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Home Latest News

Russian customs nabs 10 men on illegal fuel trade

byCustoms Today Report
12/06/2015
in Latest News
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MOSCOW: Ten nationals from Britain, Russia, Ukraine and Japan were charged Wednesday with illegally trading and storing petroleum products in oil-rich but cash-poor Nigeria.

The accused included three Russians — Arthur Pakhladzhian, Vasaliy Shkundich and Kretov Andrey; one Japanese, Sergio Abgarian; three Ukrainians — Vitalis Biluos, Laguta Olesksiy and Chepikov Oleksan.

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Others are seven Britons — Hilarion Teofilo Regipor, Cadavis Gerardo, Baduria Benjamin, Naranjo Allian Antero, Patro Christian, Alcayde Joel, Carantiquit Micheal Bryan — and three vessels- MT Anukt Emerald, Monjasa DMCC, and Glencore Energy UK Ltd.

According to the charge, the accused committed the offences on Feb. 27 within the jurisdiction of the court.

It alleged that they stored 1,500 tonnes of automated gas oil inside the MT Anuket Emerald’s Cargo tank.

The charge also alleged that they stored 3,035 tonnes of Low Pour Fuel Oil (LPFO) in other tanks.

The agency said that offences contravened Sections 4, 17, 19 (6) of the Miscellaneous Offences Act and the Petroleum Act, Laws of Federation.

Crude stolen from sabotaged pipelines and illegally refined oil products are regularly smuggled out and sold on the lucrative black market — an illicit business that is estimated to cost the country some much-needed $6 billion (5.3 billion euros) a year in revenue.

Nigeria’s anti-graft agency the Economic and Financial Crimes Commission (EFCC) arraigned the accused in a Lagos high court for conspiring to store 4,500 tonnes of petroleum products in three vessels in February without authorisation.

It was not immediately clear if the products were to be taken out of Nigeria and if so, to which country they were headed.

The suspects pleaded not guilty to the charges with their lawyers urging the court to release them on bail.

Presiding judge Ibrahim Buba remanded the suspects in custody until they met their bail conditions.

They were also ordered to surrender their passports to the EFCC, while the court fixed another hearing for June 17.

Nigeria is Africa’s leading oil producer but has no functioning refineries, forcing crude to be exported then its products imported in a process that has been seen as wide open to fraud.

The government keeps the cost of fuel at the pumps low — currently 87 naira ($0.44, 0.39 euros) per litre — and pays fuel importers the difference between the market rate and their costs.

They shut depots several weeks ago claiming non-payment by the government, causing a crippling shortage of fuel that brought the country to a virtual standstill.

Agreement was reached to lift the blockade just days before Muhammadu Buhari was sworn in as president on May 29.

Buhari won elections two months earlier on a pledge to crack down on rampant corruption, including in the oil sector.

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