Nigeria Eni/Shell corruption case: Future of Eni’s CEO at stake

By Christophe Le Bec
Posted on Thursday, 24 September 2020 18:22

The highly publicised corruption trial which alleges that oil majors Eni and Shell took part in an unlawful acquisition – that of the OPL 245 oil licence in Nigeria – entered its final phase on Monday, 21 September in Milan, with the defence presenting its case.

Key business and political figures were set to go before the Italian court in relation to a Nigerian business deal dating back to the early 2000s. The corruption case is one of the largest in the oil industry’s history. read more

Malabu Oil Deal: Canadian judge dismisses suit challenging Nigeria’s grounding of Etete’s jet

September 4, 2020: Oladeinde Olawoyin

A Canadian judge on Thursday dismissed an application seeking leave to appeal the judgement that confirmed the grounding of a luxury private jet purchased by a former Nigerian oil minister, Dan Etete, with some of the alleged proceeds of the controversial $1.3 billion Malabu OPL245 oil deal.

The suit was filed before the court by Tibit Limited, an anonymously owned company incorporated in the British Virgin Islands (BVI), claiming ownership of the jet. read more

Anti-graft groups query Nigerian Justice Minister on OPL 245 assets recovery

27 July 2020: Henry Uche

Nigeria’s Minister of Minister and Attorney General of the Federation, Abubakar Malami, has been asked to give full disclosure of recovered assets linked to the OPL multi-billion dollar oil scam.

In a statement delivered by the Chairman of Human and Environmental Development Agenda (HEDA Resource Centre) Mr Olanrewaju Suraj, the charge came after the Corner House, Global Witness, Human and Environmental Development Agenda (HEDA Resource Centre) and Re-Common, launched a global campaign through a letter to the AGF Malami for transparency in the assets recovered from the scam. In the petition, the groups raised 25 critical questions for Malami. read more

Nigeria: Malabu Scandal – Activists Kick As Italy Appoints Accused Official As ENI CEO

By Oladeinde Olawoyin

21 April 2020

The Italian government has re-nominated Claudio Descalzi as Chief Executive Officer of Eni, Italy’s largest multinational company and the country’s largest foreign oil producer in Africa.

Mr Descalzi is set to maintain the leadership role despite an ongoing criminal trial over corruption allegations surrounding the billion dollar 2011 acquisition by Shell and Eni of Nigeria’s OPL 245 oil license.

Italian prosecutors allege that the $1.1bn paid by Eni and their partner Shell for the OPL 245 licence was used to pay former Nigerian oil minister Dan Etete and was “intended for payment to a former Nigerian president, Goodluck Jonathan, members of the government, and other Nigerian public officials”. read more

Global Investigations Review

Dutch bar unfazed by justice minister’s “unusual” contact with Shell prosecutors

By James Thomas: 18 February 2020

Dutch lawyers seem relaxed about recent revelations that the local justice minister and public prosecutors have been in frequent contact about a bribery investigation into Shell.

FULL ARTICLE (PAYWALL)

Lawyers question judge’s peculiar ruling in Shell privilege case

By James Thomas: 30 October 2019

Legal experts in the Netherlands have said that a recent privilege ruling against Anglo-Dutch oil company Shell will likely not stand up in an appeals court.

FULL ARTICLE (PAYWALL)

Shell’s in-house lawyers not covered by privilege, court rules

By James Thomas: 25 October 2019

A Rotterdam court has ruled that Shell’s in-house lawyers are insufficiently independent from the company and cannot claim legal privilege, in a decision connected to a Dutch investigation into alleged bribery by Shell in Nigeria. read more

A Milan court has rejected a prosecution request to hear testimony from a former legal adviser of Eni who has accused the company of spying on judges…

FEBRUARY 5, 2020

MILAN, Feb 5 (Reuters) – A Milan court has rejected a prosecution request to hear testimony from a former legal adviser of Eni who has accused the company of spying on judges, offering a boost to the Italian oil firm as it fights bribery allegations over a Nigerian oil field.

The ruling removes the prospect of months of testimony voicing allegations of wrongdoing by Eni and sets a timetable for finally reaching a verdict in the long-running case.

The decision is the second piece of bad news in a few days for Milan prosecutors after a witness last week refused to confirm a key statement. read more

In the corruption case, Eni and Shell are accused of buying Nigeria’s OPL 245 offshore oilfield in the knowledge that the vast majority of the $1.3 billion purchase price would be siphoned off to agents and middlemen in corrupt payments.

Emilio Parodi: JULY 4, 2019

MILAN, July 4 (Reuters) – Italian prosecutors are widening an investigation into suspected obstruction of justice by officials of oil group Eni, sources said, threatening to open a new legal front for the company as it defends itself in a major corruption trial.

The inquiry is preliminary and has been overshadowed by the ongoing trial, which centres on the 2011 purchase of a Nigerian oilfield by Eni and oil major Shell, but it is gathering momentum, said three sources familiar with the probe. read more

Although Shell and ENI initially claimed they did not know the money would end up with Mr Etete and his cronies, evidence has shown that claim to be false.

Oladeinde Olawoyin: July 18, 2019

A major witness in the long-running Malabu oil scandal on Wednesday told an Italian court that Eni officials knew that the controversial payment made in the deal would go to Malabu oil company, controlled by Nigeria’s former oil minister, Dan Etete.

Vincenzo Armanna, former Eni manager and defendant in the corruption trial, said in his testimony that it was clear to everyone involved in the deal that Mr Etete would get over $1 billion, adding that there was no doubt the money was going to Malabu. read more

Oil major Shell (RDSa.L), which jointly bought the offshore field with Eni, is also on trial for corruption over the deal.

Emilio Parodi: 17 July 2019

MILAN (Reuters) – Officials from Eni (ENI.MI) sought to convince a witness, a former Eni manager, to withdraw some statements he made during investigations into a Nigerian corruption case involving the Italian oil group, a court heard on Wednesday.

Prosecutor Fabio De Pasquale made the comment in a trial hearing into the case, during a legal debate over a request by Eni lawyers to adjourn proceedings to give more time to consider evidence in a related obstruction-of-justice investigation. read more

Printed below is a translation of an article published this weekend by the Dutch broadcaster NRC. It is about the Shell internal communications and documents relating to the OPL 245 Nigerian oil deal corruption case seized during a raid carried out by the Dutch Fiscal Information and Investigation Service (FIOD) at Shell HQ in the Hague in 2016. In a controversial move, Shell lawyers are resorting to legal machinations to frustrate the progress of the Dutch proceedings. On this occasion by claiming legal privilege and secrecy over the seized evidence. Criminal proceedings relating to the same massively corrupt oil deal are moving forward quickly in Italy (but at a snail’s pace in the Netherlands, Shell’s home country). A related tapped telephone conversation involving Shell CEO Ben van Beurden when he ordered that no documents should be volunteered to the investigators carrying out the raid can be heard here. Undisputably, another Shell cover-up tactic. So much for Shell’s claimed business principles from a company that seems to employ more MI6 people than MI6. Listen to the taped call. 

Dutch corruption case against Shell is, according to lawyers, inevitably delayed

Professional secrecy

Call for OM to simplify procedures related to non-disclosure law encounters astonishment among lawyers and scientists

By our editors Carola Houtekamer and Merijn Rengers: Amsterdam.

Shell and the Public Prosecution Service were honest about it on Thursday. Yes, they clash over the internal Shell documents that were seized by the FIOD investigation service at the head office in The Hague during the beginning of 2016. They deal with the corruption case involving OPL245, a mega-oil field off the coast of Nigeria. read more

Nigeria could seek as much as $3.5 billion in damages from Royal Dutch Shell and Eni over an allegedly corrupt deal for one of Africa’s biggest untapped oilfields.

The Federal Republic of Nigeria has filed a claim in the High Court in London against the two oil companies over the deal in which they acquired the OPL 245 oil licence for $1.3 billion. It alleges that the deal was corrupt and resulted in Nigeria receiving “no or negligible value” for rights to the “extremely valuable” offshore licence, which it estimates was in fact worth “at least $3.5 billion”. read more

Nigerian Emeka Obi and Italian Gianluca Di Nardo sentenced to four years in prison as judge orders seizure of more than $120m: …this judgment will send shivers down the corporate spines of the oil industry — and will surely alarm Shell and Eni employees and shareholders who have been repeatedly told that there was nothing amiss with the OPL 245 deal.

• Ben Chapman
• Friday 21 September 2018

Italian prosecutors allege that hundreds of millions of dollars from the 2011 sale of a field was distributed as bribes ( Reuters )

Two middlemen have each been sentenced to four years in prison for corruption offences in the first ruling of a huge bribery trial involving oil giants Shell and Eni. A judge also ordered the seizure of more than $120m from the pair.

Nigerian Emeka Obi and Italian Gianluca Di Nardo were convicted of international corruption by a Milan court for their role in a $1.1bn deal for rights to one of Nigeria’s most promising oil blocks. read more

Time running out for prosecutors to obtain potentially crucial documents seized in Geneva apartment raid

Ben Chapman: @b_c_chapman

Giant oil companies, offshore accounts, ex-MI6 agents, champagne lunches, a former Nigerian president and allegations of one of the biggest bribes ever paid – the corruption case against Shell and Italy’s Eni filed by prosecutors in Milan over a shady $1.3bn deal for a vast African oil field has could have been lifted from the pages of an espionage thriller.

The latest developments thicken the plot further with a cache of documents seized in a raid on a Swiss financier’s apartment that could be crucial to the case, leaving prosecutors in a race against time to get them to Milan as trial hearings get underway this week.

The Geneva raid uncovered a briefcase belonging to Emeka Obi, a middleman who received millions of dollars from the deal and is in the dock along with several senior Shell and Eni executives.

Inside the briefcase, Swiss prosecutors found a laptop, two Nigerian passports, five sim cards and a hard drive containing 41,000 documents that prosecutors believe could be crucial to the trial playing out on the other side of the Alps. read more

Extract from the ebook “John Donovan, Shell’s Nightmare” (now available on Amazon websites globally)

(BACKGROUND INFORMATION ABOUT SHELL’S EPIC 25 YEAR FEUD WITH JOHN DONOVAN – which puts the extracts below in overall context.)

The extract below should be read in the context of the fact that we were besieged by undercover activity during the run-up to the SMART High Court Trial – the climax of our litigation alleging that Shell had stolen Intellectual Property from our company Don Marketing. Shell brought a Counterclaim amid a barrage of aggressive threats and sinister activity directed against us. Shell did not disclose its close connection with a private spy firm Hakluyt & Company populated by former senior MI6 officers (such as Ian Forbes McCredie and other retired or freelance spooks). As Shell CEO Ben van Beurden mentioned in an illuminating wire-tapped telephone conversation with then CFO Simon Henry, Shell hired such MI6 people including Guy Colegate and John Copleston to negotiate with Dan Etete in the corrupt OPL 245 Nigerian oil deal. Both “people” are now defendants in a criminal action brought in Italy.

Extracts below from pages 108

IAN FORBES MCCREDIE CMG OBE

A former senior British Secret Intelligence Service (SIS) officer, Ian Forbes McCredie was, until December 2010, Vice President of Corporate Security for Royal Dutch Shell aka Shell Corporate Affairs Security (CAS).

Mr. McCredie is closely associated with Hakluyt. When I sent an email to him at Shell, I received a response from his Hakluyt email address.

His spook duties at Shell were listed in his CV published online (as of October 2015). See center box.

A retired senior FBI official, Richard T. Garcia, was Global Security Manager for Shell Americas. read more

Royal Dutch Shell and Eni are about to go on trial over an alleged bribery scheme to secure a valuable oil field

Dutch investigators, too, are on Shell’s back. They raided its offices in The Hague in 2016 and tapped the phone of Ben van Beurden, Shell’s current chief executive. A sizeable team of Dutch investigators is still working on the case…

…informed Eni that America’s FBI, which was following the OPL 245 money trail, had contacted him about testifying…

Both firms would face fines not only in Europe but possibly also in America, whose crime-busters could use the deferred-prosecution agreements from 2010 to brand Shell and Eni repeat offenders, calculating their fines accordingly.

Mar 3rd 2018

RESOURCE-RICH Nigeria has long ignited interest from oil firms, but it can be a dangerously combustible environment when it comes to the risk of corruption. Two firms caught up in scandals are Royal Dutch Shell and Eni, Italy’s state-backed energy group. In 2010 both entered into deferred-prosecution agreements with America’s Department of Justice after being implicated in separate Nigerian bribery schemes. But those pale beside a case involving the two companies that is set to go to trial in Milan on March 5th. read more

Extract taken from FT article relating to OPL 245 Shell/ENI/Malabu Oil Deal/Dan Etete/Malcolm Brinded billion dollar scandal: 

Eni reports record oil and gas production

Andrew Ward, Energy Editor: 16 FEB 2018

Eni’s strong performance has been clouded by allegations of bribery related to a $1.3bn deal in 2011 to acquire one of Nigeria’s largest untapped oilfields. Mr Descalzi and several other current and former executives are due to stand trial for alleged corruption in Milan in March. Mr Descalzi has denied wrongdoing and Eni’s board has maintained its “full confidence” in him. read more