Representatives investigate illegal sale of 48 million barrels of oil

The House of Representatives resolved to set up an ad hoc committee to investigate a whistleblower’s complaint about the illegal sale of 48 million barrels of Nigerian Bonny Light crude oil to China in 2015 and the status of cargo insurance.

The committee will also investigate all Nigerian crude oil exports and sales from 2014 to date, with respect to quantity, insurance, revenue generated, remittances to Federation Account or other accounts, as well as utilization of income during the period under review.

In addition, the panel will investigate all revenue recovered through the Whistleblower Policy of the regime headed by the president, Major General Muhammadu Buhari (ret.), and the level of compliance with the policy.

The committee must report back within four weeks to take further legislative action.

These resolutions followed the unanimous adoption of a motion introduced by a House member, Ibrahim Isiaka, titled ‘Alleged loss of more than $2.4 billion in revenue from the illegal sale of 48 million barrels of export crude oil in 2015 , including crude oil exports from 2014 to date.’

Isiaka said: “The House is aware of the July 2020 whistleblower allegations that he (the whistleblower) had in July 2015, and in response to the current administration’s whistleblower policy, brought it to the attention of a committee allegedly established by the president for the recovery of missing crude oil exports, the existence of 48 million barrels of Nigerian Bonny Light crude oil stored in various ports in China, apparently with the authorization of the Nigerian National Petroleum Corporation, and the intent of parties in China and the NNPC to sell this cargo.

“The Chamber is also aware that the whistleblower asserted that the committee, made up of very high-ranking officials from the administration and NNPC, some of whom he met with, conducted an investigation and confirmed the existence of this shipment. , but discovered in October 2015 that the sale of this cargo had been initiated through unofficial channels… and the committee’s eventual refusal to honor its agreement to pay 5 percent of the cargo’s value in accordance with the terms of the whistleblower policy.

“The Chamber is concerned by reports that the entire 48 million barrel cargo of Bonny Light crude was sold without the proceeds being remitted to the country’s coffers, resulting in a loss, to the State of Nigeria, of more than $2.4 billion considering the 2015 world average crude oil price of $52 per barrel.

“The Chamber is concerned that more than two years after these allegations came to light and the uncertainty surrounding the required insurance of these crude exports, it becomes imperative that the Chamber verify the actual details of all crude exports. from Nigeria from 2014 to date. , regarding the amount, the sale, the insurance, the income generated, the payment to the Federation Account and how these incomes were used”.

Meanwhile, another House member, Mark Gbilah, whose name was listed as a co-sponsor of the motion, raised a point of order to repudiate it.

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