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Otedola Denies Link to Subsidy Fraud, Files ₦1 Bln Libel Suit
Nigerian billionaire Femi Otedola has denied allegations linking him to the country’s controversial fuel subsidy scheme, saying his company never traded in products eligible for subsidy claims.
Otedola, chairman of Geregu Power Plc and founder of Zenon Petroleum and Gas Limited, was responding to a publication by Umar Sani, former media aide to ex-Vice President Namadi Sambo, which he described as “false, baseless, and malicious.”
He said Zenon only imported diesel, which was deregulated and not covered under the Petroleum Subsidy Fund (PSF), dismissing claims that the company benefited from the scheme.
“Diesel was deregulated long before the PSF. How then can Zenon be accused of benefiting from it?” he said in a statement.
Otedola added that he was the whistleblower who first alerted then-President Goodluck Jonathan to abuses in the subsidy regime, which triggered parliamentary probes. He recalled working with the Department of State Security (DSS) on a sting operation against Farouk Lawan, the former House committee chairman later convicted for bribery.
“To twist that documented operation into an indictment against me is laughable,” he said.
The businessman also urged President Bola Tinubu to release the full Aigboje Aig-Imoukhuede report on subsidy fraud to “expose the real culprits.”
On claims of misconduct in dealings with the Asset Management Corporation of Nigeria (AMCON), Otedola said he had fully settled his obligations after the 2008 global financial crisis, noting that AMCON publicly commended his compliance.
Citing reputational damage, Otedola said he has instructed his lawyers to file a ₦1 billion libel suit against Sani.
“I have nothing to hide and will go to every extent to protect my name,” he added.
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