Nigeria Receives $52.8 Million in Forfeited Assets from the U.S for Anti-Corruption Cooperation.
Nigeria has been awarded $52.8 million in forfeited assets from the United States for its role in assisting the U.S. Department of Justice (DoJ) in investigating corruption within the Nigerian oil industry.
The agreement was formalized on January 10 in Abuja, Nigeria, with signatures from Nigeria’s Attorney General and Minister of Justice, Lateef Fagbemi, and U.S. Ambassador to Nigeria, Richard Mills.
The DoJ’s Kleptocracy Asset Recovery Initiative uncovered a bribery and money-laundering scheme carried out between 2011 and 2015. Nigerian businessmen Olajide Omokore and Kolawole Akanni Aluko were found to have bribed former Nigerian Minister of Petroleum Resources, Diezani Alison-Madueke, in exchange for lucrative oil contracts.Omokore and Aluko funneled more than $100 million through luxury U.S. real estate in New York and California, as well as a 65-meter superyacht.
These assets were also used as collateral for loans financing their businesses. As part of the forfeiture process, the DoJ compensated lien holders on the properties.The Nigerian government provided investigative and evidentiary support throughout the inquiry.
The recovered funds will be allocated to projects benefiting Nigerian citizens, including $50 million for the Distributed Access Through Renewable Energy Scale-Up initiative, spearheaded by the Nigerian Rural Electrification Agency to enhance renewable energy access nationwide.Furthermore, $2.8 million will be directed toward Nigeria’s contribution to the International Institute for Justice and the Rule of Law (IIJ), aimed at strengthening the capacity of criminal justice practitioners and stakeholders, particularly in counter-terrorism efforts.
Earlier in January, Nigeria also introduced new financial crime safeguards.The World Bank will oversee and disburse the electrification funds through a trust fund, ensuring transparency and auditing.
A comparable external auditing framework will be in place for the IIJ financing.The Kleptocracy Asset Recovery Initiative operates under the DoJ’s Criminal Division, specifically its Money Laundering and Asset Recovery Section (MLARS).
Brent Wible, Principal Deputy Assistant Attorney General and head of the division, highlighted the strong law enforcement partnership between the U.S. and Nigeria, emphasizing Nigeria’s crucial role in securing the forfeiture of millions in corruption proceeds.
He stated: “This agreement underscores the robust law enforcement collaboration between the United States and Nigeria and the essential assistance Nigeria provided in successfully forfeiting millions of dollars linked to corruption.”
Wible further noted: “The return of nearly $53 million to Nigeria for electrification projects and counter-terrorism efforts illustrates how forfeiture can be a powerful tool in addressing the damages caused by corruption and in reinforcing global initiatives against terrorism.”
IRS Criminal Investigation Chief Guy Ficco added: “Repatriating these funds to Nigeria to benefit its citizens is a key objective of the Kleptocracy Asset Recovery Initiative.” He emphasized that the financial arrangement would “ensure these crucial resources are restored to projects and programs that support Nigeria’s continued progress and development.”
