Reps threaten DPR director with arrest over N6trn revenue leakages

AHouse of Representatives adhoc panel yesterday threatened to issue an arrest warrant on the Director of the Department of Petroleum Resources, Mordecai Ladan, for failing to appear before it to clear the air on alleged revenue losses to the tune of N6 trillion.

The panel, chaired by Jarigbe Agom Jarigbe (PDP, C/River) alleged that it was the nonchalant attitude of DPR that led to the revenue losses and that the director has been avoiding appearing before the panel to explain how it all happened.

The lawmakers gave Ladan 24 hours to appear before it on the matter, failure of which would make them to issue an arrest warrant.

They accused the Ladanled DPR of conniving with some companies to sabotage government's efforts at generating more revenues.

For example, the panel said, DPR facilitated the renewal of the operating license of Neconde Energy Limited though the company owed government $471 million being proceeds of a joint venture operation of Oil Mining Lease (OML) 42.

They said the same company is yet to pay DPR royalty of about $34m, yet the agency found it convenient to facilitate re-issuance of licence to the company.

But the Chief Executive Officer (CEO) of Neconde, Frank Edozie, said the $471m the company was alleged not to have remitted could only be ascertained after an audit and that the debt was between the firm and the Nigerian Petroleum Development Company (NPDC).

But the lawmakers disagreed with him, saying NPDC is a company owned by the Nigerian government and that whatever belonged to it is for the government.

NPDC boss, Yusuf Matashi, had told the panel that Neconde was yet to settle a joint venture outstanding of $471 million.

He said the amount was part of NPDC's 55 percent equity share in the joint venture operations of OML42, while Neconde has a share of 45 percent acquired in 2012.

The panel's session where the DPR director, Ladan, is expected to appear, continues today.