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Jonathan Approved N 176 billion Payment for ex-Convict former Minister

By on May 22, 2012

Shortly after his victory at the polls in 2011 and subsequently being sworn in as Commander-in-chief, Mr. President approved the sum of N 176 billion ($ 1.1 billion) to be transferred to Malabu Oil under controversial circumstances.

Malabu Oil is owned by Dan Etete, former Minister of Petroleum Resources under the Abacha regime. During his tenure as Minister, Etete awarded an Oil Block known as OPL 245 to his own company- Malabu Oil.

President Obasanjo reversed the award in 2001 during his first tenure as President and re-awarded the oil block to Shell. This caused Dan Etete and Malabu to enter into a prolonged legal battle until President Obasanjo reversed his earlier decision and gave the oil block back to Etete.
Shell then took all the parties to an arbitration panel in Washington DC where an agreement was reached in the Spring of 2011.

The agreement called for the Federal Government to pay $ 1.1 billion to Malabu in settlement, and in a related agreement Shell agreed to pay $1.1 billion to the Federal Government. Analysts are of the opinion that basically Shell agreed to settle Malabu with the Federal Government acting as a conduit for the deal.

In 2007, Dan Etete was convicted of money laundering in France and sentenced to 3 years imprisonment and made to pay a fine of $ 10.5 million.

The French government prosecuted Mr. Etete for using € 10.5 million dubbed “funds obtained fraudulently” to purchase luxurious homes in Paris.

Etete is also suspected to be a major recipient of the Halliburton $ 180 million bribery slush fund to secure liquefied natural gas projects in Bonny.

Critics of the Jonathan administration’s fight against corruption are not surprised that the President is rewarding obviously corrupt individuals who have contributed to the decay in society through distorted greed.

 

4 Comments

  1. Anonymous

    May 22, 2012 at 8:29 am

    Mr. President has to read the above and react through his media chief, Dr. Rueben Abati. The mail could be posted on the wall of Mr. President and/or Reuben Abati. Keep us posted on developments please.

  2. Vincent Ejeneha

    May 22, 2012 at 9:01 am

    The conviction of Dan Etete has nothing to do with the payment Prsident Jonathan made. From your own story, this agreement was made even when OBJ was in power and besides, shell is the one paying the money. So are you shouting about? You are just discrediting the name of the President with your misleading headline period.

  3. Diagbon4real

    May 22, 2012 at 4:35 pm

    I think this writer is being used by the enemies of Mr. President and he should be careful of how u goes about writing rubish about people of Mr. President Calibers. He need to be checked by the Editors of this Newspapers.

  4. Umar Dantata

    May 22, 2012 at 5:23 pm

    FYI Shell has even denied knowledge that Mr. President forwarded the money to Etete.

    Mr. Presido should not be honouring illegitimate transactions that have to do with arbitrarily handing out oil block to executive government cronies at the peril of the people.

    Why should Etete have tens and tens of billions to spend because he was a one time oil minister. Or what clearer definition of a corrupt government official do u need.

    As usual we need the Europeans to do our dirty work and they did since the FRench convicted him, TWICE.

    International Thief Theif. Mortgaging our future in Washington DC. 

    Bloody rogues