Billionaire businessman Femi Otedola has denied allegations linking him to Nigeria’s fuel subsidy fraud, describing the claims as false, baseless, and malicious.
In a statement issued on X, Otedola said the publication authored by Umar Sani, a former Special Adviser on Media to ex-Vice President Namadi Sambo, was an attempt to twist facts, mislead the public, and damage his reputation.
He warned that he has instructed his lawyers to institute a ₦1 billion libel suit against Sani.
Zenon and Subsidy Fund Claims
Otedola clarified that his company, Zenon Petroleum and Gas Limited, never traded in Premium Motor Spirit (PMS) and therefore had no basis to make claims from the Petroleum Subsidy Fund.
He explained that Zenon was a leading diesel importer with more than 90 percent market share, and since diesel had been deregulated before the introduction of the PSF scheme, it did not qualify for subsidy claims.
He described the allegation as a deliberate misrepresentation of basic industry facts.
Role in Exposing Subsidy Fraud
The businessman further stated that he was the whistleblower who first exposed the irregularities in the subsidy scheme during former President Goodluck Jonathan’s administration.
According to him, he alerted the then president to the fraud, which was initially denied by the petroleum minister.
He subsequently reported the matter to Senator Bukola Saraki, who took it to the floor of the Senate, leading to investigations by the House of Representatives. Otedola questioned how he could be accused of complicity when he was instrumental in exposing the fraud.
Farouk Lawan Sting Operation
He also addressed the 2012 Farouk Lawan bribery case, stating that the money handed to the former lawmaker was part of a Department of State Security (DSS) sting operation.
He explained that the cash was marked and provided by the DSS, adding that Lawan was later convicted and sentenced to five years in prison. Otedola described attempts to twist the facts of the case as an act of ignorance and mischief.
AMCON Debt Settlement
On the matter of debts acquired by the Asset Management Corporation of Nigeria (AMCON), Otedola acknowledged his exposure during the 2008 global financial crisis but insisted that he settled his obligations by relinquishing assets worth hundreds of billions of naira under a court-approved process.
He said AMCON officials publicly commended his transparent approach, urging other debtors to emulate him. He also noted that he addressed the issue in his book Making It Big.
Call for Release of Aig-Imoukhuede Report
Otedola called on President Bola Ahmed Tinubu to release the full Aigboje Aig-Imoukhuede report on subsidy fraud, which he said would unmask the true perpetrators.
He accused Sani of attempting to rewrite history through propaganda and reaffirmed his commitment to truth and accountability.
He added that those who benefitted from the subsidy scam know themselves and that he would not allow his name to be dragged into falsehood.
₦1 Billion Libel Action Against Umar Sani
Because of what he described as deliberate lies and unfounded allegations, Otedola said his lawyers have been instructed to file a ₦1 billion libel suit against Sani.
He stressed that reputations should not be toyed with for cheap propaganda and vowed to pursue the case to its logical conclusion in court.
Social Media Reactions
Sani, in his reaction on X, announced that he would appear on Arise TV to respond to Otedola’s assertions.
He insisted that Nigerians should not fear approaching the courts, while dismissing comments from supporters of the businessman.
The exchange sparked widespread reactions on social media, with some users mocking Sani and others urging him to produce evidence to back his claims.