Femi Otedola Breaks Silence: Denies Fuel Subsidy Fraud Allegations and Moves to Sue Umar Sani

 

Femi Otedola Speaks Out: Billionaire Denies Fuel Subsidy Fraud, Files ₦1bn Suit Against Umar Sani

In a major twist to Nigeria’s ongoing fuel subsidy controversy, billionaire businessman Femi Otedola has strongly denied fresh allegations linking him to subsidy fraud. The accusations, made by Umar Sani, former Special Adviser on Media to ex–Vice President Namadi Sambo, have been described by Otedola as false, misleading, and defamatory.

The respected entrepreneur, who built one of Africa’s largest petroleum and energy portfolios, insists that his company Zenon Petroleum & Gas Limited never benefited from the fuel subsidy scheme and is now taking legal action to protect his reputation.

Otedola’s Firm Stands by Its Record

In a detailed statement shared on his official X (formerly Twitter) account, Otedola clarified that Zenon Petroleum was strictly a diesel importer and distributor, controlling over 90% of Nigeria’s diesel market at its peak. He emphasized that diesel (AGO) was fully deregulated at the time, meaning it was not eligible for subsidy claims.

Quoting directly, Otedola stated:

> “Zenon Petroleum and Gas Limited was wholly an importer and trader of diesel with a market share in excess of 90%. We never traded in PMS (Premium Motor Spirit) and as such could not have claimed for subsidy under the Petroleum Subsidy Fund scheme.”

This clarification directly challenges Umar Sani’s claims that Otedola personally benefitted from fraudulent subsidy payments.

Taking the Fight to Court

Otedola has not stopped at issuing denials. He has instructed his lawyers to file a ₦1 billion libel suit against Umar Sani for making what he called “malicious and reckless allegations”.

By taking legal steps, the billionaire appears determined not only to clear his name but also to set a precedent for accountability in public commentary, particularly where reputations are at stake.

“I Raised Alarm on Subsidy Fraud, Not Benefited From It”

Interestingly, Otedola turned the spotlight back on himself as a whistleblower during the Goodluck Jonathan administration. He recalled how he personally alerted the former president about irregularities in the subsidy scheme. When the then-Petroleum Minister denied the allegations, Otedola said he escalated the matter to Senator Bukola Saraki, which eventually triggered a formal probe by the National Assembly.

This paints him not as a participant in fraud, but as one of the earliest voices calling out corruption within the subsidy regime.

A Call for Transparency: Release the Aig-Imoukhuede Report

Beyond defending himself, Otedola urged President Bola Ahmed Tinubu to release the full findings of the Aigboje Aig-Imoukhuede report on fuel subsidy fraud.

The report, commissioned during Jonathan’s presidency, is believed to contain damning revelations about the scale of the fraud and the identities of those who benefitted. Otedola insists that only full transparency will end speculation, expose the real culprits, and restore public trust in the system.

Why This Case Matters

The fuel subsidy saga has long been one of Nigeria’s most contentious economic and political issues. Billions of dollars were reportedly siphoned through fraudulent claims, crippling government finances and deepening public distrust.

That a prominent figure like Femi Otedola known both for his wealth and his close ties to political power would be dragged into the scandal adds a new layer of intrigue. However, his firm denial, coupled with legal action and calls for transparency, suggests he is determined to clear his name once and for all.

Conclusion

The unfolding clash between Femi Otedola and Umar Sani is more than a personal dispute it is a test of Nigeria’s appetite for truth and accountability in one of its most controversial policy failures.

As the case develops, Nigerians will be watching closely: will this legal battle finally expose the true architects of subsidy fraud, or will it add another chapter of blame-shifting to the country’s troubled economic history?

For now, Otedola has drawn a firm line in the sand he was never part of the fraud, he claims, and he’s willing to go to court to prove it.