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EFCC Recovers N115bn, $84m In NDDC Levies As Senate Probes Oil Firms’ Debts
The Economic and Financial Crimes Commission (EFCC) has recovered more than N115 billion and $84 million in outstanding statutory levies owed the Niger Delta Development Commission (NDDC) by oil companies, as the Senate intensified its investigation into the findings of the 2021–2023 Nigeria Extractive Industries Transparency Initiative (NEITI) Oil and Gas Sector Audit Report.
The disclosure was made on Wednesday by the EFCC representative, Mr. Francis Oka-Phillips Usani, when he appeared before the Senate Committee on Public Accounts, chaired by Senator Ibrahim Hassan Dankwambo, which is probing alleged non-remittance of statutory obligations by oil companies and other entities in the extractive sector.
Usani told the committee that the EFCC investigated 43 oil companies following the NEITI findings and established that 24 companies operating in the Niger Delta had outstanding liabilities relating to the three per cent statutory levy payable to the NDDC.
According to him, the affected companies were indebted to the NDDC to the tune of N76.883 billion and $81.077 million, while the remaining 19 companies were cleared after the commission’s investigation.
He said, “At the commencement of investigation, EFCC invited 43 oil companies, out of which 24 operating within the Niger Delta were found to have outstanding liabilities in the sums of N76,883,705,907.17 and $81,076,655.00, while the remaining 19 other oil companies were given clean bill of health.”
Usani explained that following the investigation and pressure mounted by the anti-graft agency, some of the indebted companies paid their outstanding obligations directly to the NDDC.
He disclosed that the companies had so far paid N6.709 billion and $16.994 million directly to the commission.
The EFCC official further told the committee that, from the recoveries made by the commission on behalf of the NDDC, N73.373 billion and $67.070 million had been released to the development commission, while N3.510 billion and $14.005 million remained in the EFCC’s recovery account.
“Out of the sums so far recovered by the commission on behalf of NDDC, total sums of N73.373 billion and $67.070 million have been released to NDDC, leaving the balance of N3.510 billion and $14.005 million in the EFCC recovery account,” he said.
The development represents a major breakthrough in the Senate’s ongoing scrutiny of the financial obligations of oil companies, particularly the statutory levies expected to fund development interventions in the oil-producing Niger Delta region.
Explaining the scope of the EFCC investigation, Usani said the commission concentrated primarily on the unpaid three per cent statutory levy due to the NDDC as identified in the NEITI audit report.
He, however, said the commission was also conscious that the companies might have other outstanding statutory obligations and taxes payable to the Federal Government.
“The EFCC focused on one primary pillar identified in the NEITI report, which is unpaid three per cent statutory levies due to NDDC. However, we did not lose sight of the fact that there could be other unpaid statutory obligations and taxes due to the Federal Government,” he said.
The committee, meanwhile, rejected an attempt by TotalEnergies EP Nigeria Limited to respond to queries raised against the company in the NEITI audit report, citing inadequate representation at the investigative hearing.
The committee consequently directed the Managing Director of TotalEnergiesEP Nigeria Limited to appear personally before it at a date to be fixed next week.
Similarly, the committee gave what it described as a final opportunity to the Managing Directors of South Atlantic Petroleum Limited, Oando Oil Limited, Famfa Oil Limited and Green Energy International Limited to appear personally before the panel and respond to queries arising from the audit report.
The committee’s decision underscored its resolve to compel chief executives of companies implicated in the NEITI findings to personally account for their financial obligations rather than delegate representatives to the proceedings.
The Senate panel is examining the NEITI 2021–2023 Oil and Gas Sector Audit Report, particularly allegations of non-remittance and under-remittance of statutory payments by operators in the oil and gas industry.
The investigation is also expected to determine the extent of compliance by oil companies with their financial obligations to the NDDC and other government agencies, as well as identify possible revenue leakages in the sector.
At the end of Wednesday’s session, Dankwambo said the committee would continue its investigative hearing on Thursday, as the panel intensifies its scrutiny of the audit findings and seeks further explanations from affected companies and government agencies.
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