MILAN,(Reuters) - Italian prosecutors investigating state-backed firm Eni SpA over the purchase of a Nigerian oil field three years ago allege that at least half of the $1.1 billion paid was used to bribe local politicians, intermediaries and others, according to official documents and a person close to the investigation.

The Milan prosecutors have placed the Italian oil company, its former chief executive Paolo Scaroni and current CEO Claudio Descalzi under investigation for alleged international corruption surrounding the deal for the OPL 245 offshore oil field concession.

Eni and both managers, neither of whom have been charged, have denied any wrongdoing.

Calling on their UK counterpart to assist in freezing suspect assets, Italian prosecutors said in a letter to the UK's Crown Prosecution Service (CPS) seen by Reuters that at least $533 million was paid to Nigerian officials and intermediaries who helped secure the sale.

The case has been a setback for the government of Prime Minister Matteo Renzi, because Italy's 39-year-old leader hand-picked company veteran Descalzi to run Eni as part of a recent management overhaul at the country's state-controlled companies. Renzi has publicly supported Descalzi and said no conclusions should be drawn before the investigation is completed.

Eni and Royal Dutch Shell, which is not under investigation, bought the rights to the OPL 245 offshore oil licence block from the Nigerian government in 2011.

Production from the deepwater oil field is expected to begin in 2016 with the field estimated to hold up to 9.23 billion barrels of crude, equivalent to nearly a quarter of the country's total proven reserves, according to industry figures.

An aide to Renzi told Reuters the case involving Eni, which is Italy's biggest company by market capitalisation and the state's biggest asset, was "not a big cause for concern at the moment."

As part of their investigation, the Italian prosecutors in May asked the UK's CPS to freeze $85 million in assets related to a Nigerian company, Malabu Oil & Gas, that prosecutors say was involved in the sale, according to a copy of the official request sent by the Milan investigators and seen by Reuters.

ARMOURED CARS

In the letter, the Italian prosecutors alleged that Scaroni and Descalzi oversaw the payments to parties who helped secure the sale. In a second letter they alleged that some of the ultimate recipients of alleged bribes used the money to buy aircraft and armoured cars.

"We are investigating many money transfers to many people in various countries who received sums that vary from millions of dollars to thousands of dollars," the prosecutors said in the follow-up letter, seen by Reuters.

In response to the requests London's Southwark Crown Court last month granted an order to seize the $85 million in assets related to Malabu, according to a judicial source.

London's Metropolitan Police has also been investigating aspects of the Nigerian deal since last year. A police spokesman said the inquiry into allegations of money laundering is continuing.

Descalzi and Scaroni, in statements and through their lawyers, denied that they were involved in any illegal behaviour. Descalzi also told Eni employees in an email seen by Reuters that he had not engaged in any wrongdoing.

After a board meeting last week Eni also reiterated that the company had not engaged in any wrongdoing and that it had "full confidence that Descalzi had acted properly."

OWNERSHIP DISPUTE

The OPL 245 block licence has long been the subject of dispute. It was first awarded a decade ago by military dictator Sani Abacha to Malabu Oil & Gas for a publicly-stated $20 million.

After the death of Abacha, a new Nigerian government annulled the deal. Malabu's licence was reinstated in 2006.

Reuters was not able to locate Malabu for comment, and it is unclear whether the company still exists.

Nigeria's Economic and Financial Crimes Commission, a government agency, did not reply to questions sent by Reuters asking about the investigation by Italian prosecutors.

Shell, which is not under investigation in any case, released a statement saying: "Shell companies have acted at all times in accordance with both Nigerian law and the terms of the OPL 245 resolution agreement with." (Additional reporting by Manuela D'Alessandro and Stephen Jewkes in Milan and Kirstin Ridley in London; Writing by Silvia Aloisi; Editing by Alessandra Galloni and Greg Mahlich)

Read more: http://www.dailymail.co.uk/wires/reuters/article-2777505/Large-Enis-Nigerian-oil-deal-cash-went-bribes-Italian-prosecutors.html#ixzz3KsKGaN2U
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This deal was signed by Goodluck Jonathan,Mohammed Adoke and Minister of State of Finance Ngama at the time. Please lets not let this story die,this bribe they collected could build a new refinery,hospital,new airport,Improve electricity,but some individuals decided it was better to put it in their bank accounts. We can't let this indivuals continue to get away with this. The corrupt Goodluck Jonathan administration has remained silent and failed to address this major issue because they are the beneficiaries. What is done in darkness will come out in the light, thanks Italy.

Which way Nigeria?

This Great Country has been starved of sincere Leaders and suffer from the hands of greedy looters. Corruption has been institutionalized so deep into the system I fear even a Gen Rawlings + Buhari can defeat it.

Nigeria's Economic and Financial Crimes Commission, a government agency, did not reply to questions sent by Reuters asking about the investigation by Italian prosecutors.

... Are salaries and allowances still being paid to these ghost workers?

"Bribery is not corruption "--- President Ebele GoodLuck Jonathan .

$533m. I give up
old men selling Nigerian's future since 1960

"...the field estimated to hold up to 9.23 billion barrels of crude, equivalent to nearly a quarter of the country's total proven reserves..."


Yet another example of senior govt officials and PDP politicians selling off (cheaply) a national asset of significant proportion for their own self interest.

How long are we as a people going to put up with this unending crippling corruption under the watch of Mr Jonathan and this evil party called PDP.

These are the same people telling the long suffering masses to tighten their belt and prepare for economic hardship because of falling oil prices.

How anyone can vote for this docile and thoroughly corrupt President is beyond me.

neo colonialism all over again. we often praise our founding fathers, their children are well positioned in this era. yet their fathers started the rot we are in today

This was Jona's first chopping. He has since followed up with more deals.

If the government of this nation was not so corrupt, they will demand names of the bribe collectors and punish them but I guarantee you, no one will go to jail.

Yet some fools will still say they will vote for Goodluck Jonathan.How do these indivduals share money meant for 150 million people and still sleep at night?To make matters worse EFCC declined comments when contacted by Reuters on the story,to show you the bribe went all the way to the top and possibly even to the President himself.

arsetalks:
If the government of this nation was not so corrupt, they will demand names of the bribe collectors and punish them but I guarantee you, no one will go to jail.

According to the article, the Italian prosecutors investigating the firm know all the names of the Nigerian bribe collectors recorded in their official documents. I think that the Italians can publish the names of the bribe collectors

Guess who was president 3years ago. First it was Manitoba, then came pardon of Mohammed Abacha, ifeanyi ubah, fani Kayode is free too despite the billions stolen by the first two, our commonwealth, then came the $10.8bn okonjo iweala said was unaccounted for in the NNPC and after spending millions of dollars engaging international auditors for 10months now the money never waka come back.

Pension fund na him, faruk lawan na same person dey there, minister of petroleum who used 10bn for 1year to pay her private jet. Stella oduah na same person dey there.

Truly this guy is either a thief or he is an accessory to stealing. Haba why is Nigeria so cursed to have had PDP ruled it for 16years. Obasanjo stole his own, jonaTAN own come wear cap.

Why will anyone want to vote PDP and jonaTAN next year except deranged and blind bigots who pretend blind to all of these and more

I'm waiting for one of Jonathan Goodluck Jonathan E -warriors to respond to this and blame APC or some imaginary enemy. A couple of individuals collected bribes the equivelant of what Ekiti state budgeted for 2014 and the administration is not concerned about recovering it or prosecuting the culprits,unbelieveable!!!!This is 3 times the amout of the $180 million halliburton bribe OBJ and company shared. Goodluck Jonathan will soon surpass Abacha,OBJ and IBB when it comes to corruption.

All I can say "It's a big Shame" where we've arrived as a country under this man...Who's gonna be blamed for this one? Bokoharam or APC?

Forgive me Lord for thumb printing for this criminal in 2011

Remember this statement from the clueless one "If you talk about ownership of private jets, Nigeria will be among the first 10 countries, yet they are saying that Nigeria is among the five poorest countries."

The Italian prosecutors in the article mentioned the Nigerians that benefitted from the $533 million bribe used the proceeds to buy private jets. Now we know why there has been an increase in private jets in the country. This case has gone international,the United Kingdom and Italian authorities are now involved,we can't keep letting foreign countries help us fight our corruption.

This man should never even be let near a councillor post in a local goverment,he has destroyed the country through his corruption and cover up.

I'm starting a new hashtag
#BRINGBACKOUR$533MILLIONDOLLARS

#BRINGBACKOUR$533MILLIONDOLLARS

This story should be on the front page

Does any one know how I can get Seun to put this on the front page?

Jonathan ooooooo!!!!!!!

Indeed, there was a country

At this time of falling oil prices and austerity which might lead to retrenchment in the public sector and job losses,it's a matter of urgency we recover this money to cushion the effects of the economic downturn the country is currently experiencing.

Topics like this will NEVER get to the fp.

edogirl2:

"...the field estimated to hold up to 9.23 billion barrels of crude, equivalent to nearly a quarter of the country's total proven reserves..."


Yet another example of senior govt officials and PDP politicians selling off (cheaply) a national asset of significant proportion for their own self interest.

How long are we as a people going to put up with this unending crippling corruption under the watch of Mr Jonathan and this evil party called PDP.

These are the same people telling the long suffering masses to tighten their belt and prepare for economic hardship because of falling oil prices.

How anyone can vote for this docile and thoroughly corrupt President is beyond me.

It will surprise you that the bribe takers cut across all parties.

ASL33:

It will surprise you that the bribe takers cut across all parties.

Could be true,just wish the Italian authorities will release the name of the Nigerians.

APC should make this case a main campaign issue and use it to their advantage against the corrupt PDP led goverment.

Let okupe and abati come out to defend this.

If most of the people commenting here where put in a position to collect bribe, like the reported one here, they will willingly collect it, who knows Farouk could do what he did?

wazoboy:
If most of the people commenting here where put in a position to collect bribe, like the reported one here, they will willingly collect it, who knows Farouk could do what he did?

I'm still shocked about Farouk Lawan,like you said you never know until your put in that position. Many people will find it hard to resisit $600,000 Otedola offered. I know personally I will never accept it,because once you do, your forever compromised and can be possibly blackmailed.

seges:

I'm still shocked about Farouk Lawan,like you said you never know until your put in that position. Many people will find it hard to resisit $600,000 Otedola offered. I know personally I will never accept it,because once you do, your forever compromised and can be possibly blackmailed.

I think you are getting the drift! All these corrupt Nigerians did not come from Mars, they too also complained about Nigeria problems but now that they are in a position to do something they woefully failled!
So, how are we so sure that many of us commenting on their failures will not equally faill when put in their shoes?

where are the moderator when we need them most, Cc seun,obinoscopy,ishilove,farano, please and please do the needful because whether you like it or not if you continue to keep silence on trivial issues like this, we can then confirm our worst fear that your silence has been bought by the same corrupt set of retards that has bring about a lot of division to this nation through many of their perfectly executed plan.
I rest my case