Time to Address the Halliburton Scandal
While the interrogation of the five senior lawyers involved in the negotiations in the plea bargain with the companies fingered in the Halliburton bribery scandal by the Economic and Financial Crimes Commission is still ongoing, Davidson Iriekpen reckons
It is no longer news that the Economic and Financial Crimes Commission (EFCC) has spent the last one month investigating and interrogating the five senior lawyers involved in the negotiation of the plea bargain with the companies fingered in the Halliburton bribery scandal to ascertain whether they committed any offence or not. Also being investigated is the former Attorney General of the Federation and Minister of Justice, Mr. Mohammed Bello Adoke, who put together the team.
After drilling one of the lawyers, Mr. Damian Dodo (SAN) penultimate week to ascertain the whereabouts of the $200 million in fines paid by the five companies involved in the bribery scandal, last week Tuesday was the turn of Mr. Godwin Obla (SAN) at the commission where he spent almost the whole day answering several questions.
He was said to have been invited for allegedly coordinating the settlement terms and agreement with Siemens, one of the companies involved in the scandal.
Other companies involved in the bribery scandal were: Halliburton; Siemens AG; TSKJ, Technip of France: Snamprogetti of Italy; Kellog, Brown and Roots of the U.S; Japan Gas Corporation (JGC); and construction giant, Julius Berger, which was accused of acting as a conduit for the illegal transfer of $5 million to an alleged beneficiary.
Apart from Dodo and Obla, other lawyers involved in the deal are the then President of the Nigerian Bar Association (NBA), Mr. Joseph Daudu (SAN), Mr. E.C. Ukala (SAN) and Roland Ewubare.
The interrogation of the lawyers was sequel to the threat by the federal government to unveil and punish all those involved in the Halliburton fraud, which made international headlines. Nigeria was said to have lost millions of dollars to corrupt officials in the high-wire financial scandal, in which other key players from several countries had been sentenced to various jail terms and made to pay various sums of fines to their governments.
While those involved in the scandal from foreign countries had since been punished by their respective governments, the beneficiaries from Nigeria are yet to be fished out and sanctioned. But recently, after the Attorney General of the Federation and Minister of Justice, Mr. Abubakar Malami (SAN) indicated that the Halliburton scandal had not been closed, the federal government moved to unveil and punish the suspects.
As a starting point, the EFCC was said to have quizzed Dodo for his role in the deal. Sources close to the commission disclosed that Dodo was questioned for his role in the alleged $26 million bribery allegation against Adoke and four other senior advocates. Specifically, Dodo was alleged to have received $4.5 million through his firm, DD Dodo and Co. from the multinational firms involved in the Halliburton bribery scandal under the cover of legal fees.
He was also alleged to have withdrawn over $2million cash, for purposes that EFCC described as unclear and in flagrant violation of extant money laundering regulations.
While many were thinking that Dodo was in deep trouble, he last week shed more light on the case when he said rather than being vilified, the team ought to be commended for their patriotic roles in recovering $200 million for the federal government for which some of them were conferred with national honours.
He added that what his team of lawyers got from the deal was only payments for their legal services and nothing more. The senior lawyer said the five lawyers were duly engaged by the federal government to handle the case and bring culprits to book, having been indicted by their respective home countries in the bribery scandal.
In his defence to the EFCC, a copy of which was obtained by THISDAY, Dodo said it was the companies that opted for payments of heavy fines in order to escape prosecution in Nigeria. He cited the example of Julius Berger, which opted to pay a fine of $35 million to Nigeria to avoid prosecution.
In the statement to EFCC, Dodo said: “In all, the professional fees and costs due the legal team as received by the trio of Daudu, Obla and Dodo were disbursed to members of the legal team as directed by their leader, Daudu.
It is worth pointing out that relevant agencies of government were involved in the settlement agreements, including the offices of the National Security Adviser (NSA) and the EFCC. The Secretary of the EFCC, Mr. Emmanuel Akomaye, witnessed three of the agreements, namely, Snamprogetti, Halliburton and Japan Gasoline Corporation on behalf of the federal government.”
Quoting clause six of the agreement reached with Japan Gasoline Corporation, Dodo, said: “The federal government of Nigeria confirms that the reimbursement of the government legal costs to the designated counsel in terms of the agreement is lawful under the Nigerian laws and regulations, and the government counsel has confirmed to the Federal Government of Nigeria that no proceeds of such reimbursement will be provided to any government officials.
“Upon assumption of office as Acting President in 2010, former President Goodluck Jonathan instructed the investigation of the entities involved in the making and receipt of illegal payments based on the request of the US government in particular and the international community in general. The then National Security Adviser (NSA), General Aliyu Gusau (rtd), anchored the investigation effort whilst the operational and procedural initiatives were tasked to the Office of the Attorney General of the Federation and the EFCC.
“The Attorney General constituted a strong and diverse legal team led overall by the then President of the NBA, Daudu. Given the urgency of the effort and the scope of work to be done, an initial question arose as to the mechanics of payment of legal fees to the lawyers instructed to handle these cases. The Attorney General indicated that he had no budget for legal fees for the matter.”
The senior lawyer reiterated the team was constituted by Adoke, and given the urgency of the effort and the scope of work to be done, an initial question arose as to the modalities of payment of legal fees to the lawyers instructed to handle these cases. He revealed that when they approached Adoke for funds, he told them that he had no budget for legal fees for the matter.
At this point, he said, after considerable discussions by the team, it was agreed that the fees and reasonable costs of counsel be paid by the accused entities as part of any settlement package.
On how the lawyers arrived at the legal fee of 10 per cent, he noted that they simply followed the precedence for such fees that had already existed with instructions given by former AGF, Chief Bayo Ojo (SAN) to the lawyers involved in the prosecution of the Pfizer criminal defendants.
Under the Pfizer case, which was prosecuted, the current Vice President, Professor Yemi Osinbajo (SAN), was the lead counsel and principal partner of the Simmons Coopers law firm, which initiated the fee mechanism in Nigeria. The fees of the counsel were paid by Pfizer Corporation as part of the settlement with the Kano State Government on the one hand and the federal government on the other.
To many analysts, it is very surprising to see that the EFCC would leave the real culprits in the Halliburton scandal and go after the lawyers, who assisted the federal government recover about $200 million. Many are therefore wondering what the job of a typical lawyer is if not to take or receive payment for work done, which is what the lawyers in the Halliburton case did.
To many analysts, it is very surprising to see that the EFCC would leave the real culprits in the Halliburton scandal and go after the lawyers, who assisted the federal government recover about $200 million. Many are therefore wondering what the job of a typical lawyer is if not to take or receive payment for work done, which is what the lawyers in the Halliburton case did