Justice Department Recovers Over $53M in Profits Obtained from Corruption in the Nigerian Oil Industry

The Justice Department announced today the final resolution of two civil cases seeking the forfeiture of various luxury assets that were the proceeds of foreign corruption offenses and were laundered in and through the United States.

With the conclusion of the cases, the department has recovered roughly $53.1 million in cash – constituting the net liquidated value of the defendant’s assets – plus a promissory note with a principal value of $16 million.

According to court documents, from 2011 to 2015, Nigerian businessmen Kolawole Akanni Aluko and Olajide Omokore conspired with others to pay bribes to Nigeria’s former Minister for Petroleum Resources, Diezani Alison-Madueke, who oversaw Nigeria’s state-owned oil company. In return, Alison-Madueke used her influence to steer lucrative oil contracts to companies owned by Aluko and Omokore. The proceeds of those illicitly awarded contracts totaling more than $100 million were then laundered in and through the United States and used to purchase various assets through shell companies, including luxury real estate in California and New York as well as the Galactica Star, a 65-meter superyacht. The real estate was also used as collateral for loans to Aluko and shell companies he controlled. As part of the forfeiture process, those lien holders were paid.  

Join LeadsLeap

Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division, Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division, Assistant Director in Charge David Sundberg of the FBI Washington Field Office, and Chief Jim Lee of the IRS Criminal Investigation (IRS-CI) made the announcement.

The FBI’s International Corruption Squad in the Washington Field Office and the IRS-CI investigated the cases, with assistance from the FBI Los Angeles Field Office.

Trial Attorneys Michael W. Khoo and Joshua L. Sohn of the Criminal Division’s Money Laundering and Asset Recovery Section prosecuted the cases. The Justice Department’s Office of International Affairs and U.S. Attorney’s Office for the Southern District of Texas provided substantial assistance. 

These cases were brought under the Kleptocracy Asset Recovery Initiative. This initiative is led by a team of dedicated prosecutors in the Criminal Division’s Money Laundering and Asset Recovery Section, in partnership with federal law enforcement agencies, and often with U.S. Attorneys’ Offices, to forfeit the proceeds of foreign official corruption and, where appropriate, to use those recovered assets to benefit the people harmed by these acts of corruption and abuse of office.

In 2015, the FBI formed International Corruption Squads across the country to address national and international implications of foreign corruption. Individuals with information about possible proceeds of foreign corruption located in or laundered through the United States should contact federal law enforcement at tips.fbi.gov/ or send an email to kleptocracy@usdoj.gov.

Source-FBI

The Economic and Financial Crimes Commission and other anti-graft agencies have been called upon to prosecute some labor leaders who have cases to answer.

This call was made by an Ex-Officio of the Oyo state Council of the Trade Union Congress(TUC), who is also a former chairman of the union in the state, Comrade Andrew Emelieze.

''The EFCC, ICPC and other anti-corruption agencies should prosecute some labor leaders, such as those of the Association of Senior Civil Servants of Nigeria for corruption, since the cases have been reported to them. There is massive corruption in these unions; they deduct outrageous amounts as check off dues from workers' salaries and there is nothing to show for it. All those who were invited, detained and released should be charged in court.''

''So many workers have promotion arrears of between 6 months and three years, they have not been paid and these unions are doing nothing about this. The EFCC AND others should make their findings public and charge the cases to court. These cases should not be swept under the carpet,'' Comrade Emelieze warned.

Nigerians are to blame  for the prevalence of corruption in the country.                   
This assertion was made on Wednesday by a former Chief Judge of Oyo state, retired Justice Badejoko Adeniji at the official commissioning of the Ogunelu Aaare Alasa Dynasty Mediation and Conciliation Center(Igbejo), Oajaba, Ibadan, Oyo state Nigeria.
''We are all to blame for corruption. It was not so during Awolow's time,'' Justice Adeniji stated.
In his welcome address, the Founder, Spiritual Head and Grand Imam of Shafaudeen-in-Islam Worldwide, Prof. Sabitu Olagoke admonished Nigerians to be peace-loving, saying, ''when we love one another there shall be peace in society.''

Read-Helplessness in the Face of Dirt

-Legalizing Crime and Criminality

-Landlords and Tenants Associations, Crime and Criminality

-Law Enforcement: The Reactionary Approach

-Government Workers-A Subject of Debate

The importance of the Local Government revolves around the need to attend to the expectations and welfare of the people at the grassroots.
In addition, the Local Government plays a vital role in Federal schemes of education, housing, transport among others, nationwide. It adopts the mainline of policy to local conditions.

Read-Legalizing Crime and Criminality
Sadly, the Local Government, under the present dispensation in Nigeria, is not independent.
Interestingly, a number of Chairmen and Councillors elected from their neighborhoods, now focus on recruiting cultists and other categories of criminals to intimidate, terrorize and attack residents of several communities, as social services continue to remain a mirage.         

-Landlords and Tenants Associations, Crime and Criminality
Indeed, these elected officials are not known by the vast majority of the populace at the grassroots, while development is only on the pages of newspapers and speakers of radios.

 Curiously, the character of growth to meet the needs of the poverty-stricken people come with lies, half-truths, and promises, even as insecurity is now the thriving industry to engage the disillusioned and impoverished people.

-Law Enforcement: The Reactionary Approach
Of worry is the overwhelming presence of criminals in most communities, who orchestrate well-coordinated acts of criminality, heinous and grievous crimes, and morally unacceptable behaviors including rape and homosexuality; involving the young and old, male and female alike.

-Government Workers-A Subject of Debate

The Sierra Leonean Government has commenced a crackdown on corrupt public officials with the arrest and detention of top officials of the  Sierra Leone Football Association(SFA).
According to the Head of the Anti Corruption Commission(ACC), Adly Macualy the commission had on several occasions invited the President, Isa Johansen, Vice president, and Secretary-General of the SFA, but the officials refused to honor the invitation.
Their arrest and detention are coming on the heels of the launch of the ''Operation ThunderBolt'' by the commission.
The Commission has since handed over the officials to the Criminal Investigations Department (CID) of the country's Police in Freetown.

Also read-Legalizing Crime and Criminality

The impression everywhere is that State Governors and Chairmen of Local Governments, who are entitled to borrow under the Debt Management Act, shall abide by the provisions of the Act and exhibit a high sense of responsibility in managing borrowed funds.
Indeed, the ongoing debate among Nigerians is the sustainability of the debts at all levels of governance, since the country has only a single economy.
The Act seeks to ensure prudence in the management and utilization of borrowed funds, while simultaneously plugging in several measures that shall guarantee transparency in debt management at all levels.Transfer Money with Wise
Considering the worrisome debt profile of the country, the major concern now is how the loans are being utilized.
Without a doubt, indicators suggest that Nigeria has relapsed to the experience of 1978 and 1990, the period of excessive external debts.
Nigerians are already expressing fears that Those-in-Charge may have taken the country back to the past when it could not pay or service its loans.
It is a fact that no state can borrow externally unless the Federal Government borrows from them and turns it to them via a supplementary agreement, as stipulated by the constitution, that no state can borrow on its own externally.
Although the states' domestic debts are shrouded in mystery, the resolve of law enforcement and security agencies not to protect criminals any longer shall go a long way in checkmating the unabating insecurity nationwide.
Not long ago Those-in-Charge stated that the South West Geo-Political zone is the most peaceful, perhaps, but the insinuation is that it could be a covert directive. Days after, the unexpected occurred in a community in Oyo state.
Sadly, the reactionary and snail-speed approach to governance in certain states is already suggesting a veritable means to an end.

The Togolese Government has introduced a new policy that requires that those involved in business transactions must be identified failure of which will attract appropriate sanctions.

The policy is targeted at curtailing fraudulent and shady transactions within the country.

The authorities further disclosed that the penalty for flouting the law will be met with a fine equivalent of 50 percent of the transaction’s value. 

The penalty is set by the 2021 Tax Procedure Book.

When the beneficiary of a shady transaction is not identified, parties involved will equally share the payment of the tax associated with the operation as well as a fine equivalent to 50% of the transaction’s value. 

This rule forces those doing business together to primarily identify their clients or suppliers to avoid transactions they carry out from being defined as fake or shady. 

It will make it easier for the tax authority to verify the authenticity of amounts declared, and if business partners are real or fake. Ultimately, the goal of the measure is, according to sources from Togo’s Tax Office (OTR), to fight tax evasion and tax fraud. When parties involved in a transaction are not identified, the person who collected the VAT does not transfer it into our accounts. 

Corruption, forgery and other fraudulent acts have become ways of life among the old and young alike in Nigeria today.

Even though there constitutional provisions to check the criminal acts, such provisions are very weak to make any noticeable impact, as events in the country suggest.

Sadly, the establishments saddled with the responsibilities of addressing the criminal acts which received adequate operational inputs and official backing have been successful in carrying out their assignments teleguided and with slants.

Of worry, is the large number of political appointees and elected office holders certificates' which have no verified evidence of attendance and completion of prescribed courses of study justifying the award of same.

Interestingly, presently, merit is perhaps, not one of the factors determining the employments and appointments into the deteriorated system in Nigeria.

The extent to which the unified structure of government bank accounts has been able to plug leakage and eradicate corruption is known only to those in government.

Sadly, reported incidents of corruption are on the increase, while the fight against corruption seem to have been toned down.

The controversial actions of those presently in the saddle of governance has, without doubt negatively affected their good intentions, which seem to now be in the realm of wishful thinking, considering the overbearing nature of self-centered interests in the land.

The percentage of Judges and Magisterates in Nigeria,who have the tendency to sacrifice their integrity and career on the altar of filthy lucre are increasing by the day.

Most Nigerians, have a tale or the other to tell of their experiences in the courtrooms, good or bad, with the latter case occupying the majority position.

Interim injunctions, rulings and delivered judgements from the court rooms in the country have always attracted comments,questions and debates among the people, who still view the Judiciary,as the last resort and only hope of the common man. 

But this may no longer be the case, if happenings in the various court rooms ar anything to go by. Government it is believed has annexed the independence of the Juidciary and now manipulates it to suit its motives.

However,the common man still finds it difficult to come to terms with the fact that the financial position of an individual determines what he comes out with from the court room.

In 2004, Justice Stanley Nnaji of the Enugu state Judiciary was suspended from office by the National Judicial Council(NJC), for ordering the then  Inspector General of Police, Tafa Balogun, to remove the then Anambra state Governor, Chris Ngige from office.

Also in the same year in Enugu state, Justice Anthony Onovo,ofthe Nsukka  Judicial Division,was asked by the then Chief Justice of Nigeria and Chairman NJC to give reasons for delivering a controversial judgement.

Justice  Onovo’s judgement had led to the demolition of a six bedroom bungalow,Nursery and Primary school and a poultry farm at No. 29 John Nwod close, Government Reservation Area,Enugu. The property belonged to a couple-Obed Chukwunedum and Linda Menakaya.

Following a petition written by to the Chief Justice by Menakaya,which alleged perversion of justice between Menakaya and one Dr.Harry Ezim-a United States of America based legal practitioner, the Chief Justice in a letter dated May 24, 2004,with reference No. NJC/873/1/185, requested Justice Onovo to respond ”urgently” to the petition.

Before this time Justice Onovo was transferred in 2002 from the Enugu Judicial Division toNsukka Judicial Division,but for undisclosed reasons, he continued to adjudicate on some cases, he was in charge in Enugu, before his transfer to Nsukka.

Of worry, is the fact that similar instances abound in several court rooms in the country,today.

Interestingly,the then state Chief Judge, never authorized Justice Onovo to conclude pending cases in his court before his transfer. This exposed his hidden interests in those cases.

The case between Dr. Ezim and Menakaya is one of such cases.

On 3, July, 2001, Dr. Ezim had instituted a suit in the state high court,against the 78year old retired Chief Agricultural Officer,in the old Anambra state, in a bid to claim ownership of No. 29 John Nwodo close.

In the suit No. E/18301,2001, Dr. Ezim prayed the court to declare that, he legitimatley acquired the property from the siblings of a deceased, Gabriel Okiyi, a close friend of Menakaya.

Indeed, court rooms are increasingly becoming waiting rooms of injustice.

But Menakaya through his counsel,Chief Anthony Mogboh, a Senior Advocate of Nigeria(SAN) countered Dr. Ezim’s claim. Chief Mogboh stated that his client bought the land from late Okiyi, when he was Director in the Ministry of Agriculture in the defunct East Central state and thereafter, proceeded to build a six bedroom bungalow, a poultry farm and a Nursery and Primary school. He maintained that his client,had lived there since 1981.

Surprisingly, on 19 March,2004, Justice Onovo delivered judgement against Menakaya. In his judgement,Justice Onovo declared Menakaya a tresspasser on the land,while also ruling that Dr. Ezim was the rightful owner of the disputed property.

Less than an hour after  the judgement was  delivered, Dr. Ezim mobilised 15 thugs,three anti riot policemen and 14 policemen from the Police Area Command, Enugu and one Ugwu, the then Chief Bailiff of the Enugu state High court to eject Menakaya and his family.

On Monday,March 22, armed with a ”warrant of possession”,which Dr. Ezim claimed originated from Justice Onovo, and a caterpillar,the entire buildings were demolished.

Menakaya’s case is just one out of several thousands that have gone unnoticed. Indeed,it is very odd for some questionable legal practitioners to relocate their chambers to beer parlours,in residential  areas.

Their motives are  reflected in a beer parlour operator’s  words: “We always have our LLB, BL, beer parlour here for us,this is his chambers”.

Of interest,is the desperate attempts by individuals,who have  acquired illegitimate wealth to invest same in landed properties in major cities in the country, of course,this can only be possible with the seal of the court rooms,and the footsteps of  the law enforcement agents.

Are these attempts having the consent of the authorities that be ? Hopefully not !

At a point in Nigeria's history, former President, Chief(Dr.)Olusegun Obasanjo stated ''it is a matter for regret that most public servants tend to subdue their political discipline in the face of personal aggrandizement''.

When Chief(Dr.)Obasanjo was in the saddle as President, he set up the Economic and Financial Crimes Commission(EFCC)  to rein in fraudsters, money launderers, corrupt government officials and several others.

Perhaps, the EFCC, was to strengthen the activities of the Nigeria Police Force, while the Independent Corrupt Practices Commission(ICPC) was established to boost the work of the Code of Conduct Bureau.

During this period high profile personalities, like former Inspector General of Police, Mr. Tafa Balogun showcased the fight against corruption.

Sadly, happenings today, is a total and  fierce departure from when Chief(Dr.)Obasanjo called the shots.

Interestingly, in an interview in 2007, prominent lawyer, Mr. Femi Falana(SAN), who was then a member of the National Conscience Party(NCP) had stated '' you in the media, you must challenge politicians, you must ask them for their programmes for our people as opposed to celebrating criminals. If somebody says  he is a thief, you should ask him to resign''.

Unfortunately, Nigerians have continuously asked ''thieves'' to resign in this present administration without positive results.

Of worry, however,  is the fact that the youth now have the impression that corrupt practices are the only reliable path to success.

 The youth readily make reference to the present administration's choice of Ministers as a source of inspiration to them 

Nigerians express anger over the claim of  the powers that be, that they have fought corruption to a commendable extent, even when it is very glaring that several officials of the present administration have cases of corruption trailing their daily lives.

Everywhere within the borders of Nigeria, fraudsters, corrupt government officials and related category of criminals are celebrated by their people, who believe these individuals are the heroes of this time.

The EFCC is now a shadow of its old self, only barking but not biting those it ought to bite.

If only the leadership had made transparency  the guiding light  to its activities, all the negatives trailing the country at home and abroad would never be the signposts of governance. 

The   increase in the pump price of the Kerosene has been described as a kite flown by government officials to deny Nigerian workers a new national minimum wage.

''The AWC  concludes that government has a sinister agenda strangulate the Nigerian workers and the generality of the Nigerian people. The question we ask is that even if government will have to take the increased salaries back from the workers what about the unemployed, the retirees and all those who don't receive salaries from any source ? It means that government would visit them with unprecedented agony and pain'', the National Coordinator of the All Workers Convergence(AWC), Comrade Andrew Emelieze opined.

Nigerians express sadness that depsite the unconstitutional annexation of $1 Billion by the Federal Government for the procurment of all that is needed to checkmate the insecurity in the land, Kidanappings, killings and other violent crimes are not abetting, even though government has developed a new culture of commiseration and condolences to families who lost their loved ones to the reactionary approach by government to the unabating insecurity in the country.