$1.6b fraud: Omokore’s trial begins

The trial of Jide Omokore and five others took a definite shape on Wednesday as a prosecution witness, Yusuf Matashe, told the court how his companies – Atlantic Energy Drilling Concept and Energy Brass Development Limited – flouted all sections of the agreement with the Nigerian National Petroleum Corporation.
Omokore is facing trial over $1.6 billion fraud alongside Victor Briggs, Abiye Membere, David Mbanefo, Atlantic Energy Brass Development Limited and Atlantic Energy Drilling Concepts Limited.
They are standing trial on a nine-count amended charge of criminal diversion of about $1.6 billion alleged to be proceeds of petroleum products belonging to the Federal Government.
Lead in evidence by Chief Prosecutor, Rotimi Jacobs, Matashe said the companies did not not follow the agreement reached with the NNPC before they were allowed to lift crude oil.
Matashe, who is the General Manager of Nigerian Petroleum Development Company , a subsidiary of the NNPC, responding to a question, said Atlantic Energy Drilling Concept Limited did not meet the requirements before they were allowed to continue with the terms of agreement.
He said in December 2012, NNPC entered into an agreement with the two companies to enhance productivity of the NPDC.
He said: “The objective of the agreement was to guanrantee that NPDC meets its strategic profile to increase volume of production.
“It was the intention of the agreement for partner to provide funding for NPDC, provide technical expertise and other conditions.”
Matashe further stated that the companies were supposed to pay entry fee of $133 million within 70 days of signing the agreement.
Also, according to Matashe, the partner was to pay $335 million yearly for a period of five years for technical training.
Matashe said none of the conditions, among others, were meant before the companies could carry out business with NNPC
“No record that such payments were made,” he said.
He tendered a memo, which he said he sent to the companies of their obligations to the NNPC, but were ignored.
Yet, the companies were allowed to continue with lifting of crude oil, he said.