House c’ttee fumes over NNPC’s handling of $1.1bn Malabu oil deal
The House of Representatives ad hoc committee investigating the controversial award of OPL 245 by the Federal Government through the Nigerian National Petroleum Corporation (NNPC) to Malabu Oil resulting in the loss of an estimated $1.1 billion by the government on Wednesday expressed displeasure over the manner the nation’s apex petroleum agency is treating the matter with levity.
Following the failure of NNPC, AA Oil and Malabu Oil to appear before the House committee at the resumed probe of allegations of corruption, malpractices and breach of due process in the award of the oil bloc to Malabu Oil, Chairman of the ad hoc committee Rep. Razak Atunwa accused the NNPC, AA Oil and Malabu Oil of having something to hide by refusing to attend the investigative session.
Our correspondent reports that even though the 7th House had attempted to investigate the same issue, but the report of the investigation never saw the light of day.
However, the 8th House through a unanimous resolution on January 27, 2016 resolved to continue with the matter and therefore, mandated the ad hoc committee to re-open the investigation with a view to getting to the bottom of the matter.
At the resumed hearing yesterday, members of the committee while seeking to highlight how $1.1 billion meant for the Consolidated Revenue Account was ingenuously spirited away to the detriment of the country were unhappy that the NNPC, AA Oil and Gas and Malabu Oil shunned the meeting without any written excuse or representation.
Another source of discord over the oil bloc was between the position of Shell, particularly the letter written by oil firm’s lawyer, Chief Richard Akinjide (SAN) to the committee asserting that the House had no power to investigate the matter, a position that was at variance with that taken by the committee.
The Economic and Financial Crimes Commission (EFCC) represented by Mr. Aliyu Yusuf surprised the committee when he declared that the anti-graft commission has no brief on the matter.
The committee members were unhappy with the EFCC’s submission. Also, when
Bayo Ojulari, managing director, SNEPCO through their lawyer, Dafe Agbelford ought for an extension of time to enable the company put together a response, the committee turned down the request and directed SNEPCO and Shell to make a submission to the committee on October 18.
Earlier, Rep. Atunwa in his opening speech had vowed that his committee will get to the end of the matter no matter whose feathers are ruffled, expressing disgust how the $1.1 billion meant for the government was cornered by some former ministers.
“Government ministers, chiefly the then Attorney- General, Mohammed Bello Adoke (SAN) and the then Minister of Petroleum Resources, Diezani Allison- Madueke are alleged to have contrived a series of complex agreements of questionable nature.
“The summary of the agreement was that Shell and Nigeria Agip Exploration (NAE) paid $1.1billion to the Federal Government for the oil block. Rather than putting the money into the federation account as required by the constitution, Mr. Adoke and Mrs. Allison- Madueke then caused the money to be transferred to Malabu which then spirited the money to various foreign bank accounts.
“In this regard, it is alleged that companies such as AA OIl Limited were engaged to launder the funds”, he stated.
He further added that “OPL 245 is a potentially highly lucrative oil block encompassing a massive area of about 1,958 square kilometres and is estimated to hold up to 9.2 billion barrels of crude oil.
“The Nigerian people deserve to know what happened to their $1.1 billion. At today’s exchange rate, that is over N500 billion. That amount can fund the entire budget of the Ministry of Education. It is double the entire budget of the Ministry of Health. It is more than the Capital expenditure of Works, Power and Housing ministry”, he said.
He disclosed that the Attorney General of the Federation and Minister of Justice, Abubarkar Malami has written the committee to excuse himself as he was attending the Federal Executive Council meeting and would make himself available at any other date.
