The Home of Representatives, on Wednesday, turned down the report of its Advert-hoc Committee that investigated the alleged irregularities and corruption within the acquisition of OVH Vitality Advertising and marketing by the Nigerian Nationwide Petroleum Firm Restricted (NNPCL).
The Hassan Abubakar Nalaraba-led committee’s report was discarded after it was debated at plenary on Tuesday as a result of recent proof, which emerged that the train was not correctly performed.
The Home was shocked to obtain paperwork written by a foreigner, Huub Stokeman, who’s the MD of NNPCL Retail and former MD of OVH, the corporate that was acquired by NNPCL, whereby he requested the Nigerian Midstream and Downstream Petroleum Regulatory Authority, NMDPRA, to resume the licence of the identical firm, even earlier than the acquisition.
The invention has thrown up a battle of curiosity state of affairs that has raised severe suspicion and requires lawmakers to learn the way an organization that was acquired two years in the past has not merged utterly whereas the MD of the acquired firm is now the MD of the NNPCL Retail that acquired them.
Additionally, the Home ordered that the whole acquisition transactions be totally reviewed with particulars and phrases of the acquisition settlement, the financials and valuation studies scrutinised to make sure that Nigeria was not shortchanged in any approach.
Consequently, the Home mandated its Standing Committee on Petroleum Assets (Downstream), chaired by Ikenga Imo Ugochinyere, to conduct a forensic investigation into the acquisition deal operating into a whole bunch of billions of Naira and report again for fast motion.
It is going to be recalled that the Home had in July final yr requested the NNPCL to droop the acquisition of OVH Vitality Advertising and marketing after deliberating on a movement by Miriam Onuoha and different lawmakers on the “want to research the irregularities and alleged corruption within the Nigerian vitality safety supplier, NNPC Retail Restricted and the acquisition of OVH Vitality Advertising and marketing”.
Onuoha had expressed concern that: “Earlier than the acquisition, OVH Vitality claimed to have about 380 company-owned stations, a jetty (ASPM) WITH240,000 MT, eight (8) LPG crops, three (3) lubricants mixing crops, three (3) aviation and gasoline depots and twelve (12) warehouses whereas they’d owned solely 72 stations as others have been leased or owned by third events, all 8 LPG crops have been leased, 12 lubricant warehouses listed have been leased.”
NNPCL had on October 1, 2022,
introduced the outright acquisition of OVH Vitality (OVH) and Apapa SPM Restricted (an affiliate of OVH Vitality) to strengthen its downstream enterprise portfolio, improve profitability and assure nationwide vitality safety.
The Home consequently constituted an Advert-hoc Committee with Nalaraba as chairman with the mandate to probe the alleged irregularities and corruption within the acquisition of OVH Vitality Advertising and marketing.
Whereas the Advert-hoc Committee was awaiting consideration of its report by the Home, a bunch often known as Nigeria Transparency Council (NTC) dragged the Mele Kyari-led NNPCL administration and NNPCL retail group to the Home Committee on Downstream over the alleged shoddy acquisition deal between the corporate, Nueoil and OVH Vitality, which is alleged to have value a whole bunch of billions of Naira as a result of alleged over bloated property with the merger of the acquired firm not but formalised.
In keeping with NTC, NNPCL GCEO, Mele Kyari, had instructed the Advert-hoc Committee that the acquisition of OVH Vitality was correctly finished and it gave the NNPCL over 30 per cent management of the downstream sector with a revenue of N18.4 billion within the first quarter of 2023, a place which has been disputed by trade gamers as not backed by any documentary proof.
It was just lately disclosed that the Nationwide oil firm paid money amounting to over $325.09 million (N140.559 billion) for the acquisition of Oando-branded retail stations and a reception jetty in Apapa, amongst different services.
Allegations are trailing the acquisition that a few of the acquired property don’t belong absolutely to OVH or licensed.
In a petition submitted to the Chairman of the Home Committee on Petroleum Assets Downstream, Ikenga Imo Ugochinyere, who represents Ideato Federal Constituency of Imo State, the group’s Secretary-Normal, Dr. Ayo Olubunmi, urged the lawmakers to convene a gathering of their committee to look into the acquisition settlement.
The group urged the Home to probe the property stated to have been purchased, “the promoters of the Nueoil and why Nueoil purchased OVH inside eight months of incorporation earlier than NNPCL purchased OVH from Nueoil inside weeks with some officers of Nueoil working as alleged officers of NNPCL”.
The group additionally urged the lawmakers to look into the proof of monetary transactions plus the valuation studies and the circumstances that led to the emergence of the official of the acquired firm as head of the state-owned oil firm arm (NNPCL Retails).
They lamented lack of correct investigation within the earlier probe and complained of non-observance of due course of within the investigation process as a result of the sooner panel didn’t examine the useful homeowners of the Nueoil and the emergence of Mr Stoks as NNPCL Retail MD.
The Home additionally seen that there have been many gray areas that wanted to be cleared to find out if the NNPCL breached any recognized regulation within the investigation.
The Home needs a dedication of the worth of the property acquired in view of proof that a few of the property acquired the place both bloated or don’t belong to the OVH firm as some the place alleged to be on lease.
