Court Orders Forfeiture of N30.7m in NNPC-Linked Fraud Investigation
A Federal High Court in Abuja has authorised the interim forfeiture of N30.7 million allegedly connected to fraudulent activities involving officials of the Nigerian National Petroleum Company Limited (NNPCL), marking another development in Nigeria's ongoing efforts to combat corruption in the oil sector.
Justice Emeka Nwite granted the order following an ex parte application by Nigeria's Economic and Financial Crimes Commission (EFCC), ruling that the agency had demonstrated sufficient grounds to temporarily seize the funds on behalf of the Federal Government. The court has directed that any interested parties must come forward within 14 days to contest the permanent confiscation of the money.
Background and Context
The case emerged from an investigation triggered by a transaction ledger submitted by a Bureau de Change operator, Yakubu, which revealed extensive money transfer activities. Analysis of these records allegedly showed more than N4 billion had been moved to various individuals and corporate accounts based on instructions from Ibrahim Sani, identified as a staff member of the Federal Inland Revenue Service (FIRS). The N30.7 million now subject to forfeiture represents a portion of these funds that remained in Yakubu's possession.
Key Figures and Entities
Court documents identify the Bureau de Change operator Yakubu as the custodian of the disputed funds, while Ibrahim Sani, a FIRS employee, allegedly directed the transfer operations. Both individuals have disclaimed ownership of the N30.7 million in question. The EFCC, which led the investigation, has maintained that the money constitutes proceeds of unlawful activities, though neither party has confirmed the origin of the funds during questioning.
Legal and Financial Mechanisms
The forfeiture order operates under Nigeria's Advance Fee Fraud and Other Fraud Related Offences Act, 2006, which provides the legal framework for asset recovery in cases involving suspected criminal proceeds. According to court records, Sani voluntarily provided a statement to investigators on September 15, 2025, admitting to using the BDC operator to channel funds to various beneficiaries. Sani explained that he routinely deposited large sums of foreign currency with Yakubu, who then transferred the naira equivalent to specified accounts. However, investigators noted that Sani neither confirmed nor verified the origin of these funds.
International Implications and Policy Response
The case highlights ongoing challenges in Nigeria's anti-corruption efforts, particularly within the petroleum sector, which has historically been vulnerable to financial misconduct. The use of Bureau de Change operators as intermediaries in large-scale financial transactions raises questions about regulatory oversight in Nigeria's foreign exchange market. The EFCC's pursuit of this case demonstrates continued enforcement of asset recovery measures, though the final outcome will depend on whether any parties successfully challenge the forfeiture during the 14-day window.
Sources
This report is based on court filings from the Federal High Court in Abuja, statements from Nigeria's Economic and Financial Crimes Commission (EFCC), and court proceedings related to the Advance Fee Fraud and Other Fraud Related Offences Act, 2006.
