The U.S. Department of Justice on Tuesday announced that it has finalized an agreement with Nigeria to transfer $52.88 million in forfeited corruption proceeds to the West African nation.
The agreement, signed in Abuja, Nigeria, by Attorney General of the Federation and Minister of Justice of Nigeria, Lateef O. Fagbemi, SAN, and U.S. Ambassador to Nigeria Richard M. Mills Jr, is in recognition of Nigeria’s assistance to the department in an investigation into corruption in the Nigerian oil industry.
The funds, derived from corrupt schemes involving former Nigerian officials who exploited their positions for personal gain, were recovered by the U.S. government as part of its broader efforts to target international kleptocracy. According to the agreement which was shared by the FBI on X, the recovered money will be used for projects that benefit the Nigerian people directly. These initiatives include investments in electrification projects and cross-border efforts to combat terrorism.
In a press release, the Justice Department also said about $2.88 million of the forfeited funds will be used towards Nigeria’s contribution to the International Institute for Justice and the Rule of Law (IIJ) and to support capacity-building for criminal justice sector practitioners and relevant stakeholders in the region, including through activities focused on countering the financing of terrorism, development and implementation of the Counter-Terrorism Academic Curriculum of the IIJ, and institutional support for the IIJ, particularly in the North, West, and East Africa regions.
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Principal Deputy Assistant Attorney General, Brent S. Wible, the head of the Justice Department’s Criminal Division stressed the importance of international cooperation in the fight against corruption.
“This agreement recognizes the close law enforcement relationship between the United States and Nigeria and Nigeria’s vital assistance that contributed to the successful forfeiture of millions of dollars of corruption proceeds,” he said.
The U.S. has worked closely with Nigeria to identify and seize illicitly acquired assets held within its jurisdiction.
This new agreement includes mechanisms to monitor the use of the funds to ensure transparency and accountability, in collaboration with Nigerian civil society organizations. This effort is designed to restore trust in governance and prevent further corruption.
The initiative underlines the growing global emphasis on repatriating stolen assets and ensuring they are utilized to address the needs of the people from whom they were stolen.
This is not the first time the United States has partnered with Nigeria in such efforts. Previous collaborations have resulted in significant recoveries aimed at improving public services and infrastructure.
More Context
According to court documents, from 2011 to 2015, Nigerian businessmen Kolawole Akanni Aluko and Olajide Omokore conspired with others to pay bribes to Nigeria’s former Minister for Petroleum Resources, Diezani Alison-Madueke.
In return, Alison-Madueke used her influence to steer lucrative oil contracts to companies owned by Aluko and Omokore. Proceeds from the scheme of more than $100 million were then laundered into and through the United States and used to purchase various assets, including luxury real estate in California and New York as well as the Galactica Star, a 65-meter superyacht.
The real estate was also used as collateral for loans to Aluko and shell companies he controlled. As part of the forfeiture process, those lien holders were paid. The assets were forfeited as a result of corruption, bribery, money laundering, and other illegal acts in violation of Nigerian and U.S. law. The Federal Repubic of Nigeria provided crucial assistance to the United States leading to the forfeitures, including providing extensive evidentiary and investigative support.