Facts are beginning to emerge on how two former executives of UK oil company, Afren Plc connived with the company’s Nigerian affiliate- Oriental Energy Resources Limited to defraud the company of $300 million.
National Daily gathered that United Kingdom’s special prosecuting authority, the Serious Fraud Office, on Wednesday found the two executives, former CEO, Osman Shahenshah and Chief Operating Officer, Shahid Ullah, guilty of the financial crimes in connivance with Oriental Energy Resources Limited.
Recall that the Serious Fraud Office said it began investigating the company and its former bosses back in June 2015. The two men were then formerly accused in September 2017.
But while the UK authorities have taken swift action to prosecute Mr Shahenshah and Mr Ullah, no charges have been brought against the management and Board of Oriental Energy Resources Limited who also allegedly benefited from the shoddy deal.
Oriental Energy Resources Limited is a privately-held Nigerian company which was founded in 1990 by Nigerian billionaire, Dr. Muhammed Indimi.
A statement on the SFO website said the convicted former executives of the leading UK oil company connived with the above-mentioned Afren’s oilfield Nigerian partner by agreeing to a side deal which enabled them to receive about 15% of the $300 million deal; that is some $45 million.
With this money, the two acquired luxury landed properties in such places as the British Virgin Islands as well as Mustique. A few other employees of Afren Plc and some others in Oriental Energy Resources Limited also benefited.
According to the statement, Mr Ullah and Mr Shahenshah’s obviously-failed plan to defraud the company was devised after shareholders voted to reduce their initial salary packages of £6.6 million and £3.8 million (respectively).
They were said to have recommended the Nigerian transaction to the company’s Board, arguing that it is essential in order to maintain a good business partnership with Oriental Energy. Unfortunately, Afren’s unsuspecting Board approved payments, even as Mr Shahenshah and Ullah went ahead to successfully defraud the company.
The convicted criminals will be sentenced on Monday, October 29th, the statement said.