Police Investigate N832m Subsidy Scam

The Special Fraud Unit (SFU) of the Nigeria Police says it has commenced investigation into the N832 million fraud allegedly perpetrated by some oil marketers.

This is contained in a statement signed by the unit’s spokesperson, Mrs Ngozi Isintume, and?made available to newsmen in Lagos on?Saturday.

“The oil marketers allegedly defrauded the nation of about 7,000 tonnes?of petroleum products (fuel) valued at N832m.

“The marketers fraudulently diverted the said products with forged documents submitted to the Petroleum Products Pricing Regulatory Agency (PPPRA), Abuja, for subsidy payment,’’ the statement alleged.

It said that a petition received by the SFU from the United Bank for Africa Plc alleged that a facility for one billion naira was granted to one of the suspects in June 2011.

The statement said that the bank’s facility was to finance the importation of the 7,000 tonnes of PMS for supply to acceptable off-takers.

“They were expected to return the evidence for the discharge of the products at a designated tank farm in Nigeria to enable Menol Oil & Gas Ltd. to collect SDNB from PPPRA to liquidate the facility.

“Investigation revealed that 7,000mt of PMS arrived the shores of this country and the first suspect entrusted the whole consignment to the second suspect and her company to handle.

“The product was supposed to be discharged at Integrated Oil & Gas Depot, Lagos, but was later diverted to an unknown destination by the second suspect’s company,” it said.

The statement said that the suspects were?in custody assisting detectives in their investigation. (NAN)