$2.4bn Fuel Subsidy Fraud Probe Led To My Mother’s Kidnap – Okonjo-Iweala

The Director-General of the World Trade Organisation (WTO), Ngozi Okonjo-Iweala, has recounted how her investigation into an alleged $2.4 billion fuel subsidy fraud in Nigeria triggered threats against her and the abduction of her mother in 2012.

Okonjo-Iweala, who was Nigeria’s finance minister at the time, said the kidnappers demanded that she resign from office and leave the country in exchange for her mother’s release.

She disclosed this during an interview with Bloomberg’s Francine Lacqua on the Leaders programme, published earlier this week.

The former minister said the investigation began after officials noticed a sharp increase in claims submitted by fuel importers under Nigeria’s fuel subsidy programme.

At the time, Nigeria relied on imported refined petroleum products to meet domestic demand, despite being a major crude oil producer. Under the subsidy arrangement, the government paid importers to enable them to sell petrol at regulated prices.

However, Okonjo-Iweala said the rising claims raised suspicions, prompting her to seek approval from the president to audit the accounts.

“So I went to the president and said, look, something is going on here. Could we audit the accounts? And he said, yes, go ahead. And we found about $2.4 billion worth of fraud. So we refused to pay,” she said.

According to her, the decision to withhold the disputed payments triggered threats against her before her mother, Kamene Okonjo, was kidnapped.

“I was told that for her to be released, I should resign and leave the country,” she said.

Recalling the incident, Okonjo-Iweala described the five-day ordeal as one of the most painful experiences of her life, saying she feared her actions could cost her mother her life.

“It was a terrible, terrible five-day ordeal. I think the worst in my life,” she said.

She disclosed that her mother was held in a forest before escaping one night.

“She was held in the middle of a forest, and one night she escaped. She’s still alive. She’s 96 now,” she said.

The WTO chief added that her mother still becomes distressed whenever the incident is discussed.

Asked whether she considered resigning during the crisis, Okonjo-Iweala said she would have chosen her mother’s life over remaining in office.

“Between my mother, having my mother alive and staying in a job, I would pick my mother any day,” she said.

However, she recalled that her father urged her not to give in to the kidnappers’ demands.

“He said, we don’t give in to blackmail. And he said, you’ve got to carry on. You’ve got to go to work,” she recounted.

Okonjo-Iweala said she initially felt paralysed by fear and considered resigning to secure her mother’s release.

She added that the experience left her with a lingering sense of guilt, despite her efforts to address the alleged fraud.

“I never dreamt my parents could ever be touched in this way, that people would be that evil,” she said.

The WTO director-general said her experiences over the years had made her more patient and strengthened her determination to seek solutions when confronted with difficult situations.

Reflecting on the importance of tackling corruption, particularly in countries with limited resources, she said public funds must be protected.

“I feel that this is a real fight that has to be waged. If you are a country that is not that rich, every single penny counts,” she said.

Okonjo-Iweala served as Nigeria’s finance minister under former President Goodluck Jonathan before becoming the WTO director-general in March 2021.

Her mother was kidnapped from her home in Ogwashi-Uku, Delta State, in December 2012. The incident attracted widespread public attention amid concerns over the safety of the finance minister’s family.