• House of Reps to investigate NNPCL, AGIP over allegations of fund diversion, $72m debt

    House of reps to investigate nnpcl agip over allegations of fund diversion m debt - nigeria newspapers online
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    The Nigerian House of Representatives has resolved to investigate the Nigerian National Petroleum Company Limited (NNPCL) and multinational oil company AGIP over allegations of fund diversion and failure to pay a $72 million debt to a Nigerian company, Decoon Services Limited. The decision follows a petition filed by the Centre for Social Justice, Equity, and Transparency (CSJET), presented by the Deputy Spokesperson of the House, Hon. Philip Agbese.

    The petition, dated 24th April 2024, and signed by CSJET’s Executive Director, Com. Joshua Abah, calls on the National Assembly to use its powers under Section 88(1) and (2) of the Nigerian Constitution to investigate the alleged fraudulent diversion of funds and the outstanding debt owed to Decoon Services Limited. The company provides oil and gas services to operators in Nigeria.

    The petition outlines the circumstances leading to this investigation, highlighting that Decoon Services Limited executed a Caterpillar General Maintenance Contract (GMC) with Nigerian Agip Oil Company Limited (NAOC) from 2010 to 2018. The company was allegedly owed over $22 million by NAOC at the end of the contract, despite NNPC paying cash calls related to the contract. CSJET claims that NAOC dishonestly converted the cash calls to itself and failed to pay Decoon Services Limited.

    CSJET alleges that NAOC delayed awarding a replacement contract for GMC, causing further financial strain on Decoon Services Limited. The group also claims that NAOC rigged tender processes for other contracts, favoring companies that were not the lowest bidders. Additionally, CSJET accuses the Group Managing Director of NNPCL, Mele Kyari, of compromising House of Representatives committees responsible for investigating these issues.

    The House of Representatives has referred the petition to the Committee on Public Petitions for further investigation. The Speaker, Rt. Hon. Tajudeen Abbas, who presided over the session, emphasized the importance of thoroughly examining the allegations to uphold the integrity of Nigeria’s petroleum industry and ensure that stakeholders adhere to proper business practices.

    The investigation will aim to uncover the circumstances surrounding the alleged fund diversion and unpaid debt. It will also seek to hold accountable those responsible for any wrongdoing, ensuring that due process and transparency are maintained within the Nigerian oil and gas sector.

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