Otedola Fights Back: Billionaire tycoon files ₦1 billion libel suit over subsidy allegations

The storm surrounding Nigeria’s controversial fuel subsidy regime has taken a new twist as billionaire businessman Femi Otedola filed a ₦1 billion libel suit against Umar Sani, a former aide to ex-Vice President Namadi Sambo.

At the center of the legal battles are allegations that Otedola benefited from the multi trillion naira subsidy fraud that plagued the administration of former President Goodluck Jonathan.

Sani had publicly claimed that over ₦2 trillion was misappropriated through questionable subsidy claims under Jonathan’s government, and further alleged that Otedola “enjoyed enormous privileges” during that era. The businessman, however, has dismissed these claims as deliberate attempts to smear his name and distort history.

“How can I be accused of benefiting from a scam I was among the first to expose?” Otedola asked in a strongly worded statement. He insisted that he personally raised alarm over subsidy abuses, alerting both former President Jonathan and then Senate President Bukola Saraki about the fraudulent activities that were draining public funds.

A key pillar of Otedola’s defense is the nature of his company’s business. He explained that Zenon Petroleum and Gas Limited, his flagship firm, never imported petrol the product central to the subsidy program, but was instead involved in diesel imports. Diesel, unlike petrol, had long been deregulated and excluded from the subsidy fund, making it impossible for his company to access subsidy payments.

“Zenon Petroleum and Gas Limited never traded in petrol and therefore could not have accessed subsidy funds,” Otedola clarified. By highlighting this distinction, he suggested that Sani’s allegations not only lack substance but also betray either ignorance or a deliberate attempt to mislead the public.

For Otedola, the matter is as much about safeguarding his reputation as it is about correcting the public record. “Because of these deliberate lies and unfounded allegations, I have instructed my lawyers to file a ₦1 billion libel suit against Umar Sani,” he declared. “People must learn that reputations are not to be toyed with for cheap propaganda and to serve as a deterrent for other mischief makers in the future.”

The billionaire went further, turning attention back on the Nigerian government and its failure to fully expose the subsidy scandal. He urged President Bola Tinubu to release the full report of the Aigboje Aig-Imoukhuede panel, which was established under Jonathan to investigate the depth of the subsidy fraud.

“Nigerians have a right to know the truth about the individuals who misappropriated public funds,” Otedola said, adding that the continued suppression of the report only fuels suspicion and allows misinformation to thrive.

His statement also carried a personal sting aimed at Sani. “My attention has been drawn to a mischievous and malicious publication attempting to drag my name into disrepute,” he said. “Umar Sani’s insinuations are false, baseless, and a shameless attempt to rewrite history. Let me set the record straight for the discerning public.”

While Otedola’s lawsuit signals his determination to fight back, it also reopens old wounds about Nigeria’s most expensive financial scandal. More than a decade after the alleged misappropriation of trillions of naira in subsidy payments, the question of who truly benefited remains unanswered and until the government makes its findings public, reputations will continue to be contested in the court of law and public opinion.