N43bn Fraud: Court Backs EFCC’s Move To Probe Ifeanyi Ubah

Ifeanyi Ubah, MD Capital Oil and Gas Ltd

The Abuja Division of the Court of Appeal has given the Economic and Financial Crimes Commission, EFCC, the go ahead to investigate the Managing Director of Capital Oil and Gas Limited, Ifeanyi Ubah, for alleged involvement in a N43.29bn petroleum subsidy scheme fraud.

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The anti-graft agency and the police had levelled against him, allegations of obtaining subsidy payments by false pretences, stealing, money laundering and forgery with respect to the alleged fraudulent payment of N43.29bn in the transactions conducted in 2011.

Recall that Ifeanyi Ubah is still in the detention of the Department of State Services (DSS) for investigation into a separate case of alleged diversion of N11bn worth of Federal Government’s Premium Motor Spirit (petrol).

A unanimous judgment of a three-man bench prepared by Justice Emmanuel Agim and consented to by Justice Akomolafe-Wilson (bench head) and Justice Tani Yusufu, was released on Sunday.

In the lead judgment, Justice Agimnullified the July 25, 2013 verdict of Justice Abdukadir Abdu-Kafarati of the Federal High Court in Abuja, who had made an order of perpetual injunction restraining the EFCC, the Inspector-General of Police and the AGF, from prosecuting Ubah with respect to the subsidy fraud allegations.

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Justice Agim, also in the lead judgment of the appeal court, nullified all of Justice Abdul-Kafarati’s orders, including the one quashing the November 3, 2012 interim investigation report of Aigboje Aig-Imoukhuede-led Presidential Committee on Verification and

Reconciliation of Subsidy Payments to Petroleum Marketers.

He held that by virtue of the Aig-Imoukhuede committee’s report, and the first two reports made by the Commissioner of Police in charge of Special Fraud Unit ‘D’ Department of the Force Criminal Investigation Department, Mr. Tunde Ogunsakin “there was a reasonable basis for the suspicion of the first and second respondents (Ubah and Capital Oil) of committing the said offences.”

The Court agreed with EFCC’s lawyer, Mr. Rotimi Jacobs (SAN), that the agency “can competently reopen and continue investigation into the matter,” after the police, through Ogunsakin, had issued a third report of investigation clearing Ubah and Capital Oil contrary to the findings of the first two reports by the same police officer indicting the businessman and his company.

Justice Agbim noted that “the fuel subsidy fraud involved corruption and fraud on a very massive scale”; that it involved many oil companies and officials of government’s regulatory agencies “looting and stealing of trillions of naira from the Federal Government of Nigeria and threatening the security and economy of Nigeria.”

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He frowned that in spite of sabotage, Justice Abdu-Kafarati of the Federal High Court in Abuja had granted Ubah’s application for fundamental human rights “in such a manner as to prevent or frustrate investigations into the scam.”

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