16th September, 2013
Jailed former Nigerian Delta state governor, James Onanefe Ibori, hid some of his assets in the oil firm Oando and money passed from the company’s accounts to Ibori’s Swiss accounts, a British prosecutor told a court on Monday.
Ibori, who governed Delta State from 1999 to 2007 and influenced national politics, was jailed for 13 years in Britain after pleading guilty in February 2012 to 10 counts of fraud and money-laundering worth 50 million pounds ($79 million).
One of the biggest embezzlement cases seen in Britain, the successful prosecution of Ibori was also a rare example of a senior Nigerian politician being held to account for the corruption that blights Africa’s most populous country.
A three-week confiscation hearing began at London’s Southwark Crown Court on Monday during which prosecutors will present evidence of Ibori’s assets and seek court orders to have them seized. Defense lawyers will dispute the prosecution case, reported Reuters.
Prosecutor Sasha Wass told the court she would be presenting evidence that Ibori had “asserted ownership of a large part” of Oando, Nigeria’s biggest home-grown oil firm which is listed in Lagos, Johannesburg and Toronto.
“The Crown will assert that Oando is a company where James Ibori has hidden assets,” Wass said, giving no further details.
The matter was raised briefly as part of an initial discussion of various aspects of the confiscation hearing. Details are expected to be disclosed later in the proceedings.
Oando is not a party to the case, although a British lawyer was in court representing the company’s interests.
At the time of Ibori’s sentencing in April 2012, Judge Anthony Pitts said the 50 million pounds that he had admitted to stealing may be a “ludicrously low” fraction of his total booty, which could be more than 200 million pounds.
The confiscation hearing will shed further light on the scale of Ibori’s wealth and determine whether he emerges from jail impoverished or still in possession of a large enough fortune to regain a position of influence in Nigeria.
Ibori could be released as early as 2016 because he spent two years in custody before his sentencing and because he will be eligible for parole halfway through his prison term.
He was not in court on Monday and his lawyer Ivan Krolick said Ibori did not wish to attend the confiscation hearing although he would come to court to give evidence if necessary.
In May, the Court of Appeal had rejected Ibori’s appeal against the length of his sentence.
During his sentencing hearing, the court heard Ibori had acquired six foreign properties worth 6.9 million pounds, a fleet of luxury cars including a Bentley and a Maybach 62, and that he had tried to buy a $20-million private jet. His three daughters were attending a private school in rural England.
British authorities hope Ibori’s case may stop corrupt Nigerian politicians looking to Britain, Nigeria’s former colonial ruler, as a place to spend money on houses, luxury goods or private education for their children. .
OANDO’s response:
Management of the oil firm, Oando Plc, on Monday debunked a media report that former Delta State Governor, James Ibori, is a significant shareholder in the company.
A statement by the company noted that the story carried by Reuters, “Is incorrect and misleading,” stressing that as a company whose shares are traded on the Nigerian and Johannesburg Stock Exchanges, it “does not and cannot control the trading in its securities on the floor of the respective exchanges.”
“Based on our current shareholding register, Mr. James Ibori’s shareholding stands at 443 shares out of a total issued and paid up share capital of 6.8 billion ordinary shares, which is clearly insignificant, and cannot be considered as ‘a large part of Oando’,” the statement added.
The integrated energy company, however, accepted “that sometime in 2004, in the normal course of its business, it sold some of its foreign exchange earnings for naira and the recipient of the US dollars was a company which has now turned out to be one controlled by James Ibori.
“At the time of the transaction, this information was unknown to Oando. The total amount was US$2.7 million made in three separate transactions over a period of about seven months.”
The amount, the company reiterated, was insignificant considering the company’s turnover of approximately US$800 million in 2004, and that the transaction “constitutes the only transactions between Oando and any company controlled by Mr. Ibori.”
“Consequently, Oando cannot be described as a company where James Ibori has hidden assets as a result of these foreign exchange transactions.”