The Economic and Financial Crimes Commission (EFCC) has told a Lagos State Special Offences Court in Ikeja that Mamman Ali, one of the sons of a former chairman of the Peoples Democratic Party (PDP) Ahmadu Ali, allegedly got subsidy payments for petroleum products not supplied.
The allegation was made by an investigative officer of the EFCC, Denis Kasari, while testifying in the ongoing trial of Ali, one Christian Taylor and Nasaman Oil Services Limited over a 49-count charge of conspiracy to obtain money by false pretences and false documents.
Kasari also told the trial judge, Justice Mojisola Dada that the first defendant benefited from N749,991,273.36 and N1,480,074,125.61 as subsidy payments for PMS not supplied.
The anti-graft agency had informed the judge during the defendant’s arraignment that the offences are contrary to Section 8 and 1(3) of the Advance Fee Fraud and Other Fraud Related Offences Act 2006.
The commission had also maintained that the offence of forgery is contrary to Section 363 (3)(j) of the Criminal Law of Lagos State 2011; and use of false documents contrary to Section 364 of the Criminal Law of Lagos State 2011.
The defendants, however, pleaded not guilty to the charge.
While being led in evidence by the counsel for the EFCC, Seiduh Atteh, the EFCC witness claimed that in January 2012, the anti-graft agency received petitions from the then Minister of Petroleum Resources, Mrs Diezani Alison-Madueke; a Civil Society Organizations signed by then human rights activist, Dino Melaye; one Emmanuel John, and another from Femi Falana (SAN), alleging corruption in the subsidy regime.
He said that they alleged massive oil subsidy fraud in the importation of petroleum products into the country.
He told the court that, at the time, he was a member of the special team set up by the commission to investigate the petroleum subsidy and that the petitions were approved and assigned to the special team for investigation.
“The team swung into action by writing several letters of investigation activities to various offices, including the then Petroleum Products Pricing Regulatory Agency, PPPRA, requesting them to furnish us with the list of licenced companies and oil marketers approved to import petroleum products into the country,” he said.
Kasari told the court that responses allegedly indicated that the first defendant was licenced to import petroleum products into the country.
“In exhibit P18, the first defendant executed six transactions, and three out of them were successfully carried out, but the three others required further investigation,” he said.
He testified further that investigation revealed that documents credited to Saybolt Nigeria Limited and the Inspectorate Marine Nigeria Services for ship-to-ship transfers of PMS from mother vessels to daughter’s vessels were allegedly forged.
The witness revealed further that investigation showed that the first defendant in the three transactions was paid for PMS not supplied.
Kasari claimed that the first defendant benefited from N749,991,273.36 and N1,480,074,125.61 as subsidy payments for PMS not supplied.
He also told the court that the investigation revealed that the second defendant was a director and shareholder in the first defendant.
The witness testified that during the investigation, the defendants denied knowledge of the said transactions.
“This made us contact the DMO, and the response received on the said three transactions was that it was the third defendant that signed and received the Sovereign Debt Notes for N749,991,273.36 and the N1,480,074,125.61,” he said.
The EFCC operative also stated that the said MoU used for the transaction was between the first defendant and Arlage Oil and Gas Limited, which had Seun Ogunbambo as one of the directors and shareholders.
He further alleged that the investigation revealed that the first defendant opened another bank account with Sterling Bank as agreed in the said MoU with one Abdul Afeez Olabisi as the sole signatory.
He said, “Investigation revealed that the entire subsidy paid by the CBN entered this same account.
“Also, my lord, when the agreement between the first defendant and Arlage Oil and Gas Limited was signed, the sum of N36 million was paid into another Sterling Bank account belonging to the first defendant where the second defendant is the sole signatory and that same day sum of N25 million was withdrawn by the first defendant.” Justice Dada has adjourned the case to September 14 for continuation of trial.
