The Economic and Financial Crimes Commission (EFCC) has recovered more than N115 billion and $84 million in outstanding statutory levies owed to the Niger Delta Development Commission (NDDC) by oil companies.
The disclosure was made on Wednesday by an EFCC representative, Francis Oka-Phillips Usani, when he appeared before the Senate Committee on Public Accounts, chaired by Senator Ibrahim Hassan Dankwambo.
The committee is investigating alleged non-remittance and under-remittance of statutory obligations by oil companies and other entities in the extractive sector, following findings contained in the 2021–2023 Nigeria Extractive Industries Transparency Initiative (NEITI) Oil and Gas Sector Audit Report.
Usani told the lawmakers that the EFCC had investigated 43 oil companies identified in the NEITI report. According to him, 24 companies operating in the Niger Delta were found to have outstanding liabilities relating to the three per cent statutory levy payable to the NDDC.
He said the affected companies were indebted to the NDDC to the tune of N76.88 billion and $81.08 million, while the remaining 19 companies were cleared of the allegations.
“At the commencement of investigation, EFCC invited 43 oil companies, out of which 24 operating within the Niger Delta were found to have outstanding liabilities in the sums of N76,883,705,907.17 and $81,076,655.00, while the remaining 19 other oil companies were given clean bill of health,” Usani said.
He explained that following the investigation and pressure from the anti-graft agency, some of the indebted companies made direct payments to the NDDC.
According to him, N6.709 billion and $16.994 million have so far been paid directly to the commission by the affected companies.
Usani further disclosed that the EFCC had released N73.373 billion and $67.070 million from recoveries made on behalf of the NDDC, while N3.510 billion and $14.005 million remained in the commission’s recovery account.
“Out of the sums so far recovered by the commission on behalf of NDDC, total sums of N73.373 billion and $67.070 million have been released to NDDC, leaving the balance of N3.510 billion and $14.005 million in the EFCC recovery account,” he said.
The EFCC official said the commission’s investigation focused primarily on the unpaid three per cent statutory levy identified in the NEITI audit report, while noting that the affected companies could have other outstanding obligations to the Federal Government.
“The EFCC focused on one primary pillar identified in the NEITI report, which is unpaid three per cent statutory levies due to NDDC. However, we did not lose sight of the fact that there could be other unpaid statutory obligations and taxes due to the Federal Government,” he said.
Meanwhile, the Senate committee rejected an attempt by TotalEnergies EP Nigeria Limited to respond to queries raised against the company, citing inadequate representation at the investigative hearing.
The committee directed the company’s Managing Director to appear personally before the panel at a date to be announced next week.
The committee also issued what it described as a final opportunity to the managing directors of South Atlantic Petroleum Limited, Oando Oil Limited, Famfa Oil Limited and Green Energy International Limited to appear personally and respond to queries arising from the NEITI audit report.
The Senate panel’s action reflects its determination to ensure that chief executives of companies implicated in the audit findings personally account for their financial obligations instead of delegating representatives to appear before the committee.
The ongoing investigation is focused on the extent of compliance by oil companies with their statutory financial obligations to the NDDC and other government agencies, as well as possible revenue leakages in the oil and gas sector.
Speaking at the end of Wednesday’s proceedings, Dankwambo said the committee would resume its investigative hearing on Thursday as it continues to scrutinise the NEITI audit findings and obtain further explanations from affected companies and government agencies.
