Two executives of a UK listed oil and gas company, Afren have been arraigned over $400 million they received via secret companies in business deals in Nigeria.
Osman Shahenshah and Shahid Ullah, former Chief Executive Office and Chief Operating Office respectively were arraigned in Westminster magistrates court on Tuesday, charged with two counts of money laundering and two counts of fraud.
“The alleged fraud is claimed to have led to the collapse of the $2.6bn oil giant by their administrators, who in related civil claims are seeking damages in excess of $500m from the defendants and a Nigerian associate,” UK Serious Fraud Office (SFO) said in a statement.
“(They) stand accused over payments they received via secret companies they controlled relating to millions of dollar business deals in Nigeria.
“Afren, which was a FTSE 250-listed company until it collapsed in 2015, reported itself to the SFO after details of the alleged secret payments were detailed in an independent review by the US law firm, Willkie Farr & Gallagher.”
In a counterclaim, Shahenshah alleged that the Afren board knew about the payments from Oriental Resources. He claimed wrongful dismissal and said the scandal had damaged his reputation.
