Police Fraud Unit probes multi-billion-dollar fraud in Nigeria’s oil and gas industry

•NGO threatens to take case to National Assembly, American Senate

Crack police operatives at the Special Fraud Unit (SFU), Ikoyi, Lagos have commenced multiple investigations into massive fraud committed against the Nigerian government in the oil and gas industry running into billions of dollars.

The unit started beaming the searchlight on the monumental fraud following complaints from concerned Nigerians, including intelligence networks which are said to have begun to unearth what might be the biggest scam in the country’s oil and gas industry.

It was learned that in one of the cases, the investigation was started through a petition written by an anti-corruption group alleging massive padding of a contract with a sum exceeding $90 million dollars. This, according to sources, caused a lot of discomfort for certain persons who have done everything possible to frustrate the investigation, including writing petitions against the commissioner of police in charge of the unit and his men.

Our sources revealed that because of the refusal of the team handling the matter to take bribes from a major participant in the crime, he has resorted to blackmailing the unit before the Police Service Commission (PSC), resulting to the invitation of the commissioner of police in charge of the unit to the commission’s headquarters in Abuja to explain what the unit under him is investigating.

According to sources, the Non-Governmental Organization (NGO) (name withheld) is furious about this move and has threatened to petition the National Assembly and the American Senate if there is any attempt at scuttling the investigation as the companies involved in this fraud have their roots in the USA.

Informed sources confirmed that the NGO has threatened a showdown with the PSC, stating that its mandate does not allow it to interfere with the operational duties of the police. The rights group advised the commission to focus on their duties of promotion and disciplinary measures for misbehavior by erring officers.

The NGO, it was gathered, believes that it is high time the police were allowed to perform their duties without unnecessary interference. The rights group reportedly stated: “This cannot happen in America. If they dare interfere, we promise to take it to where the commission or anybody else cannot summon any police officer to answer any question.”

According to our sources, the NGO firmly believes that these interferences are responsible for the unfortunate situation where the police have no respect before criminals. The NGO is said to be watching for any further interference on the matter by the commission, insisting they will ensure the matter is investigated to its logical conclusion.

Another matter said to be under investigation by the SFU is a $617 million dollar fraud involving an indigenous oil company. According to our sources, a certain project aimed at boosting crude oil production was awarded to the oil company in 2018. In the same year, an expansion contract for the same project was awarded to the same company even as the original project execution had not commenced.

The shocking revelation coming out of the investigation, according to our sources, is that even the project vendors are companies owned by the prime promoter of the indigenous oil company who contrived the project expansion contract and the company to take this money as part of Cash Call and was allegedly shared amongst the conniving officials and the company. The same company is said to be producing and under declaring the amount of crude produced, thus effectively stealing from government.

In the same vein, it was said that another investigation regarding crude oil theft worth over $3 billion is in the offing at the SFU. Our sources could not immediately provide details of the extent of that investigation.

According to sources, there are a whole lot of issues that have been brought to the fraud unit since the assumption of office by CP Eloho Edwin Okpoziakpo because of his pedigree.

However, officers that spoke to reporters said the unit remains the star of the police in economic and financial crimes investigations. They declared that the Inspector General of Police, IGP Tunji Disu, did not make a mistake in the deployment of a star investigator to head the unit and the results are becoming visible.

They challenged reporters to visit the unit and see the efforts the CP has put in place at progressing the unit to another different level; a determined, people friendly, thorough and proactive and intelligence driven unit.

The IGP and the CP could not be reached for comments on the investigations but sources said the unit got official nods from authorities in Abuja to carry out their investigations in the most effective and result-oriented manner based on the stern directives of the IGP, who was said to have cautioned officers not to sweep fraud and criminal cases underground no matter the temptation by those involved.