Spokesperson for the Peoples Democratic Party (PDP) Presidential Campaign Council in 2019, Umar Sanni, has accused billionaire businessman Femi Otedola of hypocrisy in his recent claims that over N2 trillion was lost to fraudulent fuel subsidy payments during the administration of former President Goodluck Jonathan.
In a statement posted on X, Sanni dismissed Otedola’s assertions as “selective” and argued that the businessman had himself profited from the very system he now condemns.
The remarks come as debates intensify over Nigeria’s petroleum sector, following Otedola’s intervention in the ongoing dispute between the Dangote Petroleum Refinery and fuel marketers.
Otedola, chairman of Geregu Power PLC and a former major player in the downstream sector, last week alleged that subsidy claims under Jonathan’s government between 2010 and 2015 amounted to over $1.2 billion in fraud.
He praised President Bola Tinubu’s deregulation policies and criticised members of the Depot and Petroleum Products Marketers Association of Nigeria (DAPPMAN), which he founded in 2002, for resisting reform.
Sanni countered that the subsidy regime long predated Jonathan, spanning administrations from Olusegun Obasanjo to Muhammadu Buhari, and said Otedola’s focus on Jonathan’s era appeared politically motivated.
He argued that Otedola had been a key beneficiary of the system, with his company, Zenon Petroleum and Gas Ltd, dominating diesel imports and enjoying a large market share during the subsidy years.
The PDP chieftain also recalled Otedola’s controversial role in the 2012 fuel subsidy scandal involving then lawmaker Farouk Lawan. Zenon was among the firms under scrutiny for questionable claims, while Otedola admitted paying Lawan $620,000, saying it was part of a sting operation with security agencies. The episode, Sanni said, underscored Otedola’s central position within the subsidy framework.
Sanni pointed to efforts by Jonathan’s government to tackle corruption, including a forensic audit led by banker Aigboje Aig-Imoukhuede, which exposed widespread fraud in subsidy payments. Jonathan also attempted deregulation in 2012, but the move triggered nationwide “Occupy Nigeria” protests.
He urged Otedola to support a comprehensive and independent inquiry into subsidy operations across all administrations rather than focusing on one period. He also referenced the Asset Management Corporation of Nigeria’s takeover of debts linked to subsidy payments, including some involving firms associated with Otedola.
The debate comes amid tensions between Dangote Refinery and marketers. The refinery, which began local supply in September 2024, has accused importers of spreading misinformation to protect their interests. Otedola has backed Dangote, calling the refinery a step toward energy independence, while marketers warn of monopolistic practices.
Sanni added that Otedola’s claims amounted to “a pot calling the kettle black” and said only a full audit of subsidy regimes across governments could deliver accountability and prevent a repeat of past abuses.
