in question was stashed with money, added that the money recovered was taken to the Central Bank of Nigeria.

    “We searched the house and found a safe which was locked, we engaged the services of a locksmith who unlocked the safe and upon counting the money, it amounted to $9,772, 800 and £74,000.”

    Yakubu was arraigned by the EFCC on a six-count charge, bordering on non-disclosure of assets and fraud, charges to which he pleaded not guilty.

    Yakubu was alleged to have, as “Group Managing Director of NNPC between 2012 and 2014, within the jurisdiction of the court, with intent to avoid lawful transaction, transported to Kaduna $9.8 million and £74,000.

    He was also accused of failure to disclose $9.8 million and £74,000 in his asset declaration form, a crime which contravened Section 27 (3) of the EFCC Act.

  • Ex-NNPC GMD Yakubu seeks to recover seized $9.7m

    Ex-NNPC GMD Yakubu seeks to recover seized $9.7m

    Former Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Mr. Andrew Yakubu has asked the Federal High Court to discharge the order temporarily forfeiting  his $9,772,800 to the Federal Government.

    The Economic and Financial Crimes Commission (EFCC) recovered the money from Yakubu’s house in Sabon Tasha, Kaduna on February 10.

    In a motion on notice file before the Federal High Court sitting in Kano, Yakubu is praying for an order setting aside, discharging or vacating the ex-parte order made on February 13, which ordered the interim forfeiture to the Federal Government of $9,772,800 and £74,000,000 belonging to him.

    Yakubu said the court lacked the territorial jurisdiction to entertain the matter, being one related to a crime alleged to have been committed in Abuja, which is outside the court’s territorial jurisdiction.

    According to him, by Section 45 of the Federal High Court Act, an offence shall be tried only by a court exercising jurisdiction in the area or place where the offence was committed.

    He said no aspect of the perceived offence in respect of which the order was made, was committed within the court’s Kano judicial division.

    “The applicant/respondent (i.e. the Federal Government of Nigeria) lacks the competence (locus standi) to seek the interim reliefs whereof the order of this honourable court dated 13th February, 2017, was made.

    “By Section 28 of the EFCC Act, only the commission has the vires (authority) to seek an order for the interim forfeiture of property under the Act. Although the EFCC was not the applicant, the order was granted in its favour in the body of the order.

    “The power of this honourable court to make interim forfeiture order(s) pursuant to Sections 28 and 29 of the EFCC Act, 2004, is applicable only to alleged offences charged under the EFCC Act and not to offences cognisable under any other law,” Yakubu said.

  • EFCC grills five ex-NNPC bosses over $153m transfer

    EFCC grills five ex-NNPC bosses over $153m transfer

    Commission moves to seize ex-minister’s posh estate

    Economic and Financial Crimes Commission (EFCC) detectives have questioned two former Group Managing Directors (GMDs) and three former Executive Directors (EDs) of the Nigerian National Petroleum Corporation (NNPC) over their roles in the transfer of $153m to some banks.

    The cash was wired from NNPC’s account to the banks on the directive of a former Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke whose  multi-billion naira estate the EFCC plans to seize.

    One of the former executive directors is said to have admitted playing a role in the transfer of the money, which belongs to the corporation.

    An EFCC source confirmed that the five ex-officials and a few others had been quizzed in connection with the transfer of the funds. He declined to name the former officials, saying it could jeopardise the probe.

    “We are however not stopping at this bend because we discovered that some of these officials were used for many illicit transactions,” the source said, adding:

    “By the time we extend our investigation to crude oil lifting, you will appreciate the sleaze during the tenure of Diezani as minister of Petroleum Resources. A syndicate was used to perpetrate the fraud in the oil firm.”

    An NNPC source confirmed the interrogation of the former officials.

    The source said: “This corporation is following the development. The EFCC is on top of the $153million palaver; it has actually been inviting some of our past officials for questioning.

    “The good thing is that some of these former officials are still on NNPC’s pension roll. They can be recalled at any time for clarification of some issues.

    The source declined to name those quizzed by EFCC, saying he would need to check with the administration and security departments.

    The source said NNPC could not react to the ruling of a Federal High Court on the $153million without  “getting necessary legal advice”.

    “Our board is meeting on the $153million saga and other matters on January 30. What we are doing now is to get the proceedings of the Federal High Court of Friday. We have a very articulate Legal Department which will study it.

    “NNPC is a corporation with a board and a chairman. The legal advice will determine our next step after the board’s meeting.

    “If the court indicts any former officials, the corporation can still exercise disciplinary control on them.”

    The EFCC has started the process of seizing a sprawling estate in Yenagoa, which was traced to Mrs Alison-Madueke.

    The asset will be placed on temporary forfeiture pending the arraignment and trial of the ex-minister either in Nigeria or in the United Kingdom.

    A source in the commission said: “Since we recorded the breakthrough, our legal unit has been working round the clock on how to seek the nod of the court for a temporary forfeiture order.

    “We have obtained relevant data from Bayelsa State Geographic Information System.  As a matter of fact, the estate is coded as BGIS/OK/02/16/310 by the agency.

    “We will file the required application for the seizure of the estate pending the arraignment and the conclusion of the trial of the ex-Minister. This is a standard benchmark allowed by the law. We are certainly heading for the court.”

    Sections 26 and 29 of the EFCC Act read in part:  “Any property subject to forfeiture under this Act may be seized by the commission in the following circumstances- (a) the seizure is incidental to an arrest or search; or (b) in the case of property liable to forfeiture upon process issued by the Court following an application made by the Commission in accordance with the prescribed rules.

    “Whenever property is seized under any of the provisions of this Act, the commission may-(a) place the property under seal; or (b) remove the property to a place designated by the Commission.

    “Properties taken or detained under this section shall be deemed to be in custody of the Commission, subject only to an order of a Court.”

    Sections 28 and 34 of the EFCC (Establishment Act) 2004 and Section 13(1) of the Federal High Court Act, 2004 empower the anti-graft agency to invoke Interim Assets Forfeiture Clause.

    “Section 28 of the EFCC Act reads: ‘Where a person is arrested for an offence under this Act, the Commission shall immediately trace and attach all the assets and properties of the person acquired as a result of such economic or financial crime and shall thereafter cause to be obtained an interim attachment order from the Court.’

    Section 13 of the Federal High Court Act reads in part : “The Court may grant an injunction or appoint a receiver by an interlocutory order in all cases in which it appears to the Court to be just or convenient so to do.

    (2) “Any such order may be made either unconditionally or on such terms and conditions as the Court thinks just.”

  • I returned to study Law two decades after rejecting it at ABU- Ex-NNPC chief Ajetunmobi

    I returned to study Law two decades after rejecting it at ABU- Ex-NNPC chief Ajetunmobi

    Fresh in retirement as the Human Resources Manager, Warri Refinery and Petrochemical Company, after working with the Nigerian National Petroleum Corporation (NNPC) for 33 years, Barrister Paul Ajetunmobi, who is now a practising lawyer, recalls his experience in the organisation regarded as the backbone of the nation’s economy. He also tells VINCENT AKANMODE about his venture into full legal practice several decades after he vehemently rejected the admission offered him at the Ahmadu Bello University, Zaria to study Law.

    What informed your decision to go into the legal profession?

    Let me begin by saying that I had the opportunity to read Law the first time I entered the university, but I did not, basically because of the kind of upbringing I had. In those days, the popular thinking was that lawyers were liars; that they were never straightforward. It was believed that lawyers tried to pervert justice in one way or the other, and because of my upbringing as a serious Christian, I felt it was not a profession I should belong to.

    But eventually, it dawned on me after I had obtained my first and second degrees, that so many people were being oppressed and cheated. They were being denied their rights and entitlements and I was always wishing there was something I could do to help the less-privileged enforce their rights. Those were actually the factors that influenced my decision to return to school to study Law.

    That means you have not always being a lawyer…

    Yes, I was not practising law because I was already in another employment before I decided to return to school to study it and statutorily, you cannot practise law if you are still in another employment. You may only be able to do solicitor’s work. But having retired from public service, I felt the time had come for me to practise law fully. That was why I set up the practice and ensured that I nurtured and grew it into a full-fledged legal outfit.

    You spoke about being in public service. Which organisation did you work with?

    I was in NNPC (Nigerian National Petroleum Corporation). I started my career in NNPC in May 1981. I was in full employment, got into a management position and retired in November last year as the human resources manager of the Warri Refinery and Petrochemical Company.

    How would you describe your stay at NNPC?

    I would describe it as very worthwhile. I went round, and I would count myself very lucky and privileged to have, out of 170 million Nigerians, joined the NNPC as a young graduate in 1981. I had a chequered experience going through thick and thin. It also gave me the opportunity to meet a lot of people I would not have thought of meeting in my life. The organisation has actually sown greatly into my life. They have developed me. They gave me the opportunity to go for my master’s degree. They also allowed me to go for my Law programme and even gave me study leave to attend the Law School. So, whoever I am today, I owe a lot of it to the NNPC and Nigeria as a whole.

    There is this widely held opinion that the NNPC is a very corrupt organisation in the habit of squandering the nation’s oil revenue. Is it an organisation where you would hardly find upright people?

    The problem is that the average Nigerian does not know the NNPC well. They have a perverse opinion of the NNPC. Contrary to what many people tend to believe, the NNPC is an outfit where you would find some of the most patriotic Nigerians. Of course, like every institution, there are certainly some bad eggs, but they are few and far between. There are many righteous and straightforward people in NNPC. I came across so many of them almost on a daily basis by the virtue of my position in the Human Resources Department, which in those days used to be called the Personnel Services Department.

    I started as a personnel officer in NNPC. I started as a recruitment officer in the organisation, and throughout the time I was there, even as a young officer, I started meeting people who were very upright. And there are so many people whose uprightness I can vouch for in NNPC even now. But like I said, there are also bad eggs like you would find in any other organisation, particularly one as large as the NNPC. In any human society or sphere of life, you would always find bad eggs, but that does not mean that every other person in the organisation is bad.

    Were you able to identify some challenges that NNPC had while you were there?

    Of course, there were lots of challenges. By the act that set up the NNPC, the Petroleum Act of 1977, there are some legal issues that are yet to be fully resolved, which is giving it some of its present challenges. The NNPC is seen as a public service establishment, and by public service rules, there are certain things restraining its activities. For instance, it cannot just go to the bank and borrow money to do things like other companies, whereas in the oil industry, money plays very critical roles.

    There are also other impediments experienced by the NNPC which are not found in other privately-driven establishments. For example, I spent the last ten and a half years of my service at the NNPC in the refineries. The head of refinery has an authority limit. The limit at the time was about N5 million, which is less than $30,000 by today’s exchange rate, while there are equipment within the refinery worth about $500,000 or even one million dollars. But by the authority limit of the Managing Director, he cannot afford more than $30,000. So he has to approach the corporate headquarters. But you would find that even at the corporate headquarters, the authority limit of the Group Managing Director is just about N50 million, which is not more than $250,000.

    A refinery is a multi-billion dollar project. For instance, if a compressor has a problem and you want to fix it, you will need about $150,000. But because of the challenge of the authority limit of the MD of the refinery, he has to apply to the corporate headquarters of the NNPC. And when he gets to the corporate headquarters, even the GMD cannot approve it, so he has to take it to the Presidency for approval. In the end, something you need to fix within a week or two would be there for two or three years. And you know the refinery is an industry that has to work 24/7. Once a refinery starts working, it works non-stop day and night, unless there is a problem. So, you can imagine metals hitting one another sometimes up to a temperature of about 300 degrees or 500 degrees centigrade, and when they break down, you have to wait for approval to repair or replace them. That is why we have the challenge of not having regular turnaround maintenance in NNPC. Refineries work non-stop for one or two years. So, by the statutes, turnaround maintenance is supposed to be done every two years. But you have a situation where there will not be turnaround maintenance for five, seven or ten years. The machines are bound to break down.

    Apart from that, those who have no knowledge of the industry are given contracts by the powers-that-be to supply the equipment. The contracts for materials like the caustic soda or the acid they use in refining crude oil are given to people who have no knowledge of the industry because of the ‘Nigerian factor’. The corruption in the system is really impacting negatively on the refineries, but the staff and management of the NNPC are being blamed for it.

    Is it really about perception? There was a report recently, for instance, that the NNPC generated about N8 trillion in three years and spent close to half of it…

    That is another instance of misconception. The average Nigerian has a wrong conception of how the organisation is run. By the act that set up the NNPC, it has a mandate that whenever they carry out certain expenditures, they should defray their debts from whatever revenue they realise. The money that is spent in producing the crude, for example, the act that set up the NNPC gives the mandate to defray their debts from whatever they generate as revenue. But the average Nigerian does not understand this. The other time, they said that N20 billion was missing. I am not saying the money is missing or it is not missing. But the NNPC has the mandate that when it is spending, it has to defray some of the costs from the money being realised. But people who do not know would just conclude that NNPC is spending the nation’s money or it is corrupt. That, however, is not to say that there are no areas people who have corrupt intentions can exploit to do the damage. But I still believe there are very pious and God-fearing people in the organisation.

    Can you recall your school days? How did it all begin?

    Apart from the basic primary education that I had in my village, when I left primary school in 1968, I had the opportunity of doing the common entrance in those days and was admitted into Government Secondary School, Dekina, in the present Kogi State. Some of my friends went to Government Secondary School, Okene, now Abdul Aziz Attah Memorial College. A few others went to the Federal Government College, Sokoto. There were only three federal government colleges in the country then. So, I was in Dekina. But because of poverty, my father could not afford the school fees, which was about 15 pounds per term. Indirectly, I was forced to get a transfer to St. Augustine’s Secondary School, Kabba in Kogi State. Because my father did not want to hurt my feelings at that time, he gave the excuse that I was still a small boy, because I was just 14 years old. He also said because of the civil war then, it was dangerous for me to be crossing the River Niger, because at that time, we had to cross the River Niger from Lokoja to Shintaku by ferry. The roads were also very bad. But as a young boy, I did not like the idea of seeking transfer to St. Augustine’s because I felt that Dekina was an experience and an opportunity for me to gain some exposure. But the real issue was finance.

    So, I went to St. Augustine’s, and as God would have it, I had a very good foundation in the secondary school. Luckily, when I finished from the school in 1974, I moved straight to the university. At that time, there was nothing like JAMB (Joint Admission and Matriculation Board), but I did the concessional exam that earned me admission into the School of Basic Studies of the Ahmadu Bello University (ABU), Zaria. JAMB started after I had left the university in 1978. But there were concessional exams through which you could gain admission straight to the university. In fact, I did the concessional exams of the University of Ibadan (Jos Campus) in those days. ABU had just started its School of Basic Studies, so we were more or less the first set. So I did my basic studies or what some people call preliminary studies in Kano. Former INEC chairman, Attahiru Jega, Peter Agbese and others were my classmates. That was in 1974. As God would have it, by 1978, I was already a graduate. I had it straight.

    How was your poor dad able to finance your university education?

    In my first two years in the university, I had no scholarship because Kwara, which was my state then, was a little bit poor. So I was on student loan for the first two years, which I paid back many years after I had left the university. But in all honesty, at the time we took the loan, I didn’t feel like paying back because some of us felt that we were being short-changed. How could students from other states enjoy scholarships and even enjoyed huge bursaries with which they bought motorcycles, sound system and what have you, while we had to take loans to finance our own education? But as God would have it and because of my religious upbringing, many years after I had left the university, the loans board of the federation traced me to the NNPC through the Kwara State Government. But by 1976, I had the Kwara State scholarship, which I enjoyed in my last two years in the university.

    How much was the loan?

    It was N1, 300. But at that time, it was a lot of money.

    Which course did you eventually study?

    I read Sociology. I had a B.Sc in Sociology from ABU in 1978. I had an interview at the NNPC when I was doing my national youth service in 1979, but I didn’t start working with the NNPC until 1981, because I applied as a personnel and admin officer, and in those days, it was not easy to be recruited as a personnel and admin officer because there were so many graduates of the liberal artsHistory, Geography, Religious Studies, Political Science and even Philosophyall competing for the position of personnel or admin officer.

    Why Sociology?

    It is a long and funny story. I think it was more of accident than design. When I set out to go to the university, the course that really appealed to me most was Business Administration. It was not that I really knew what it was all about because we had nobody to counsel us on which courses we should do in those days. But the Bus Admin, which they used to call Business Administration, was sounding like music to my ear, so I fell in love with it. In ABU then, the preliminary students were given preference in the choice or allocation of courses ahead of other admission seekers that came from outside. Unfortunately I did not offer Economics at school certificate level, even though I had credit in Mathematics. That ruled me out of Business Administration but the authorities of the school said I should read Law and I said that would be over my dead body. When I saw Sociology among the other options that were given to me, I liked the name and opted for it.

    What did you have against studying Law?

    I grew up in a very religious home where there was this belief that lawyers were liars and would always pervert justice. It was also believed that once you read Law, you would automatically become a member of a secret cult. In fact, there was a day I jokingly told my father that I wanted to read Law. My father prostrated for me and said for God’ sake, I should jettison the idea. He asked how I would read Law and still hope to make heaven. Those were the things that did not encourage me to read Law at that time. Ironically, the Law I rejected at undergraduate level, I returned to Lagos State University to study it almost 20 years after I had the opportunity to do so at ABU.

    How much of Jega did you know as classmates?

    I think knew him very well when we were young. I knew him to be a very hard working and straightforward individual. Even as mates in the preliminary class at ABU in 1974, I learnt that his father was a top bureaucrat in the civil service of the North Western State, which covered the present Sokoto, Kebbi, Niger and Zamfara states. He was an easy going and hard working person. He eventually read Political Science while I read Sociology, but we were in the same faculty and were taking courses together. I knew him to be very upright, simple, unassuming and cool-headed. Although he had an urbane and elitist upbringing, but he related very well with those of us who came from humble backgrounds. I have also had occasions to meet him after we graduated in 1978. I met him at various fora when he was the president of ASUU (Academic Staff Union of Nigerian Universities) and we related very well.

    Did he exhibit any trace of the principled stance for which he is reputed now?

    He has always demonstrated that. He was a human rights activist even at that time. He was the type who never wanted the less-privileged to be oppressed. He believed in justice, fairness and equity. And he was not the type who carried his good attributes on his head. He is a man I respect a lot.

    What informed your decision to later return to school to study Law?

    It was much later, I think between the late 80 and the early 90s, that the interest in Law started coming up. I had lawyer friends and I saw how lawyers were being respected in the society. I also saw how they marshalled their points when their opinions were sought on issues. I saw that they did not want the less-privileged to be cheated because they believe so much in fairness and equity. They believe that the downtrodden should not be further pressed down because law itself is essentially designed to defend the rights of the less-privileged. I saw all this and I started feeling that I missed a great opportunity at ABU. Some of my mates had even become state attorneys-general by the time I went back for it. It was like the rejected stone becoming the head of the corner. It is better late than never.

    Which aspect of Law is your specialty?

    My specialty, in all honesty, is corporate law. It is the business part of law. Of course, if there is any case that has to do with litigation, my colleagues in the chamber can always handle it.