Fuel Sales: NNPC, Tinubu, Adenuga, Otedola, others owe Nigerian govt N86.4 billion

Photo credit: encomium.ng
Photo credit: encomium.ng

The Nigerian National Petroleum Corporation (NNPC) subsidiary, NNPC Retail, along with 22 major and independent petroleum products marketing firms owed the federal government at least N86.4 billion by July 21, 2016, PREMIUM TIMES can report today.

The debts are in respect of products allocated to the companies by the Pipelines and Products Marketing Company (PPMC) for distribution over the last 10 years, details seen by this newspaper show.

The documents were filed to the Economic and Financial Crimes Commission, EFCC.

Members of the Major Oil Marketers Association of Nigeria (MOMAN) and the NNPC Retail (mega filling stations) account for about 85 per cent of the debt, while the independent marketers owe the balance.

The major marketers include NNPC Retail (N22.56 billion), Oando (N25.05 billion), Forte Oil (N10.09 billion), Nigerian Independent Petroleum Company (NIPCO) N5.5 billion, Total Oil (N1.42 billion), Conoil (N1.3 billion) and Mobil Oil (N276.95 million).

The independent marketers include Master Energy (N5.5 billion), MRS Oil & Gas (N3.997 billion), Heyden Petroleum (N2.7 billion), Danium Petroleum (N2.35 billion), A&E Petroleum (N1.89 billion), Rahamaniyya Petroleum N1.65 billion), Càpital Oil (N1.3 billion), and Amicable Petroleum (N495.35 million).

Others debtors are Aiteo Petroleum (N426.37 million), Honeywell Oil (N40.96 million), DM Kurfi (N36.11 million), Ascon Petroleum (N20.04 million), Azman Oil (N19.35 million), Felande Petroleum (N8.4 million), Sharon Oil (N3.8 million) and Zamson Petroleum (N3.06 million).

The most indebted companies are owned by some of Nigeria’s and Africa’s richest billionaires.

Oando PLC, which owes the largest chunk of N25.05 billion, is owned by Wale Tinubu.

Femi Otedola, another billionaire, owns Forte Oil, which is responsible for N10.09 billion. Conoil is owned by Mike Adenuga, who is also the telecoms company, Globacom. The company is owing N1.3 billion.

The allocation of products to the firms was under the intervention bulk allocation arrangement and intervention truck distribution to marketers by the NNPC marketing and distribution subsidiary from its Suleja, and other products depots across the country.

fuelsalesdebtors_who_is_whoThe arrangements fetched revenues from partnership agreements for products supplied by the PPMC, which the oil marketing firms refused to pay to the government over the years.

Petition for action

A law firm, B. I. Murtala & Co., had petitioned the EFCC, accusing top NNPC and PPMC officials of “abuse of office, economic sabotage, illegal diversion of petroleum products, illicit enrichment and corruption as well as criminal conspiracy”.

The petitioner listed suspected officials it wanted investigated to include the Supervisor and Area Manager, Kaduna Depot of PPMC, Ajabi Hussaini and Rabo Shuaibu respectively, and Manager, Programming & Operations, NNPC, Abuja, Ahmed Tukur Gwarzo.

Others include Executive Directors, Commercial as well as Shared Services, PPMC, Ezecha Justin and Mustapha Muhammad respectively, and Manager, Finance & Accounts, PPMC, Titonenye Kokade.

“There exists a conspiracy between PPMC/NNPC and suspected oil marketers who deliberately withheld huge government revenues in respect of petroleum products received on credit without due payment or remittance into the Federation Account,” the petitioner said.

The law firm alleged the process of allocation and distribution of petroleum products by PPMC/NNPC was fraught with fraud and criminal conspiracies with marketers, leading to massive diversion of government revenues from the federation account.

Following EFCC’s investigations, NNPC Retail paid back over N15.95 billion between July 25 and August 1, 2016, with over N6.62 billion still outstanding. The EFCC also recovered over N5.57 billion from NIPCO, leaving a balance of N1.93 billion.

Other recoveries include N1.2 billion from Master Energy, with N4.31 billion still unpaid; N2.2 billion from MRS Petroleum, which still has N1.75 billion to pay, while Rahamaniyya Oil & Gas repaid N400 million, to leave N1.25 billion unsettled.

The PPMC, through a memo, August 1, 2016, by the NNPC Company Secretary/Legal Adviser, Omoluabi Victor, informed the EFCC of the payments.

IPMAN President, Chinedu Okoronkwo, did not respond to phone calls on Sunday. He also did not respond to a text message.

However, a senior official of the MOMAN, who asked not to be named because of the sensitive nature of the issue, said the relationship between NNPC/PPMC and marketers allowed marketers to owe for a long time without reconciliation and payment.

“Products are supplied and an average of two weeks grace given for payment. Depending on the time of reconciliation, there could be credit and debit here and there. There is no month marketers would not owe NNPC for products supplied.

“There is always overlapping period before reconciliation. But, no marketer would owe for a long period of 10 years without NNPC taking action to recover monies from them,” he said.

The acting General Manager, NNPC Retail, Ibrahim Jumah, who spoke in the same vein, told PREMIUM TIMES although PPMC was one of the major sources for products by NNPC Retail, there was a regular arrangement for reconciliation for payment.

“NNPC Retail has a credit period of two weeks with PPMC. But, from June, we wrote to PPMC and insisted we want to proceed on cash and carry basis. So, we have been paying for products, and sometimes cannot even lift all,” Mr. Jumah, who is also the GM, Finance & Accounts, NNPC Retail,” he said.

“The PPMC is owing us N1.9 billion for coastal products we paid for about two years ago and have not been able to lift. So, they cannot classify us as indebted to them.”

The spokesperson for Forte Oil, Sam Ogbogoro, asked for time till Monday to respond to PREMIUM TIMES enquiry, as he would need to consult with officials of the company familiar with the facts of the case before responding.

He did not revert at the time of this report.

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  • bingo buhari this nko

    The United States Justice Department has revealed that President Muhammadu Buhari’s wife, Aisha Buhari was used as conduit in fraudulent wire transfers, from her Nigerian account in favour of Congressman Jefferson, via the ANJ Group LLC.

    The US District Court Memo, states that Congressman William J. Jefferson, between August 2000 and August 2005, sought hundreds of millions of dollars on behalf of himself and family members.

    In return, the defendant used his congressional office to promote the business interests of bribe-paying companies, whose very success was dependent upon the approvals of certain, United States and West African government agencies and officials.

    Congressman Jefferson further compounded his criminal culpability by conspiring with others to pay a bribe to the then-sitting Vice President of Nigeria.

    • okpada

      You are a daft

    • Man_Enough

      are you a new man in jerusalem?

    • Tunsj

      You sound like a Clown.

    • Comfortkay

      PDP clown

    • Julius

      You are an incoherent moron. The DOJ already said that it wasnt the presidents wife. She was here not too long ago. I know that facts means nothing to you because you are a loser that lives in lies. Keep on being delusional.

  • bingo buhari this nko

    where are those humans from the oil bearing communities in the Niger delta———————————–who are supposed to own these businesses that were allocated to the the Yorubas–Fulanis and their Ibo surrogates in APC———-WHERE ARE THEY————————–iT IS ONLY WHEN IT CONCERNS DAM JONATHAN DAUDAFA—AKPOBOLOKEME———-ORUBEBE———————–that u see EFCC swing into action in Nigeria——————-anything corncerning the TRIPOD is often no go area to buhari and his gestapo the efcc—-separation is the only way out

  • Dr Pat Kolawole Awosan

    The Nigerian minister of state for oil,Dr Kachikwu, must ensure that this huge outstanding public funds must be recovered by the minister of state for oil Dr Kachikwu.
    @bingo buhari this nko:By Nigerian constitution oil,gas,bitumen,iron,steel and ceramic natural resources belong to the Nigerian Federal Government.There is no other interpretation.

  • okpada

    Point of correction, Oando is a public limited company (Plc)with Wale Tinubu as MD, not the owner.

  • Gary

    Slowly but surely breeze dey blow to open fowl yansh. Nigeria is broke but some of our so called “moguls” are owing the treasury huge sums while st the same time salting away money in foreign tax havens. And we say we are fighting corruption by going after Tompolo & Co in the Niger Delta, leading them to sabotage pipelines in reprisal. Which in turn worsens the recession and hardship now afflicting the nation.
    So when will these big men be held to account? Sorry, they are too big to be probed and belong to the right party. Okay, can we please ask them to refund our money PLUS interest accrued over the time frame? Is that too much to ask or should we just shut up as usual and wait until Oga Lai tells us how much was recovered without naming names? I just dey ask o – make una no vex come send DSS to arrest me.

    • Julius

      I’ve always say that the poor people has nothing to do with where we are in this country. Its the so called elites that are ruining the country. This is anther example and they come from all over the country.

  • Man_Enough

    is there ever going to be an end to all these rape of the nigerian state? the cases must have overwhelmed the efcc. there is need to double the staff strength of the commission.

    • Comfortkay

      God will bless you Sir.

  • vagabonds in power

    See why they do not want the people of the South south most especially the Ijaw Nation to go————because of their crude oil resources———awooooooooof———-na him go kill una———————greed is what is troubling the people of Nigeria———-

  • John A

    Buhari and lying mohammed should be ashamed. They are telling Nigerians to change, while those responsible for the hard time Nigerians are passing through are his friends. Lying mohammed need to preach THE CHANGE BEGINS WITH ME to his criminals friends in apc/pdp.

  • BINGO BUHARI THIS ONE NKO

    The United States Justice Department has revealed that President Muhammadu Buhari’s wife, Aisha Buhari was used as conduit in fraudulent wire transfers, from her Nigerian account in favour of Congressman Jefferson, via the ANJ Group LLC.

    The US District Court Memo, states that Congressman William J. Jefferson, between August 2000 and August 2005, sought hundreds of millions of dollars on behalf of himself and family members.

    In return, the defendant used his congressional office to promote the business interests of bribe-paying companies, whose very success was dependent upon the approvals of certain, United States and West African government agencies and officials.

    Congressman Jefferson further compounded his criminal culpability by conspiring with others to pay a bribe to the then-sitting Vice President of Nigeria.

  • Fair_Justice

    The Obasanjo Ali-baba armed robbery gangs that robbed millions of the live savings as he systematically emptied so-called Failed Banks that no one cares to remember today. Yet the mindless criminals are going around receiving one ‘nation’ and ‘international’ outstanding criminal award to another, from beneficiaries of their crimes against humanity!
    Why is the top monopolist rogue Dangote not mentioned as top of the ‘crimibals’?
    As long as this evil British creation lasts with forced mixture of bloodthisty wild beasts with humans, the humans playing foolishly along will continue to be their source of blood feasting!
    It takes real humans to rise and revolt to free themselves and flush out the wild beasts from their lives!

  • Fair_Justice

    Ababdoned Property, Operation Feed the nation, FESTAC, Failed Banks, Buy Back Loan…. etc. Etc.. The monster Obasanjo and his vile gangs has so much robbery, terror, genocides and crimes against humanity cases to answer!

  • Nkem

    Thank God for Obj for giving us EFCC. If not who would be hearing about all these things today? Warts and all, it happens to be the only institution that gives us hope that all may not be lost after all. And that at least there is some limit to impunity.

  • Galantman

    No wonder the supply of all petroleum products is epileptic with artificial shortages to riff off the consumers becoming a recurring decimal. The whole petroleum industry is infected with inefficiency fueled by greed and other vested interest. The same marketers complaining and blackmailing government are actually the culprits. There is urgent need to cleanse the whole system. He who come to equity must come with clean hands.

    • Comfortkay

      Bros thank you this is purely what PDP created in 16 years of rule and everything was hidden and Nigerian are suffering.
      If it were in another country this greedy people will be stone to death with their money.

      • Galantman

        You are right bros

      • Julius

        No doubt.

      • sab

        Is Tinubu of PDP/ Why can’t you for once call a spade by its proper name? Now your gods, lords and masters have been fingered and you are trying to shift the goal post. So sad! Now the chicken is coming home to roost and we’re beginning to know the true enemies of this country. Don’t try to deceive Nigerians because we now know our rights from our left; our friends from our enemies. You promised us change to get into power. Now you’ve got it and opted to change the music by asking us that change with us. Where are those your promises? Why not start the change from yourselves because good leadership breeds good follower-ship. If you don’t lead by example, how do you expect the people to follow with honesty and sincerity?

        • Action Group

          Get the story line right before you criticize, the Tinubu here is not Bola Ahmed Tinubu,the APC leader but WaleDele Tinubu, the CEO of Oando Petroleum Plc,who is not a politician.Ok?

          • Action Group

            Sorry, “Wale Tinubu” not “WaleDele Tinubu” .

        • Comfortkay

          Man you have problem please see the doctor

        • ladi

          I dnt know if d story is true or not bcos ppl write junks on internet n dnt hv fact but I’m shockd ppl are talking out of ignorants bcos they hate hate ppl.all over d early buz owners owe either banks other coy or govt n d activities are continous over yrs.all d coys mentiond may hv outstanding but hve b paying mney to govt n recvng prodcts fr yrs.Also fr those showng hatred to sm individual,u hear hear accpt dat if its against the buz practice then d Govt that allowd it fr yrs is als weak n terrible.but if nothng is wrong wrong arrangmnt ok,then why all ds hatred.

  • Comfortkay

    All these Billionaire should be given deadöline when they have to pay the money else their properties should be taken from them. Fellow Nigerian we have not seen anything yet.
    These are the people sucking Nigeria government and Nigerian softly and living like a King everywhere.

    • Izedomi Ohirein

      The Company is deferent from the owner. They are both Nigerians. Aso Rock is owing electricity bill, suppliers ETC.

      • Comfortkay

        Go to Efcc

  • Omooba Adekunle Orafidiya

    I doubt the veracity of this story.

    • Gary

      Why? Because it names some of your demigods who can be faulted or questioned about how they became overnight billionaires? Another person is already trying to sell us the difference between twelve and a dozen below. We feel your pain.

      • Omooba Adekunle Orafidiya

        Since this is not Holy Writ, I am well within my right. I stand by my post.

      • Julius

        lolz, thank you. No mind him.

    • Julius

      We all doubt the veracity of your name also. Lmaooooo !!

      • Omooba Adekunle Orafidiya

        I doubt your sanity.

    • Emeka

      “Thomas” onye nnagha….

      • Omooba Adekunle Orafidiya

        Ewu (goat), o si gini?

        • Julius

          At least Emeka is not using other people’s name. He stand by the name is father/mother gave him unlike you. He is not a coward.

          • Omooba Adekunle Orafidiya

            ….the name is father/mother gave him”….? Terrible English!!! Go back to elementary school (if you ever attended one).

          • Julius

            lol, Oloshi, it doesnt take much to expose your fake ass. I’ll go back to school when you grow some balls and stand up like a man. Stop being a born coward. You want me say his “parents”, Mr internet grammar. O mase oo.

          • Omooba Adekunle Orafidiya

            Idiotic illiterate, bugger off!!!

          • Julius

            Hahahahaha, you are such a fraud. Moron !

    • asuevie

      …also doubt Patience Jonathan millions dollar issue, doubt Aisha Buhari Halliburton fraud allegation.
      What a poor ignorant tools we have in Nigeria.

      • Omooba Adekunle Orafidiya

        Where, in my post, did I mention any other story? You are worse than ignorant.

    • sab

      You will doubt it because its not about PDP or IGBOS.

      • Omooba Adekunle Orafidiya

        You are a moron.

  • Izedomi Ohirein

    Most state governments are owing workers salaries. FG is owning electricity bills & contractors.

  • FirecloudOFGOD

    “The most indebted companies are owned by some of Nigeria’s and Africa’s richest billionaires.”
    It makes sense that they are “rich”, for these people lived on borrowed monies!

  • favourtalk

    They just want to drag the name of Tinubu to anything in the country, is there no difference between deji and jagaban, learn to report not just trying to capture headlines

  • JasV

    This is why the criminals are complaining about our president’s focus on corruption. We will do everything necessary to revive the economy that was destroyed by pdp and their presidunce but we will not let go on those who have ravaged the public treasury. If that’s the only thing we will achieve SO BE IT.

  • Keen Observer

    @favourtalk:disqus Is Tinubu name the only name mentioned amongst the debtors to Nigeria oil sales? I’m sure you work & earn your daily bread from one of the Tinubus, that necessitated this your biased comment.
    You did not reason why Tinubu has not paid the billions he owed Nigerians even while he is classified as so-called ”billionaire”. All your brain could put together is that ”They just want to drag the name of Tinubu to anything in the country”…does it mean Tinubu is not owing those debts quoted in the prints? Na..wa…oh I discovered that many Nigerians does not speak the truth (Sycophants) they hates the truth & fights against it but are at peace praising rogues (gallivanting as Hons., Gov or CEO); they throw morals to the dogs & continually sings the praises of those who are willing to put food on their tables, not minding whatever maltreatment is meted out to them. God will help us Nigerians to embrace morals for societal value & NOT to measure success in life from the amount of wealth (ill-gotten wealth) one acquires.

    • chemy

      Olodo, it is Wale Tinubu not Bola Tinubu. And this Wale Tinubu is not a politician. And also, there are other names there.

      • sab

        Did you or have you read the PT expose on the #PanamaPapers#? If not google it out and read before commenting on this issue.

  • Taylor

    Look at what Tinufraud and family are owing, yet they brags themselves around as billionaires. He also has the audacity to insult GEJ. and talks about change like a saint. This is the ones written here ooo! There are other numerous ones unveiled oo.

  • kinsly

    So if the EFCC was not involved this criminal firms wont bother to pay back the debt owed to the Nigerian state? We are in a mess!

  • Okurienne

    For the avoidance of doubt, all political office holders in this country, cannot be exonerated from stealing our common wealth. The military rulers are the worst culprits without any exception. OBJ and IBB are kingpins leading the whole hug, followed by legislators, the judiciary, civil servants, all government contractors, in that category. God will visit everyone of them at the appropriate time.

  • OMOLOYIN

    They will stop at nothing to soil Tinubu’s name. God wont make it work.

    • JC Kunle

      Gosh, it’s Wale Tinubu, Not Ahmed Bola Tinubu. Read and enlighten yourself.

    • Whalerolex

      I hope you are now aware this change begins with you in the area of current affairs as it will help your ignorance

      • OMOLOYIN

        Use the door. You make no sense.

        • Whalerolex

          Am not surprised if it does not make sense to you. I know your type

  • Ezekiel

    Premium times, which Tinubu are you talking about because in this report of yours i can’t see any of the mentioned organisations being linked with Tinubu, I wish the man sue you for libel because you journalists like to spoil good names sometimes.

    • MOG

      OANDO is own by Mr Wale Tinubu not the former governor of Lagos State. Please thank me for the information. Read the write up again and you will see where OANDO is mentioned.

      • Richard

        So you don’t know thiefubu hve major share in Oando thiefubu slave

    • MOG

      I also find out that many of you Nigerians talk from your wealth of ignorance. Who should be sued now?Premium Times should sue you for your ignorance which is not an excuse before the law. Please do more on current affairs before talking on public matter you are not sure of. To help you when not too sure, PLEASE consult with GOOGLE AND OTHER SEARCH ENGINES ON THE INTERNET.

    • Whalerolex

      Adewale Tinubu of Oando.

    • ericdwise

      Wale tinubu of oando

  • dami

    Poor report…poor journalism…with intention to damage people’s reputation – are these guys owing the FG personally or the companies?
    The report should read Oando / Conoil / Zenon oil are all owing the FG.

    • Whalerolex

      Atleast you gave your own opinion which is good but journalism has gone beyond that.
      The purpose of those names is to catch people’s attention just like it caught you.

      • dami

        maybe, but we should hold journalists to high standard of reporting and ethics…else they begin to smear everyone and anyone..

    • ewuare

      Nigeria needs this kind of journalism. It simply states the facts. These companies are owned by individuals or groups. They don’t shy away when it’s time to take in the profit. It is not personal or witch hunting. Nigeria simply needs money now. Instead of selling national assets as some are proposing, let these companies pay their debts. Govt. must quickly move into action and find ways to recover these debts.

  • Omooba A

    No wonder that when these so-called Nigerian billionaires died, their companies died with them. These billionaires are living on borrowed money and whenever they kick the bucket, the creditors go after their properties and companies and these companies died with them since their children could not pay the creditors. Odu’a adage said that those that does know the source(s) of some riches always run from pillar to pole until they died.

  • Jayjay

    Sell the properties to pay up their dues…
    Its simple

  • ericdwise

    Our common wealth shared by individuals, even Uche ogah who has been struggling in futility to govern Abia state is fingered in so many sordid deals. A man who should be in jail for so many fraud cases is using his ill gotten wealth to subvert the wishes of the ordinary people in Abia.

  • Adegboyega Joshua Adejuwon

    Foul play…..

  • Watch man

    These are also the bunch of crooks that govt officials will use as front to buy off Nigeria’s asset at ridiculously criminal price.