Capital Oil asked to refund N5b excess subsidy fund

The Federal Government has given the owner of Capital Oil, Ifeanyi Uba, 60 days within which to refund N5 billion to it as excess funds on the subsidy fund collected or face prosecution.

The Assets Management Corporation of Nigeria, which handed down the order to Uba, said that the refund was the excess subsidy fund Uba collected for the importation of kerosene.

Capital Oil got N22.4 billion out of the N1.6 trillion subsidy funds.

It was given about 75 per cent of the contract for the importation of kerosene.

But instead of selling the kerosene at the government-proposed price of N50, which was the basis for the subsidy funds, Capital Oil sold at prices far above that.

When this was discovered and the AMCON questioned Uba over this, he agreed to make a refund of N2 billion.

But he has been reneging since then.