Femi Otedola Denies Fuel Subsidy Scandal Allegations, Files N1 Billion Libel Suit
Nigerian businessman and philanthropist, Femi Otedola, has strongly denied allegations that he was involved in the fuel subsidy scam investigated during the Goodluck Jonathan administration. In a recent statement, Otedola described the claims made by Umar Sani, a former aide to Vice President Namadi Sambo, as “malicious lies” and announced his intention to take legal action.
Otedola, who has long been vocal about corruption in Nigeria’s fuel subsidy system, emphasized that his company, Zenon Petroleum, never traded in petrol and therefore could not have accessed the subsidy fund. He stated that such accusations are based on ignorance and deliberate misinformation. The businessman also revealed that he has already instructed his legal team to file a N1 billion libel suit against Sani for spreading false information.
A History of Exposing Corruption
Otedola recalled his role in uncovering the fraud within the fuel subsidy regime. He claimed to be the first to alert then-President Goodluck Jonathan and Senator Bukola Saraki about the scheme. He questioned how he could be accused of benefiting from the very scam he exposed, pointing out that his actions were driven by a commitment to truth and accountability.
He further explained that Zenon Petroleum operated exclusively in diesel, which was deregulated and not part of the subsidy scheme. This distinction, he argued, makes the allegations against him not only baseless but also an attempt to mislead the public.
Calls for Transparency
Otedola urged President Bola Tinubu to release the full report from the Aigboje Aig-Imoukhuede panel, which was conducted under the Jonathan administration. He insisted that Nigerians deserve to know the truth about those who misused public funds through the Petroleum Subsidy Fund (PFA) scheme.
“I implore President Bola Ahmed Tinubu to release the full Aigboje Aig-Imoukhuede report on subsidy fraud as Nigerians deserve to know the truth,” Otedola said. He added that the report should help unmask the real perpetrators of the fraud.
Responding to Accusations
In response to Sani’s claims, Otedola clarified that his company controlled over 90% of diesel imports at the time, but this did not involve any subsidy. He stressed that diesel was not eligible for the subsidy scheme, making it impossible for Zenon Petroleum to benefit from it.
Otedola also questioned the credibility of Sani, suggesting that his statements reflected either mischief or a lack of understanding of the industry. He emphasized that if he had been involved in the fraud, he would not have been the one to expose it.
Whistleblower and Legal Challenges
Otedola recounted how he raised concerns about the subsidy fraud with President Jonathan and later reported the issue to Senator Saraki. He highlighted that the Senate investigation followed, leading to the exposure of the scandal. He noted that some of the fraudsters attempted to retaliate by targeting him through the House Committee on the probe, which he claimed became an extortion racket.
To counter these efforts, Otedola worked with the Department of State Security (DSS) in a sting operation. He provided evidence of the fraud to the committee, which later led to the conviction of Farouk Lawan, the head of the probe, for bribery.
Addressing AMCON Allegations
Otedola also addressed allegations linking him to the Asset Management Corporation of Nigeria (AMCON). He described these claims as a form of misinformation and pointed out that he had suffered financial losses due to the 2008 global economic crisis. He explained that his debts were sold to AMCON, and he settled them by surrendering assets worth hundreds of billions of Naira.
Otedola reiterated that AMCON publicly praised his approach and encouraged other debtors to follow his example. He also mentioned that court records and AMCON officials from that time can corroborate his claims.
Conclusion
Otedola’s strong stance against the allegations reflects his commitment to transparency and justice. He has consistently maintained that his actions are driven by a desire to uphold truth and accountability, and he is prepared to pursue legal avenues to protect his reputation. His call for the release of the Aigboje Aig-Imoukhuede report underscores the need for greater openness in addressing past corruption.
