EFCC has arrested a former NNPCL finance chief over a $7.2 billion fraud case.
The money was meant to fix refineries but may have been misused.
SEE ALSO: Senate Gives NNPCL Seven Days to Explain Missing N210 Trillion
The Economic and Financial Crimes Commission (EFCC) has arrested a former Chief Financial Officer (CFO) of the Nigerian National Petroleum Company Limited (NNPCL), Umar Ajiya Isa, in connection with a suspected $7.2 billion fraud linked to the failed rehabilitation of Nigeria’s refineries.
Sources within the EFCC confirmed the arrest on Monday, revealing that Isa is under investigation for several alleged financial crimes, including abuse of office, misappropriation of public funds, corruption, and accepting kickbacks from contractors who handled the turnaround maintenance of the Port Harcourt, Kaduna, and Warri refineries.
“Our operatives have arrested a former Chief Financial Officer of the NNPCL, Umar Ajiya Isa, in connection with an alleged $7.2 billion fraud,” an EFCC source disclosed.
The ongoing probe is focused on how funds were allocated and possibly misused during the rehabilitation of the three refineries. So far, the EFCC is said to be closely reviewing disbursements amounting to:
- $1.56 billion for Port Harcourt Refinery
- $740 million for Kaduna Refinery
- $656 million for Warri Refinery
The total figure under scrutiny currently stands at around $2.96 billion. As CFO at the time, Isa was reportedly responsible for approving the release of funds for the projects.
Other high-ranking officials also being investigated include Tunde Bakare, Managing Director of Warri Refinery; Ahmed Adamu Dikko, former Managing Director of Port Harcourt Refinery; Ibrahim Monday Onoja, another former MD of the Port Harcourt Refinery; and Jimoh Olasunkanmi, a former MD of Warri Refinery, who is reportedly also in EFCC custody.
The EFCC has yet to issue an official statement regarding the arrests. Efforts to get a comment from the agency’s spokesperson, Dele Oyewale, were unsuccessful at the time of reporting.
This development is a significant move in the broader investigation into alleged financial mismanagement in Nigeria’s oil and gas industry, particularly regarding NNPCL’s handling of major capital projects.
It should be noted that Isa played a central role in managing financial decisions related to the turnaround maintenance of the refineries. The EFCC is now investigating whether he and others diverted funds or received improper payments during the execution of these projects.
In a related matter, the Senate Committee on Public Accounts, led by Senator Aliyu Wadada, recently raised red flags over what it described as “worrisome discrepancies” in NNPCL’s financial statements. According to the committee, issues involving trillions of naira were uncovered during their review of the company’s audited accounts between 2017 and 2023.
Following these findings, the committee issued 11 queries to NNPCL’s finance team and gave them one week to provide explanations.
As investigations continue, stakeholders are watching closely to see what revelations might emerge from what could be one of the country’s biggest oil sector fraud cases in recent years.
