The Federal Government has dragged oil and gas services company, Saipem Contracting Nigeria Limited, and two of its directors before the Federal High Court in Lagos over an alleged tax fraud involving more than N66.4 billion and $938,080.
The company, alongside its directors, Michele Poggi and Giani Di Petro, is facing a six-count criminal charge filed by the Federal Inland Revenue Service over alleged tax-related offences said to have been committed between 2014 and 2019.
The case, marked FHC/L/118c/2026, is before Justice Daniel Osiagor of the Federal High Court, Lagos.
According to the prosecution, the defendants allegedly failed to deduct, declare and remit several categories of taxes due to the Federal Government while carrying out business operations in Nigeria during the six-year assessment period.
The taxes allegedly involved include Companies Income Tax, Tertiary Education Tax, Capital Gains Tax, Withholding Tax, Value Added Tax, Stamp Duties and the Nigerian Police Trust Fund levy.
The prosecutor, Barrister Moses Ideho, told the court that investigations into the company’s tax compliance records uncovered alleged liabilities amounting to N66,408,158,989.49 and $938,080.15.
The Federal Government further accused the defendants of allegedly submitting false tax returns and understating the company’s taxable income and profits in order to reduce its tax obligations.
According to the charge, the alleged offences contravene provisions of the Federal Inland Revenue Service (Establishment) Act 2007 and the Companies Income Tax Act.
At Friday’s proceedings, none of the defendants appeared in court. However, they were represented by a legal team led by Senior Advocate of Nigeria, B.A. Sodipo.
Defence counsel informed the court that the defendants had filed a Notice of Preliminary Objection challenging the suit.
The prosecution said it was only served with the application on Thursday and requested time to respond.
Following submissions from both parties, Justice Osiagor adjourned the matter until June 29 for hearing of the preliminary objection.
In one of the counts, the Federal Government alleged that the defendants knowingly filed tax returns containing false statements and inaccurate representations regarding the company’s profits and taxable income.
The prosecution also alleged that the company and its directors wilfully failed to pay assessed taxes despite being lawfully required to do so under Nigerian tax laws.