Inside efcc report on corruption allegations against obasanjo – sundiatapost m gasbuddy


The fresh clash between the president and one of his predecessors was triggered when Mr Buhari, while receiving a delegation of the Buhari Support Organisation at the Presidential Villa on May 22, indirectly accused Mr Obasanjo of wasting $16 billion on power projects with nothing to show for it.

The report, signed by the then EFCC’s Director of Operations, Ibrahim Lamorde, addressed allegations of conspiracy, fraudulent conversion of funds, abuse of office, foreign exchange conversion and money laundering against the former president.

The petition also alleged that the hostels and sports complex at Mr Obasanjo’s Bells Secondary School and University were constructed by Strabag Construction Company with taxpayers’ money, adding that the total assets value of the university – including ongoing constructions at the time – stood at about ₦40 billion.

Other allegations against Mr Obasanjo include the “evidence” that he owned foreign accounts, including a Platinum Credit Card, with which he siphoned money and made purchases abroad; that a “₦6.5 billion proceeds” realised from the appeal fund for the construction of Mr Obasanjo’s Presidential Library were diverted to private use; and that Mr Obasanjo used his presidential powers to approve a licence to Obasanjo Farms, which was in “shambles” while he was in prison, to be sole importer of grant parent stock of chicken.

The petition also included allegations that the federal government under Mr Obasanjo exceeded its spending on Ministries, Departments, and Agencies by about ₦133 billion in the 2005 budget and that ₦521 billion was sunk into the now defunct Power Holding Company of Nigeria, and yet, Nigeria was in darkness.

The petitioners further alleged that the former president, while still in office, allegedly diverted official funds to buy about 200 million units of Transcorp shares; used state funds to pursue his ‘Third term’ agenda; and spent about ₦300 billion on construction and maintenance of Nigeria’s roads, yet, “there are still no good roads.”

On the issue of crude oil sales and fraud in the Petroleum Ministry, Mr Obasanjo said the Group Managing Director of the Nigerian National Petroleum Corporation, and the Minister of State for Petroleum, were fully responsible and should be contacted for more information.

“That by 1998 two additional blocks of hostels were added, again one each for both and girls. Investigations revealed that these blocks of hostels were built by direct labour contrary to the claims in the petition that it was built by Strabag Construction Company Limited,” the report said.

“All documents pertaining to importations, bank statements, payments and supplies made by Ministry of Defence were scrutinised and nowhere did it show that any benefit accrued to any individual or group associated or in any way linked to Chief Olusegun Obasanjo,” stated the report.

On the various contracts awarded by the NNPC and the Petroleum Ministry, the investigators also found that contracts valued at over $300 billion and ₦500, awarded to over 20 different companies, were neither directly nor indirectly linked to Mr Obasanjo.

The report’s findings on the Presidential Library showed that its fundraising launch on May 14, 2007, realised ₦3.5 billion and $250,000. Of that sum, ₦1.3 billion was paid to the project contractor, Messrs Gitto Construction Company of Nigeria, as well as the sub-contractors and the project consultants.

On May 26, 1999, three days before he was sworn in as President, Mr Obasanjo entered into a Trust Agreement with Lucky Egede, a lawyer, and Daniel Atsu, whose both addresses were situated at Obasanjo Farms Nigeria Limited, Ota, Ogun State to handle the affairs of the entire farm, according to the report.

The EFCC further stated that between 1999 and 2007, the PHCN received over ₦273.65 billion and not ₦521 billion and that the appropriation was for its day to day activities, including generation of electricity, transmission, and distribution.