The Economic and Financial Crimes Commission may extend its investigation into oil companies beyond unpaid levies to the Niger Delta Development Commission, as the anti-graft agency told the Senate that other statutory obligations and taxes owed to the Federal Government could also be uncovered.
The disclosure was made on Wednesday when the EFCC appeared before the Senate Public Accounts Committee, chaired by Senator Ibrahim Dankwambo, during the ongoing investigation into issues raised in the 2021–2023 Nigeria Extractive Industries Transparency Initiative Oil and Gas Industry Audit Reports.
Representing the EFCC, Francis Usani said the commission had investigated 43 oil companies following queries raised in the NEITI reports, with 24 companies operating in the Niger Delta found to have outstanding liabilities relating to the statutory three per cent levy payable to the NDDC.
According to him, the 24 companies were initially found to owe N76.88bn and $81.08m, while 19 other companies were cleared following the investigation.
Usani, however, told the lawmakers that the EFCC’s focus on the NDDC levy did not mean other unpaid obligations had been ruled out.
“The EFCC focused on one primary pillar identified in the NEITI report, i.e., unpaid three per cent statutory levies due to NDDC, but 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 disclosure raises the possibility of a broader financial investigation into the oil and gas sector, particularly companies whose statutory payments may not have been fully remitted to government agencies.
The EFCC said its intervention had already resulted in payments by some of the affected companies, with N6.71bn and $16.99m paid directly to the NDDC.
The commission also disclosed that N73.37bn and $67.07m recovered on behalf of the NDDC had been released to the commission, while N3.51bn and $14.01m remained in the EFCC’s recovery account.
The development followed the Senate committee’s examination of revenue discrepancies and outstanding liabilities identified in the NEITI audits, which cover transactions and payments involving companies operating in Nigeria’s extractive sector.
The NEITI reports are designed to promote transparency in the oil and gas industry by examining production, revenue payments and financial transactions between extractive companies and government institutions.
The latest EFCC disclosure suggests that the Senate probe could move beyond the three per cent NDDC levy if further evidence emerges of unpaid taxes or other statutory obligations.
Meanwhile, the Senate committee has intensified pressure on oil companies named in the NEITI reports to personally account for outstanding queries.
The committee rejected a request by TotalEnergies EP Nigeria Limited for a representative to appear on behalf of its management and directed the company’s Managing Director to appear before the panel next week.
It also issued 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 committee.
The committee’s action came amid concerns over the adequacy of responses provided by some oil companies to financial queries contained in the NEITI audit reports.
Dankwambo said the committee would continue its investigation until it obtained satisfactory explanations on the issues raised in the reports.
The Senate panel is expected to continue its investigative hearing on Thursday, with more oil companies and relevant government agencies likely to appear before the committee.
The outcome could determine whether additional recovery measures, summonses or enforcement actions will be pursued against companies found to have failed to meet their statutory financial obligations.
