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OIL Scandal : Nigerian Group denies participating in any oil transaction with Zambia

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The Anyiam-Osigwe Group has exonerated itself from alleged involvement in fraudulent crude oil supply to Zambia.

The Group, through its media consultant, Tope Ajayi, said it did not participate in any oil transaction with the Zambian Government and did not collect any money from them.

“At no time did any member of our Group participate in the oil transaction either as alleged or at all and not a cent came to any one of us either as alleged or at all.

Consequently, should any article be written that impinges on our integrity negatively in any way, we shall not hesitate to take effective and appropriate action to defend our persons legally.”

Ajayi noted that sometime in April last year, the Group made a representation to the Zambian President Banda for supply of crude oil to the country and also revamp its Indeni refinery with the assistance of the Group’s United States technical partner – Honeywell International.

But after the representations and some consultations with Zambian government officials and the High Commission in Nigeria, the government went behind and had a government-to-government engagement with the Nigerian Government for the oil supply.

A letter made available to The Nation and signed by Mr. Michael Anyiam-Osigwe dated April 02, 2011, stating the Group’s displeasure over how the oil supply transaction was treated by the Zambian Government is entitled, “Representation to His Excellency President Banda in respect of the crude oil allocation to Zambia by Nigeria,” reads: “With regards to our ongoing discussions with your goodselves and His Excellency President Banda in respect of the Oil and Gas and Zambian Investment opportunities, we would like to reiterate that our group is willing to strategically partner with the Government of Zambia under the leadership of President Banda.

This was what informed the strategic meeting held in the USA and the follow up with regards to the subsequent meetings in Abuja with His Excellency President Banda.

“We were pleased to note that one of the initiatives of which we had intimated His Excellency President Banda, the application for a Bilateral Agreement for the Supply of crude oil has been approved by our Government of Nigeria for the supply of 20,000 barrels of crude oil to the Government of Zambia.

“We brought this to the attention of your Embassy officials via the Economic Secretary, Margret Kaemba and the present High Commissioner who stated that he would check and get back to us. He is yet to do so.

“However, you would imagine our surprise when we were further reliably informed that the Zambian authorities had designated another entity entirely to operate the business on behalf of the Government of Zambia. We were even shown a letter to NNPC signed by Major Kachingwe as a Special envoy of the President of Zambia .

“Whilst we are not disputing the prerogative of His Excellency President Banda to elect a company of his choice to handle the affairs of the Zambia, one would have thought that since we brought the opportunity to the attention of his Excellency through your goodself and additionally had the good fortune to discuss the Bilateral Agreement for the supply of Crude and other investments opportunities direct with his Excellency and some of his key cabinet members at the time, the least we expect is that we would be informed when the decision was made not to go with our group; if nothing as a matter of professional courtesy, especially when it was not brought to our attention that we had acted in a manner that caused us to fall out of favour with the Government of Zambia or indeed his Excellency.

Our interactions with his Excellency President Banda have been in our opinion very positive and cordial. We believe his Excellency welcomed our interest in doing business with the Government of Zambia.

We on our part looked forward to supporting his Excellency’s development initiatives with our contacts both within and outside the country. Austin Sichinga the Chief of Staff to His Excellency President Banda will attest to the above.

“This was the basis on which we met and informed the Economic Secretary and the Zambian High Commissioner in Nigeria about the approval for the Supply of Crude. We also informed them that our group, since our meeting with his Excellency President Banda, has partnered with a fortune 100 company Honeywell International, a USD38 billion with 125,000 employees in 100 countries (please refer to www. Honeywell.com).

We have offered to bring them to help you revamp your Indeni refinery and optimise her operations, including the possibility of getting the refinery to use lighter Crudes, such as those from Nigeria in addition to the Heavy (Venezuelan) crude it currently uses .

The Honeywell team was in Nigeria on a visit to NNPC and we used the opportunity to arrange for them to meet with the Economic Secretary at the Zambian High Commission.

We are also in a position to arrange for the immediate refining of Zambia’s crude allocation from Nigeria under an arrangement with one of our partner-refineries. This entails that we would deliver the crude to the said refinery in return for products based on the corresponding yield of the crude.

The above is just by way of back ground about our commitment to the Government of Zambia under the leadership of President Banda but the current developments in terms of the Government to Government (G-G) Bilateral for Crude begs the question whether our Group’s investment initiatives is welcome.

“For the record, we are not querying His Excellency’s prerogative on how he wants things handled but it would help us if we could understand his reasons for doing so if he did give the directives to Major Kachingwe as we are not aware that we had acted knowingly or unknowingly in a manner that might not have met with his acceptance and as such been responsible for the recent developments.

Even Our initial meeting with Major Kachingwe were very cordial when at your instance we met with him prior to our initial meeting with His Excellency in Nigeria.

He received us well at the time and assured us that as friends of His Excellency the President and Friends of Zambia we would be most welcome.

“We have impressed upon Honeywell International to visit Zambia and they plan to visit the Zambia upon an invitation from the government.

We trust the above is in order and have simply made this representation through your goodself to His Excellency President Banda for sake of good order. Whilst thanking you for your kind assistance in bringing this matter to the attention of His Excellency we also ask that you kindly convey to him the assurances of our highest esteem.”

[Source: The Nation, Nigeria]

33 COMMENTS

  1. Meanwhile, our Post Newspaper splashes a big headline on its front page to sell. Gosh! When is this “hate journalism” ever going to end? Please Fred, give us tangible facts that can nail RB and can put paid your public perceptive journalism. I already know that in your tomorrow’s edition, you have sought interviews from RB malcontents and rogues to give credence to your perceptive story. You are ALL too clear to read in between the lines these days. Your journalism doesn’t need any iota of rocket science.

    • @psionic – what are you saying? Give us more data kaili. It seems RB burnt this guys after they did a good job. He or his colleagues are alleged to have registered or dealt with another company SARB which apparently have not delivered the oil to Zambia. Does this deal smell a little bit…??!

    • The story has not been withdrawn just go to “more from main story” and you will find the article in full. Names have been mentioned and not “reliable sources” so lets hear how these people respond to these allegations

  2. MMD you are not commenting, why whist you claim to having your sins being atoned, you remain silent on this new findings. A thief will always be a thief, you are a corrupt Party and you will always be a corrupt Party. Now that Kachingwe has been mentioned in this day light theft we wait and see if you Nevers you will fire Kachingwe.
    Every one in MMD is rotten to the core. 

  3. This is how MMD raped our country!!
    No single drop of oil was delivered to the country and yet payments in millions of dollars were made to a company called SARB incorporated in Nigeria.
    Its only sensible and fair to the nation that Rupiah tells the nation what his role was and how much he pocketed from this scandal.
    No wonder that extravagant and the most expensive political campaign ever seen in the history of the country and once they were booted out, their oil well just dried up too
    Its payback time now and there must be no sacred cows!!
    On the other hand, can LT emulate the quality and clarity of presentation in this story? Its not an impossible thing to do

  4. Please do not make deals with the BRODAS. These *****s are crookedly rotten to the core.The letter just reminds me of one of those junk mails that tell you that you have won $15m from some competition you have no knowledge of. There are many countries the world over that want the same crude oil, why insist on zambia to make her procurement from there? You dirty busturds! Trying to tie the bullshit to investment, lean more from other investors the reasons as to why the choose to invest here. It can not be over emphasized that our political stability coupled with abundant resources is what makes this country favorable for foreign investment.

  5. So there was a deal or prospect of a deal without proper tender procedures! One wonders how many deals went exclusively through State House 

  6. I cant see what wrong the post has done, They have just exposed what was hidden by RB and his thieves, The reporting may not be very accurate but they managed to inform the public about this scandle

  7. Amazing; a nigerian company to come and help revamp Indeni? ohh because they have experience working in “venezuela”? Olala; and just last month there was an explosion there because of “poor servicing” or due to nigerian expertise? and nigeria imports its fuel yet their firm wants to be specialists here in Zambia? Amaulesi!!

  8. This was a very odd arrangement to begin with.How does a private entity go in direct dealing with a head of state of a “democratic ” country.I guess RB knew what he was doing anyway…he just wanted to get all the info he could then sidestepped the deal and went ahead and made the proper arrangement at state level. Well the issue can now be followed up by the Zambian government at to state level and let’s see how far it goes.

  9. LOL,ANOTHER NINDANI WACHIONA? ISSUES AND ISSUES ,WHILE 60% OF ZAMBIANS ARE LANGUISHING IN POVERTY .POLITICAL LEADERS PLEASE WE WANT JOBS.IF YOU HEAR PEOPLE SAYING””GIVE THEM TIME, GIVE THEM TIME””, THEY ARE JUST DIPLOMATICALLY SAYING, THEY HAVE FAILED, WHY GIVE THEM TIME!

  10. Sounds like scandalous deals where done here and damage has already been done. This is How MMD operated and they expect us to put them back in power? Lord have mercy for Mother zambia.

  11. Oil is a strategic commodity. Any country that has to have ‘tender procedures’ in order to have this commodity is sunk. The President has power by Executive Order to bring in oil from whatever source when there is a national crisis, as long as it can be proved that there is no personal gain.
    Mr Sata has done so already in the short time that he has been in power… Remember the State House renovation!

  12. In what capacity was Maj. Kachingwe talking to these fellas? Free advice to PF; NEVER trust a NIGERIAN. They are known world over as masters of white collar crime. Their country is richly endowed in oil but the wealth is only benefiting a few. There is no way that they can come and help Zambia develop. Where ever they go the motive is to SWINDLE you. They are all the same! Including the ones you have already allowed to come. Watch them closely.

  13. Simple : The documents shows that the Nigerian company was paid for the oil they supplied but they did not supply any oil infact RB cheated them …

  14. This reminds me of the many lies peddled by this bunch of no goods. They take Zambians for granted way too much. They lied about stolen gold, K3.1 trillion, Lexus vehicles…all these stories have died a natural death. Why do these guys make so much noise? So much hot air for no reason. When will they grow up and do some work? The Post has gone so far into this follishness it is now a waste of 3 pin to buy the paper. This is why so much is going on – accidents etc. We are too busy quoting bible verses but doing ill against Gods people. 

  15. One of the commandments is ‘Though shall not bear false witness against your neighbour’. The president who said he would lead by this and the other nine commandments is always in the forefront of breaking them. Fred Mmeembe is always writing based on ‘sources’. Has journalism gone so far into the muck that fact has become a luxury? How can you preach so much hatred and live with yourself?

    • If there is no truth in this story, why has the Nigerian firm responded and given more information than was originally released?

  16. This is a true story.The governement cant just dream of such a thing and let it be published.there is enough evidence to this and all the communications that were made are with he government so that in case of anything,they can still defend themselves.

  17. Where were the experts in this deal? Why Kachingwe? And why this inclination to Nigeria with their questionable image on corruption over any deal? What has happened to the middle east source of supply? How much work do we need to reconfigure the refinery to handle Nigerian crude oil? In Nigeria they breath and leave on corruption right from the top. Look at the poverty levels despite the oil blessing which has become a curse for that nation, the most populous in Africa. I have never dreamt stepping foot on the soil of that confused country.

  18. So, it means Min of Fin the records indicate that Money was paid while Goods havent been delivered. So, Kachingwe deposited the cheque in his Bosses account other than paying for oil?

  19. Zambia is a playing ground for any foreigner.Who would ever pay for services not rendered?Chiluba was played by Katebe Katoto and now RB what more with Sata.Shameful.My Nigerian colleagues are even laughing at how foolish the whole gvt can be to be fooled by these individuals
    $5M would have helped a lot of zambians

  20. this pornographic film of hate and blame will never end. to me and otha well meaning zambians, this policy of blaming the MMD and Suppressing HH will not guarantee our support for the party in govt. tangible results in terms of job creation and general improvement in the living standards among people is wat we want. come 2016, I smell a rat….some one will be retired by the poweers vested in the voiceless majority

  21. wonderful put up, very informative. I’m wondering why the other experts of this sector don’t realize this. You must proceed your writing. I’m confident, you have a great readers’ base already!

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