EFCC retrieves N4.4bn diesel from Lagos oil company

The Economic and Financial Crimes Commission (EFCC) has recovered 2.3 million litres of diesel, also called Automotive Gas Oil (AGO), valued at N4.485 billion. This diesel was allegedly converted at an oil depot in Lagos.

In a statement shared with PREMIUM TIMES on Tuesday, EFCC spokesperson Dele Oyewale said the recovery took place on Monday. It was done by the commission’s Lagos Zonal Directorate 1. The action was part of an investigation into an alleged stealing and criminal conversion case involving Ibafon Oil and Gas and its owner, Mamemo Ibru.

The EFCC said the investigation started after a petition from Prudent Energy and Services Limited. The company claimed it had trusted Ibafon Oil and Gas to store its petroleum products.

According to EFCC, Prudent Energy reported that the products were being withdrawn regularly. This led to a growing shortage in their stock. The company’s remaining balance was eventually found to be 2,574,031 litres, the commission revealed.

But during a physical check and count of the products, only 206,761 litres were found in the storage tanks. This check showed a shortfall of 2,367,270 litres, according to the EFCC.

The commission explained that their investigation found Ibafon Oil and Gas buys and sells diesel. They also store petroleum products for their customers at their depot. The commission alleged that Mr Ibru, using his position as the owner, arranged for products to be taken out beyond what belonged to Ibafon Oil and Gas.

The EFCC said the products allegedly belonged to Prudent Energy and were used by Mr Ibru. After the EFCC got involved, Mr Ibru returned the recovered products to Prudent Energy, as stated by the EFCC.

"Following the Commission’s intervention, the suspect handed over the recovered products to the petitioner, Prudent Energy and Services Limited," Mr Oyewale said.

The EFCC has not shared any information on whether Mr Ibru has been arrested or taken to court. This recovery happens while the EFCC continues to prosecute suspects in cases related to petroleum product deals.