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Economic and Financial Crimes Commission Investigates Stella Oduah Over N9.4B Fraud

February 27, 2018

The Economic and Financial Crimes Commission (EFCC) has commenced investigation of a former minister of Aviation, Mrs Stella Oduah, over her involvement in the N9.4 billion contract for supply of security equipment to 22 airports across the nation.

Oduah, now a Senator, was interrogated at the Abuja office of EFCC on Monday over allegations made by a United States based firm, Psybernetix Limited, that she hijacked a contract meant for the firm for a company she had interest in.

A source from the agency said the former minister finally responded to the commission’s invitation on the verge of being declared wanted.

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EFCC had invited the former minister since June 2017, but she never honored the invitation.

Mrs Oduah was also questioned for allegedly failing to execute projects which funds were allocated for in some airports across the country as former minister of aviation.

The agency source said she will be re-invited for further interrogations.

The US based firm that alleged it was awarded the contract said it was taken off the project and same awarded to I-Sec Security Nigeria Limited without express approval from former President Goodluck Ebele Jonathan.

In Psybernetix Limited status report, the firm claimed it was awarded the contract by the president but could not pull through because of the some demands made of them that was considered extortionate.

The company claimed that despite the huge amount of money it had spent to source for the contract, it had to let go because of the “outrageous” demands of the former aviation minister.

“We still have the original award letters, but we had to walk away from the projects two days to the full (100 %) disbursement of the contract value, as approved by the President in writing, because of the outrageous, brazen, extortionate, and criminal demands made.

“The question that should interest all serious-minded people should be: Why did Psybernetix that had spent a lot of money and time chasing these two contracts reject the contracts two days before the full payment for the first contract (N9.4 billion) was to be made?

“We wasted a year and a lot of money chasing these opportunities, but our principles dictated that we should not accept Ms. Oduah’s demands.

“One of her principal demands was to engage a newly-incorporated company with zero experience in Security, Program Management, Project Management, or Global Logistics, as our technical partners. On what basis really? What impudence?

“ She also wanted us to issue post-dated cheques totaling several billions of Naira in favor of this her preferred company (I-Sec Ltd, as well as Zuren Ltd), front companies belonging to her friend and business partner, Walter Wagbotsama.

“This man has just been jailed in the UK for international money laundering and fraud. His associates are still in Nigeria, and we know them all. We know her bankers and all their modus operandi. These details have been shared with our Attorneys in the US and Nigeria, as well as certain law enforcement agencies in the US.

“We refused outright to have anything to do with Stella Oduah’s companies, especially I-Sec (a company that was hastily incorporated to perpetrate this fraud).

“This company had zero Security, Program Management, Project Management, or Global Project Execution experience, so, on what basis would a company of our stature and reputation engage them as our technical partners?

“It will be appropriate to see the so-called (obviously forged) document(s) purporting to reflect this so-called technical partnership. We can easily provide our standard letterhead and specimen signatures as well as our standard Technical Partnership Agreement, for easy comparison, if required.

“Can Stella Oduah and her cohorts please provide the documents evidencing the approvals and contract awards to I-Sec? We have ALL our documents, and there is zero mention of I-Sec on any of them.

“ It is offensive and preposterous for Stella Oduah to claim that we rejected the contracts because the contract value was reduced from N10 billion to N9.4 billion. This is silly, false.

“The contract value was never N10b. We rejected the contracts because we rejected her demands and conditions. We refused to stain our reputation by acceding to her requests, including writing cheques totaling several billions of Naira upfront in favor of her front companies, including I-Sec.

“When we rejected the contracts, she altered and forged documents, and unilaterally awarded the contracts to I-Sec Ltd; this was her preferred position ab initio.

“Can Stella Oduah provide documents to show that the President, FEC, BPE, etc., approved the formal transfer of the contract to I-Sec? She cannot, because no such approvals were sought or obtained.

“She arbitrarily and fraudulently converted our rights under the contracts to her front company, I-Sec Ltd., on the false, criminal, and wicked representation that they were our Technical Partners.

Topics
Corruption