The Nation Newspaper

Tag: Subsidy scam

  • Subsidy scam: EFCC accuses oil marketer of stalling trial

    The Economic and Financial Crimes Commission (EFCC) on Wednesday accused an oil marketer, Oluwaseun Ogunbambo, of using delay tactics to stall the commencement of his trial.

    The EFCC made the allegation through a counsel, Mr. Rotimi Oyedepo, after Ogunbambo failed to appear before Justice Adeniyi Onigbanjo of a Lagos High Court, Ikeja.

    The News Agency of Nigerian (NAN) reports that Ogunbambo and another oil marketer, Habila Theck, are being prosecuted for an alleged N979.6 million fuel subsidy scam.

    They were arraigned alongside their firm — Fargo Energy Limited – on July 31, 2012.

    During Wednesday’s proceedings, Ogunbambo’s counsel, Mr. Mobolaji Akintunde, told the court that his client had sustained a spinal cord injury after falling from a bathtub.

    He said Ogunbambo was presently receiving treatment at the Nigerian Army Reference Hospital in Yaba, Lagos.

    He presented a medical report signed by one Retired Brig.-Gen. J.A. Aremu to back his claim and asked the court for an adjournment.

    Responding, Oyedepo urged the court to reject the document, arguing that it was a ploy by Ogunbambo to further stall the trial.

    He said, “My Lord, this document is intended to scuttle this trial.

    “The disposition of the first defendant (Ogunbambo) in this case is becoming a dangerous precedent.

    “They are indirectly seeking a stay of this proceeding.”

    Oyedepo said the medical report was not properly signed and did not disclose the date Ogunbambo was admitted at the hospital for treatment.

    Onigbanjo, however, directed the EFCC to verify the authenticity of the medical report and whether Ogunbambo was being treated at the facility.

    He adjourned the case to February 10 for further hearing.

     

  • Subsidy: Oil marketer followed due process – Spring Bank

    The Spring Bank Plc on Thursday said that an oil marketer, Rowaye Jubril, followed due process in importation of fuel for which he was given N963.7 million subsidy.

    The News Agency of Nigeria (NAN) reports that Jubril is being prosecuted by the Economic and Financial Crimes Commission for fuel subsidy fraud.

    He is facing trial along with his company- Brila Energy Limited- before Justice Lateefat Okunnu of a Lagos High Court, Ikeja.

    The EFCC claimed that the defendant did not import the 13,500 metric tonnes of Premium Motor Spirit (PMS) for which he was given the subsidy.

    However, the Deputy Manager, Energy Group of Spring Bank, Mr. Uchenna Adobaka, who testified before the court on Thursday, contradicted the EFCC’s claim.

    Adobaka said, “The complete process of importation was complied with.

    “As far as the bank is concerned, we have no evidence to show that the product was sourced locally. We (the bank) believe that it was imported.

    “The witness, who was cross-examined by the Defence Counsel, Mr. Kola Kolade, said the bank financed the transaction by granting Jubril a credit facility of $11.9 million.

    He said the bank appointed General Marine and Oil Services Limited to supervise the importation and discharge of the product on its behalf.

    Adobaka, however, said that the company later wrote to Spring Bank admitting that it did not supervise the discharge of the product at Obat Tank Farm in Lagos.

    The witness also noted that there were discrepancies in the shipping documents submitted by General Marine Oil Services Limited and their corresponding bank, Union Bank, United Kingdom, on the transaction.

    “The document submitted by Union Bank U.K. showed that the mother vessel was MT Overseas Lima while our appointed agent said it was MT Gabros.

    “We wrote to the supplier of the product, Napa Petroleum, who confirmed via an electronic mail that it imported the product for Brila using MT Overseas Lima,” he said.

    He said all the required documents were submitted to the Petroleum Products Pricing and Regulatory Agency (PPPRA) for the processing of the subsidy payment.

    According to him, the subsidy was credited into Brila’s account with Spring Bank.

    He said that the loan was repaid with interest.

     

  • Subsidy scam: Absence of EFCC counsel stalls oil marketer’s trial

    The absence of the counsel representing the Economic and Financial Crimes Commission (EFCC), on Tuesday stalled the trial of an oil marketer, Rowaye Jubril.

    The News Agency of Nigeria (NAN) reports that Jubril was charged before Justice Lateefat Okunnu, of the Lagos High Court, Ikeja, alongside his company, Brila Energy Limited for an alleged N963.7 million fuel subsidy fraud.

    The EFCC alleged that the defendant had fraudulently obtained the money from the Federal Government for the purported importation of 13,500 metric tonnes of Premium Motor Spirit (PMS).

    At the resumed hearing on Tuesday, the judge said the EFCC counsel, Mr. Seidu Atteh, had sent a letter to the court explaining and apologising for his absence.

    Jubril’s counsel, Mr. Wale Ilesanmi, also confirmed that the letter was served on the defence.

    Okunnu adjourned the case to January 22 for continuation of trial.

     

  • Subsidy scam: Court dismisses Arisekola son’s applications

    A Lagos High Court, Ikeja, on Friday dismissed three applications filed by an oil marketer, Abdullahi Alao, who is being prosecuted for an alleged N1.1 billion fuel subsidy fraud.

    The News Agency of Nigeria (NAN) reports that the trial judge, Justice Lateefat Okunnu, dismissed the applications for “being an abuse of court processes.”

    One of the dismissed applications had prayed the court to set aside its October 21 ruling which dismissed Alao’s previous application to quash the charges.

    The other application had urged the court to stay further proceedings on the trial, pending the determination of Alao’s appeal against the ruling at the Court of Appeal, Lagos.

    The third application had sought for a referral of the matter to the Court of Appeal, for a case slated for hearing.

    In her ruling, Okunnu struck out the applications on the grounds that the prayers being sought for had been previously determined by the Supreme Court in other matters.

    She said Section 277 of the Administration of Criminal Justice Law of Lagos State subject states that “an appeal for stay of proceedings shall not be entertained until judgment is delivered in a criminal matter.

    “It is a roundabout attempt to stall proceedings and an abuse of the process of the court,” the judge held.

    Okunnu, therefore, adjourned the matter till February 27, 2014 for continuation of trial.

     

  • Subsidy scam: Bamanga Tukur’s son re-arraigned

    The Economic and Financial Crimes Commission (EFCC) on Monday re-arraigned Mahmud Tukur, son of the National Chairman of the Peoples Democratic Party, Alhaji Bamanga Tukur, over N1.8billion fuel subsidy fraud.

    Tukur was re-aaraigned alongside Ochonogor Alex, Abdullahi Alao, son of prominent businessman, Alhaji Abdullazeez Arikesola-Alao and Eterna Oil and Gas Plc before a new judge, Justice Lateef Lawal-Akapo of the Lagos High Court, Ikeja.

    The case file of the defendants was transferred from Justice Adeniyi Onigbanjo to Justice Lawal-Akapo after the former was moved to the Commercial Division of the High Court.

    The defendants are facing a nine-count charge of conspiracy, obtaining money by false pretence, forgery and use of false documents.

    EFCC prosecutor, Mr. Rotimi Jacobs, alleged that they had between January and April 2011 in Lagos, fraudulently obtained the sum of N1.8 billion from the Federal Government.

    He alleged that the defendants obtained the money from the Petroleum Support Fund for a purported importation of 80.3 million litres of Premium Motor Spirit.

    They were also alleged to have forged a bill of lading dated April 28, 2011, which they used in facilitating the fraud.

    Jacobs said their alleged offences contravened Sections 1(3) of the Advance Fee Fraud and Other Fraud Related Offences Act of 2006.

    According to him, they also contravened Sections 467 and 468 of the Criminal Code Laws of Lagos State 2003.

    The defendants pleaded not guilty to the charges.

     

     

  • Lagos CJ to judge: Continue with Arisekola son’s trial

    Lagos CJ to judge: Continue with Arisekola son’s trial

    The Chief Judge of Lagos State, Justice Ayotunde Phillips, has directed Justice Lateefat Okunnu to continue presiding over the trial of an oil marketer, Abdullahi Alao, and four others for fuel subsidy fraud.

    Okunnu made this known on Tuesday at the resumed trial of Alao and the others before the Lagos High Court, Ikeja.

    Abdullahi, son of a prominent businessman, Alhaji Abdullazeez Arisekola-Alao, was charged with N1.1 billion fuel subsidy fraud.

    He is facing trial alongside two other oil marketers, Olarenwaju Olalusi and Opeyemi Ajuyah, and their companies – Majope Investment Limited and Axenergy Limited.

    The News Agency of Nigeria (NAN) reports that the accused are being prosecuted by the Economic and Financial Crimes Commission (EFCC).

    Alao had on October 23, petitioned the Chief Judge, asking her to transfer the case from Okunnu to another judge.

    He had claimed in the petition that Okunnu was biased, and that he would not get justice from her.

    During Tuesday’s proceedings, Okunnu informed the parties in the suit that the chief judge had directed her to continue with the trial.

    She noted that there were pending applications before the court which must be heard before continuation of the trial.

    NAN reports that one of the pending applications was filed by Alao.

    He is asking the court to set aside its ruling which dismissed his previous application to quash the charges.

    The other pending application was filed by Olalusi.

    He is seeking the release of his international passport to enable him to travel abroad for medical treatment.

    The court adjourned the case to December 6 for hearing of the pending applications.

     

     

  • Subsidy: Absence of accused stalls oil marketers’ trial

    The absence of an accused, Emmanuel Morah, on Tuesday stalled the trial of three oil marketers charged with alleged N789.6 million fuel subsidy fraud.

    Morah, who was charged alongside Adamu Maula and George Ogbonna, is standing trial before Justice Lateefat Okunnu of a Lagos High Court, Ikeja.

    They are being prosecuted by the Economic and Financial Crimes Commission (EFCC) alongside their firms – Downstream Energy Sources Limited and Rocky Energy Limited.

    The EFCC alleged that the marketers did not import the 10,862 metric tonnes of Premium Motor Spirit (PMS) for which they received subsidy payment from the Federal Government.

    Morah’s counsel, Mr. Eubena Ahmedu, in an application dated October25, informed the court that his client was involved in an accident and had travelled abroad for surgery.

    The News Agency of Nigeria reports that Ahmedu also tendered a medical report and photographs of Morah at a hospital in the United States, where he was recuperating.

    He said Morah would not return to Nigeria until end of November and, therefore, asked the court to vacate the dates earlier fixed for the case.

    The EFCC counsel, Mr. Tayo Olukotun, did not oppose the application.

    Okunnu, granted Ahmedu’s application and adjourned the matter to February 14, 2014 for continuation of trial.

     

  • Arisekola son’s bid to quash subsidy charge dismissed

    Arisekola son’s bid to quash subsidy charge dismissed

    A Lagos High Court, Ikeja, on Monday dismissed an application by an oil marketer, Abdullahi Alao, seeking to quash the fuel subsidy fraud charge against him and four others.

     

    The News Agency of Nigeria reports that the application was dismissed by Justice Lateefat Okunnu for lacking in merit.

    The Economic and Financial Crimes Commission on October 10 last year charged Abdullahi, son of a prominent businessman, Alhaji Abdullazeez Arisekola-Alao, to court.

    He was charged alongside two other oil marketers, Olarenwaju Olalusi and Opeyemi Ajuyah, and their companies -Majope Investment Limited and Axenergy Limited for fuel subsidy related scam.

    The defendants were alleged to have obtained N1.1 billion from the Federal Government for the importation of 15,000 metric tonnes of Premium Motor Spirit (PMS).

    Okunnu, while ruling on the application to quash charges filed by Alao’s counsel, Mr. Oluwaseun Awonuga, held that the charge before the court was competent.

    The judge dismissed the defence submission that the fiat obtained by the EFCC from the Attorney-General of Lagos State had “expired.”

    She held that the EFCC and the Attorney-General of the Federation were empowered to prosecute criminal offences under state laws, even without a fiat from the state’s attorney-general.

    Okunnu said: “Section 211 (1) of the Constitution allows for circumstances in which any other body other than the Attorney-General can institute criminal proceedings against a person.

    “The EFCC Act, which is an Act of the National Assembly, also empowers the agency to prosecute criminal matters under a state law,” she said.

    The judge noted that the EFCC Act and the Constitution were superior to any law passed by a state House of Assembly.

    She also held that the Administration of Criminal Justice Law of Lagos State 2011 gave powers to the EFCC to prosecute the defendants before a state high court.

     

  • Subsidy scam: EFCC insists oil marketer didn’t import fuel

    The Economic and Financial Crimes Commission (EFCC) on Thursday claimed that an oil marketer, Rowaye Jubril, did not import the petroleum products for which he received N963.7 million subsidy.

    The EFCC made the allegation through one of its officers, Mrs. Tolulola Olanubi, at the resumed trial of Jubril before a Lagos High Court, Ikeja.

    The News Agency of Nigeria (NAN) reports that Jubril is being prosecuted alongside his company -Brila Energy Limited.

    Olanubi, who was led in evidence by the EFCC counsel, Mr. Seidu Atteh, said she was a member of the special team that investigated the alleged fraud in the Petroleum Support Fund (PSF) scheme.

    She said the accused had obtained the money from the Federal Government for the purported importation of 13,500 metric tonnes of Premium Motor Spirit (Petrol).

    The witness said, “The accused had claimed that there was a ship-to-ship transfer of the products between the mother vessel — MT Overseas Lima and the daughter vessel — MT Delphina.

    “The purported transfer took place between January 26 and 27, 2011 at off-shore Cotonou in Benin Republic.’’

    Olanubi said investigations carried out by the EFCC revealed that the transfer never took place as claimed by the marketer.

    She said Lloyd Lister, an agency which monitors the movement of international vessels, also confirmed that the product was not imported.

    “I accessed the Lloyd Lister’s data base to track the movement of the vessels.

    “I observed that MT Overseas Lima was at Port Everglades in the United States on the day the accused claimed the ship-to-ship transfer took place.

    “MT Delphina was at Tin Can Island, Lagos, on the same day that the transfer was said to have taken place at off-shore Cotonou,” the witness said.

     

  • Judge vacates arrest warrant for oil marketers

    Justice Lateefat Okunnu of a Lagos High Court, Ikeja, on Wednesday discharged the bench warrant issued against two oil marketers, Opeyemi Ajuyah and Olarenwaju Olalusi.

    The warrant for the arrest of the oil marketers was issued on Tuesday following their failure to appear in court without good reasons.

    At the resumed trial on Wednesday, the defendants appeared in court, accompanied by their counsel.

    The development made Justice Okunnu to discharge the warrant for their arrest.

    Ajuyah and Olalusi are standing trial over alleged N1.1 billion fuel subsidy fraud.

    They were charged alongside Abdullahi Alao, son of prominent businessman, Alhaji Abdullazeez Arisekola-Alao by the Economic and Financial Crimes Commission (EFCC).

    They are facing an eight-count charge bordering on conspiracy, obtaining money by false pretences, forgery, uttering and use of false documents.

    Counsel to the defendants, Dr. Joseph Nwobike (SAN) and Mr. Oludare Falana apologised for their absence in court the previous day.

    They told the court that their clients were not aware that the date had been set aside for the proceedings.

    The lawyers had prayed the court to discharge the arrest warrant issued against the two defendants.

    Counsel to the EFCC, Mr. Ben Obi, did not oppose the oral application to vacate the warrant.

    The judge said that Alao’s counsel, Mr. Aderemi Oguntoye, ought to have informed the other defendants that the date had been fixed for the hearing of the application.