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Integrated Oil Debunks Fuel Subsidy Report’s N13.2 Billion Claim

By on April 24, 2012

Integrated Oil, Chaired by former Minister of the Interior Captain Emmanuel Iheanacho, has debunked the allegations contained in the report on the fuel subsidy which state it is liable to the tune of N 13.2 billion for over-payments it received from the Subsidy account.

The legal team of the company released the following statement:

“Our client’s attention has been drawn to the House of Representatives Ad-Hoc Committee Report “to verify and determine the actual subsidy requirements and monitor the implementation of the subsidy regime in Nigeria”, which in page 169 recommended that Integrated Oil and Gas Services refund the sum of N13, 252,055,429.

“The refunds have apparently been ordered on the basis that the company may have drawn refunds from the fuel subsidy programme, over and above that which it is entitled. We have found no basis upon which the very serious allegations of subsidy overpayment can be anchored.

“Our client completely and totally repudiates and denies any allegations of wrongdoing in relation to the Petroleum subsidy reimbursements as they have always operated their oil trading business, in an honest, transparent and open manner.

“There is no evidence that the company owes any refunds at all to be made to the government,not to talk about the ‘imaginary’ N13 billion so glibly reproduced in the context of the offending House of Reps Committee report.

“Integrated Oil and Gas Ltd remains unequivocal in its assertion that it has not drawn any benefits from the subsidy regime other than the payment refunds which are legitimately due to it and such payments were invariably made on account of monies which it had spent upfront on account of gasoline imports procured under the PPPRA’s PSF programme.

“In giving evidence at the House of Representative sponsored Public hearing, the company attended the legislative enquiry with full co­operation, openly and publicly addressing any issue of interest to the Honorable Committee including a rendition of the full accounting for the volume and value of gasoline cargoes imported as well as the related cost reimbursements received from the PPPRA.

“At no time during the course of the company’s testimony or thereafter was the impression given that there was any discrepancy nor contradiction in relation to the presentation made or in relation to a requirement to reconcile the figures which it had presented.

“Our client still has records which are open to review at any time by any interested and or competent authority.”

“Regarding the specific allegation of overpayment of subsidies to the value of N13billion to Integrated Oil and Gas, in respect to which the company has been required to make a refund to the government, this assertion is nothing short of a subscription to pure fiction and fallacy by the Ad Hoc Committee