EFCC recovers N4.48bn diesel allegedly converted by oil firm in Lagos

The Economic and Financial Crimes Commission, EFCC, has recovered 2.3 million litres of Automotive Gas Oil, AGO, commonly known as diesel, valued at approximately N4.485 billion, allegedly diverted from Prudent Energy and Services Limited by Mamemo Ibru of Ibafon Oil and Gas in Lagos.

The recovery followed an investigation launched by the anti-graft agency after Prudent Energy and Services Limited petitioned the EFCC over an alleged shortage of petroleum products it had entrusted to Ibafon Oil and Gas for storage.

EFCC spokesperson, Dele Oyewale disclosed the development in a statement, saying the petitioner alleged that its products stored at the depot had been unlawfully withdrawn, resulting in a substantial deficit in its stock.

According to the agency, the company claimed that repeated withdrawals from the stored products continued until its outstanding stock stood at 2,574,031 litres.

However, a subsequent physical inspection and reconciliation of the products reportedly showed that only 206,761 litres remained in the storage tanks, leaving a shortfall of 2,367,270 litres.

The EFCC said its investigation established that Ibafon Oil and Gas is engaged in the purchase and sale of diesel and also operates a storage facility where its products are kept alongside petroleum products belonging to customers.

The commission further alleged that Ibru, who owns the company, exploited his position to authorise the movement of petroleum products.

The EFCC said the excess products allegedly belonged to Prudent Energy and were converted for Ibru’s personal use.

Following the intervention of the anti-graft agency, the commission said the suspect surrendered the recovered petroleum products to Prudent Energy and Services Limited.

The development, according to the EFCC, forms part of its ongoing efforts to investigate allegations of economic crimes and recover assets obtained or diverted through unlawful means.