When a billionaire suddenly becomes an overnight anti-corruption crusader, one should pause. Not because activism is wrong, but because power rarely moves without an agenda. In Nigerias oil sectorwhere money, regulation, and influence intersectnothing happens in isolation.

I was drawn into this debate long before the current drama peaked. In July 2024, during the first public clash between Alhaji Aliko Dangote and Engr. Farouk Ahmed of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), I wrote an article titled Monopolistic Oligarchies: The Tale of Dangote of Nigeria and Ambani of India. In it, I defended indigenous industrial growth while warning against the dangers of unchecked monopolyno matter how patriotic its face.

My position then, as now, was balance.
Dangote is unquestionably a transformational investor. His refinery promises energy security, job creation, and reduced imports. Nigeria needs such bold industrial ambition. But history also teaches that when one player grows too dominant, competition suffers, regulation weakens, and markets tilt dangerously. Indigenous success should be supportedbut not worshipped.

On the other side stood Engr. Faruk Ahmed. I was openly critical of his public demarketing of Dangote refinery products, arguing that the regulatory posture was poorly timed and counterproductive. Regulators exist to enforce standards fairly, not to appear hostile to local breakthroughs. Excessive rigidity can sabotage domestic investment just as surely as monopoly can distort markets. (https://yashuaib.com/2024/07/dangote-nigeria-ambani-india/)

That article triggered reactions from all sidespublic commentary, private calls, quiet lobbying. It was clear the fault line ran deeper than personalities. What we were witnessing was a struggle over market policy: local refining versus entrenched import interests; regulation versus industrial power; control versus competition.

What Nigerians know about Dangote is largely public. From a young trader to Africas richest man, he built an empire that sometimes seems to rival the Nigerian state itselfespecially when one remembers that government-owned refineries in Kaduna, Warri, and Port Harcourt have remained largely comatose for years.

What many Nigerians did not knowuntil I began making inquirieswas the reputation Faruk Ahmed enjoyed among his staff and associates. They described him as humble, soft-spoken, blunt, and deeply professional. An engineer trained abroad, a former Apple Computer engineer in the United States, before returning where he held some of the most sensitive positions in Nigerias oil bureaucracy including PPMC, PPPRA and NNPC without scandal. They insisted he was content, incorruptible, and difficult to intimidate. That image made the latest turn of events all the more puzzling.

After months of relative calm following the 2024 dispute, Dangote returnedthis time with heavier artillery. He publicly accused Farouk Ahmed of spending between $5 and $7 million on foreign secondary education for his children in Switzerland, petitioned anti-corruption agencies, and pursued legal action that ultimately coincided with Ahmeds exit from office and the nomination of a successor.

Then came the silence. Faruk Ahmed reportedly declined to engage in a public rebuttal, expressing confidence that investigative institutions would clear his name. In theory, silence can be dignified. In practiceespecially in Nigeriasilence in the face of explosive corruption allegations often reads as surrender.

This is where the question becomes unavoidable: if a man is truly incorruptible, why retreat so quietly from the battlefield of public opinion? If he had the courage to accuse a powerful billionaire of attempting to monopolise Nigerias oil sector with inferior products, why did he lack the resolve to defend himself against allegations that ended his career?

Was he fighting someone elses battle? Was he a pawn in a larger chess game between capital and regulation? Or was his silence a strategic miscalculation in a country where narrative often becomes verdict?

In Nigeria, perception is punishment. To be accused is already to be half-convicted in the court of public opinion. Silence does not buy you time; it cedes the ground entirely. A regulator who leaves such allegations unanswered risks not only his own reputation but the credibility of the institutions he once led.

From all indications, this saga is far bigger than Dangote versus Faruk. It is about who controls Nigerias energy future, how regulation is wielded, and whether the state can balance powerful private capital without becoming either captive or combative.

But one lesson is already clear: in a country where corruption allegations are both weapon and verdict, silence is rarely goldenespecially if one claims to be innocent. Or is it a case of being used and dumped after satisfying the unseen forces? Time will tell where the truth finally lands.

Yushau A. Shuaib is the author of “A Dozen Tips for Media Relations”
Email: yashuaib@yashuaib.com

The post Dangotes Allegation: Why Is Faruk Ahmed Silent on the Corruption Claims appeared first on YAShuaib.

The politics of monopoly and oligarchy are familiar phenomena in Nigeria and beyond. During General Abacha’s military rule in the 1990s, while working at the Federal Ministry of Finance, I witnessed first-hand the plight of a retired military officer who had become an entrepreneur. His product was threatened by a competitor who deliberately crashed the price of his good to make that of the retired officer uncompetitive. At that time, it was suspected that the military government was using the competitor to deal with the veteran, who later served in a civilian government.

That experience made me wary of monopolistic tendencies, often leading to concerns about the rise of oligarchies. For instance, Aliko Dangote’s group of companies in Nigeria and Mukesh Ambani’s Reliance Industries in India have dominant influence in their respective countries, raising concerns about the long-term effects of monopolistic tendencies.

In 2005, the administration of President Olusegun Obasanjo endorsed the formation of the Transnational Corporation of Nigeria (TCN), later renamed Transcorp. This conglomerate sought to acquire government-owned assets and venture into various sectors of the national economy.

The founding owners of Transcorp were budding oligarchs and private sector operators who knew how to navigate their ways around government in getting whatever they wanted. They included billionaires and financiers like Aliko Dangote, Femi Otedola, Jim Ovia, Tony Elumelu, and Festus Odimegwu. Other notable members were Bernard Longe, Jacobs Moyo Ajekigbe, Otunba Funsho Lawal, Tony Ezeanna, Adegboyega Olulade, and the late friend Waziri Mohammed.

The then Director General of the Nigerian Stock Exchange (NSE), Mrs Ndi Okereke-Onyiuke, served as the chairman of the Board of Directors. At the same time, her staff member, Nicholas Okoye, was the organisation’s technical secretary and business strategy adviser.

In an article in June 2005 titled “President Dangote of Nigeria”, I cautioned Dangote and others about the dangers of retrogressive monopoly, which weakens government regulations and kills healthy competition. Instead, I suggested that he and similarly inclined private sector players deploy infrastructural facilities and equipment to gain fair market share rather than acquiring public institutions at giveaway prices.

However, the following month, in July 2005, President Olusegun Obasanjo officially launched the conglomerate in the Presidential Villa, Abuja. It was, therefore, not surprising that the mega-firm benefitted immensely from the government’s privatisation policy, as it raised N16 billion through private placement and acquired significant public assets. Some of these assets included a 71 per cent stake in NITEL, the Nicon-Noga Hilton Hotel, a 400,000-barrel per-day refinery concession, and oil blocs for upstream oil and gas operations, among other national possessions.

While the early promoters of Transcorp later became prominent advocates for Obasanjo’s third-term agenda, there was a controversy surrounding President Obasanjo’s acquisition of 200 million shares of Transcorp through a blind trust fund financed by a popular bank.
However, for whatever reasons, after acquiring and sharing some of the country’s collective patrimonies, some of the founders of Transcorp appeared to have subsequently parted ways.

On his part, Aliko Dangote expanded his businesses into manufacturing like Mukesh Ambani, the wealthiest man in India, who is reputed to have lavished over $800 million on the recent wedding of his son, Anant Ambani, to Radhika Merchant, the daughter of Indian pharma tycoons, Viren and Shaila Merchant.

While Dangote has a flour milling company that produces wheat flour, pasta, noodles, and other baked products, Ambanis investments include retail outlets that operate supermarkets and online trading platforms.

Similarly, besides his telecommunications company offering 4G and 5G services, comprising data and other digital products, Ambani also produces films, television shows, and digital content through his media and entertainment company. He equally operates large power generation plants and distribution companies.

On the other hand, Dangote additionally operates fertilizer and cement corporations in Nigeria and other African countries. He has also heavily invested in agriculture, focusing on producing rice, sugarcane, and tomato paste. In addition, Dangote refines salt and sugar for domestic consumption and export.

As nonpartisan and detribalised businesspeople, both Dangote and Ambani are generous to different political parties, religious groups, and cultural institutions. They also employ elite graduates from various ethnic backgrounds and engage youths in multiple roles in their enterprises.

The giant cash cow of Ambani is his Reliance Industrys Jamnagar oil refinery, commissioned in 1999, with the capacity to produce 668,000 barrels of crude daily, which has since been upgraded to 1,240,000 barrels per day. The refinery has enhanced India’s energy security by providing a reliable source of petroleum products, contributing to the country’s GDP growth, and becoming a key player in India’s energy sector.

When Dangote mooted the idea of building an oil refinery, as the Nigerian government failed to revive the existing ones or create new ones, many believed he was on the trajectory of receiving the usual incentives he gets from the government as one of Nigerias most prominent private sector players.

The success story of Ambani’s refinery is attributed to the active support of the Indian government in encouraging investments in the energy sector through support that includes tax incentives, subsidies for importing crude oil, enabling the exportation of refined products, and relaxation of regulations to allow efficient operations. The government’s monetary policies enabled banks and financial institutions to provide loans and credit facilities for indigenous projects.

With the government’s magnanimity to the industry, India’s economy benefits from Ambani’s refinery, with thousands of jobs created, infrastructure development in the host communities, and foreign exchange earnings from exporting refined products. The company’s operation also reduces dependence on imported refined products while generating significant revenue for the government through taxes, duties, and royalties.

Meanwhile, within just a few months of its operation this year, the multibillion-dollar Dangote refinery has created thousands of jobs, directly and indirectly, while stimulating economic growth.

Whilst there was excitement with the expectation that the refinery would increase the domestic refining capacity and reduce reliance on fuel importation, thus decreasing inflationary pressures, the government regulators recently publicly demarketed Dangote petroleum products.

Speaking on behalf of the government, the Managing Director of the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA), Engineer Farouk Ahmed claimed that the quality of products from the Dangote Refinery was inferior, citing a purported higher sulphur content of the diesel produced.

Claiming that the refinery had not yet been issued an operational license, and concern over monopoly and energy security, the NMDPRA pushed an argument for the continued importation of petroleum products from outside the country. The management of the Dangote Refinery has denied the allegations of producing high sulphur content diesel or attempting to become a monopoly.

The painful irony is the deliberate demarketing of the Dangote brand by his brethren from the North, working as regulators, after Southerners had provided him with an enabling environment for the business that would generate foreign exchange earnings, contribute to Nigeria’s economic diversification, and ultimately stabilise the naira. The Northerners need rethinking.

Examples abound of how great nations implement policies to support indigenous industries through protectionist measures that give them a competitive edge in relation to foreign businesses. Such countries accomplish this through legitimate preferential concessions, the award of financial incentives, the creation of pathways for market access, regulatory backing, and offers of equity participation. If the system cannot support indigenous enterprises like Danote, it shouldnt be seen as demarketing Nigerian brands. This can be considered as sinning against yourself.

Yushau A. Shuaib, an Editor-in-Chief of PRNigeria and Economic Confidential
www.YAShuaib.com, yashuaib@yashuaib.com

The post Monopolistic Oligarchies: The Tale of Dangote of Nigeria and Ambani of India appeared first on YAShuaib.

A sudden political change occurred recently when an international businessman, Matamela Cyril Ramaphosa emerged the new South African President. He has impacted positively on the life of his people through Shanduka Group, a company he founded with investments in the energy sector, real estate, banking, insurance, and telecoms (SEACOM). He is also chairman of Bidvest Group and MTN among others. He is one of South Africa’s richest men with an estimated wealth of over $550 million.

I am a believer in individuals who have invested and deployed their skills in wealth creations than wealth sharing. Public office can also be run as a serious business for stability and profitability in serving the interest of the stakeholders and the public. Nigeria has distinguished citizens like Ramaphosa of South Africa, who have deployed their businesses for wealth and job creation; promote and unite the citizens, and improve the economy without being in politics or in government.

Current Nigeria’s political atmosphere is undoubtedly charged after a bombshell letter from former President Olusegun Obasanjo to President Muhammadu Buhari asking the latter not to recontest election in 2019. Obasanjo recommended a Coalition for Nigeria to rescue the country from its present political and economic brouhaha. The Third-Force, according to Obasanjo should be “a movement to break new ground in building a united country, a socially cohesive and moderately prosperous society with equity, equality of opportunity, justice and a dynamic and progressive economy that is self-reliant and takes an active part in the global division of labour and international decision-making.”

The tension-soaked letter has elicited diverse debates with series of meetings being held, alliances formed, apart from several alignments and realignments which have even caused President Buhari to hurriedly constitute a Presidential Reconciliatory Committee for the ruling All Progressive Congress (APC), headed by Asiwaju Bola Ahmed Tinubu. As I write, there is a head-on collision between Tinubu and his party chairman Odigie Oyegun.

In this intense period, some are mooting the idea of encouraging non-partisan, business savvy individuals who have demonstrated leadership qualities and touched the lives of many Nigerians from their private ventures to vie for top electoral offices.

In Nigeria, we had the like of Late Chief Moshood Kashimawo Olawale (MKO) Abiola, a successful businessman who was elected the country’s President in 1993 but the election was annulled by the military junta. Meanwhile in a contemporary Nigerian history, the likely name synonymous with that of Chief Abiola in terms of stupendous wealth, philanthropy, international networks, Political connections and iconic brand is Aliko Dangote. While Abiola was considered the richest Nigerian of his time before he died in custody in 1998, Aliko Dangote is currently not only the richest African but one of the richest in the world.

MKO Abiola was born in Abeokuta, Ogun State on August 24, 1937. He acquired entrepreneurial talents at a tender age when he sold firewood every morning before attending classes in primary school. As a teenager and talented music player, he performed at private parties in exchange for food and earned some monies in sponsoring himself to secondary school. At Baptist Boys High School, Abeokuta where he was the Editor of the school magazine, young Olusegun Obasanjo was his Deputy Editor.

Aliko Dangote was born on 10 April 1957 into a wealthy family. He is the great-grandson of Alhassan Dantata, the richest African at the time of his death in 1955. When he was in Primary School, Dangote collected cartons of sweets [candy] on loan and sold them just to make money. Dangote was educated at the Sheikh Ali Kumasi Madrasa and Capital High School, Kano.

After a stint with a financial institution in Nigeria, MKO Abiola attended Glasgow University and obtained a First-Class degree in Accountancy. He joined some institutions in the public and private sectors before he became Vice-President, ITT Corporation, a giant telecommunication firm. He had personal investments in farming, Bookshops, Radio Communications, Bakeries, Publishing, Airlines Business, Oil Exploration, Banking, sports amongst others.

On his side, Dangote obtained a bachelor’s degree in business studies and administration from Al-Azhar University, Cairo, Egypt. After his graduation, he worked for his uncle, Abdulkadir Sanusi Dantata, from whom he borrowed money to start commodities trading, cement and building materials import business in Kano in 1977. Gradually, he expanded the business and relocated to Lagos, where he began importing cars and cement needed for Nigeria’s economic expansion. He has diversified into various economic sectors producing food, building materials, household items among others with factories scattered mostly in southern parts of the country than the North where he comes from.

Abiola’s immeasurable generosity had earned him numerous titles and awards for philanthropic activities that were felt in schools, worship centres, Cultural events, community developments and supports for the less privileged in the society. His philanthropism cut across the diverse ethnic and religious groups in Nigeria.

Meanwhile, apart from receiving one of the highest awards of the Grand Commander of the Order of the Niger (GCON), Dangote has bagged several local and international awards for philanthropy and entrepreneurship. Through the Dangote Foundation, he contributes millions of dollars annually to medical advancements, educational endowments, Humanitarian gestures among others across all geopolitical zones in the country.

On the political front, Abiola’s attempts to vie for political office were thwarted in the late 70s and early 80s when he was betrayed by associates. He was reported to have withdrawn into his shell and faced his business after a powerful Shagari minister, Umaru Dikko told him point-blank that the Presidential ticket of the then ruling party was not for sale.

In the same vein and probably for the fear of betrayal at last hour, Dangote has ruled out the possibility of joining partisan politics. In an interview with Bloomberg, he declared that he is not cut out for politics but values his freedom and business. He said: “I’m not interested in active politics… The little freedom I have, politics would take away. I am not ready to give that up. There are businessmen who are interested in politics. I’m not one of them.”

Meanwhile, after shunning partisan politics for about a decade, Abiola was cajoled to contest for the Presidency in 1992 in an election organised by the administration of President Ibrahim Badamasi Babangida (IBB). After accepting the nomination, MKO Abiola was eventually elected President of Nigeria on June 12, 1993. His election was influenced by his brilliant “Hope 93 Farewell to Poverty” Campaigns, and his record of service to humanity across the ethnic, tribal and religious divide and through his huge investment in the economy. He even defeated his opponent, Bashir Tofa in his home state, Kano. The annulment of that election by IBB was one of the genesis of subsequent political and economic crises in Nigeria.

Since Dangote has denied any interest in electoral office at a period when most political parties and politicians have outlived their usefulness, what should be the way out? Can we commence a search for an illustrious Nigerian, untiring philanthropist, quintessential business mogul, conscientious and detribalised personality to salvage the country in 2019 through a Third-Force? Is there any alternative in sight among those that haven’t served in the political offices?

Yushau A. Shuaib (Author, An Encounter with the Spymaster)
Blogger: www.YAShuaib.com
yashuaib@yahoo.com
Abuja

The post Third-Force: Between Ramaphosa, Abiola and Dangote appeared first on YAShuaib.

President Jonathan- Picture by YAShuaib

By Yushau A. Shuaib
While addressing the nation in a broadcast over the unprecedented flood disaster that ravaged many communities in Nigeria, President Goodluck Jonathan’s eyes and head movement, betrayed the fact that he was reading from a prepared text, though there was no sign of a speech on his table.

His stiffness said it all. He neither gesticulated nor moved parts of his body as he is wont to in normal discussions and addresses to the rhythm of the broadcast. Aside from the motion of his mouth as he uttered the words and the intermittent sounds of billions of Naira donations to some federal institutions and states, the broadcast was a mere dictation session.

However, an opportunity to study the natural moods of the President to the devastation away from the dictates of protocol, came when he undertook a tour of some selected states affected by the flood. He was accompanied on the tour by Minister of Environment, Hajia Hadiza Mailafiya and Director General of National Emergency Management Agency (NEMA) Muhammad Sani-Sidi among others.

The tour was indeed an opportunity to see him move in flesh and react naturally in his interaction with victims. He responded directly to their plights and walked under the sun to inspect the internally displaced persons’ (IDPs) camps. Uncharacteristically, there were few body guards and security men accompanying him. In fact, any displaced person could easily walk to him and hold his hands as if it is not the same almighty Nigerian leader. The atmosphere was quite convivial.

In all the states he had visited, President Jonathan encouraged leaders of the IDPs to voice out their minds openly on their plights. In response, victims narrated how they lost their homes, livestock and farmlands. They gave gory tales of deaths, missing persons and submerged markets, schools, police stations and places of worship.

In Kogi for instance, President Jonathan was in a melancholic mood. His mien fell further when mothers brought newly born babies to him. He also learnt that some men committed suicide following losses of loved ones and lifelong investments. He admonished victims to desist from taking extreme decisions. He said: “please, don’t commit suicide. You have a government that will assist you. Even, if you borrow money from banks, don’t worry, when the flood is over, we will know how to deal with it. Be rest assured that the government will take care of the situation.’’

In Adamawa State, he disclosed that the government plans to construct more buffer dams on rivers Niger and Benue to check the menace of flooding in communities along the river banks and from neighbouring countries. He disclosed that the flood this year was a natural phenomenon due to climate change occasioned by global warming and pointed out that government would take steps to prevent a future re-occurrence.

In Delta State, President Jonathan inspected a camp, equipped with a skills acquisition centre where displaced persons were learning trades, artwork, music, drama, hair dressing and computer skills. While he believed that such facilities could make them useful after leaving the camp he disclosed that the government had initiated measures for proper resettlement of flood victims.

While addressing displaced persons in Anambra, he advised them not to worry as the Federal Government was collaborating with sympathetic groups and individuals to make life better for them after leaving the camp.

In Rivers and Bayelsa states, President Jonathan confessed that the flood disaster, which destroyed property worth billions of naira, was beyond the capacity of the Federal Government to solely remedy. He therefore solicited the supports of development partners and international bodies.

In Taraba State, while assuring that the European Union and the World Bank have indicated their readiness to assist Nigeria, the President stated that the water level was gradually reducing. He gave the assurance that government would provide farmers with maturing seedlings that would guarantee early harvest of farm produce as an antidote to the much anticipated food crisis.

President Goodluck Jonathan cuddles a baba at IDP Camp for flood victims- Pic by YAShuaib

In all the states he had visited, President Jonathan allowed governors to present their opening address and thereafter, stood and listened attentively to the victims. His responses were calm, re-assuring and warm as he sometimes cuddled new born babies while addressing the mostly women and children victims.

The President had also explained that the inauguration of a high power committee on Flood Relief Fund co-headed by billionaire businessman, Alhaji Aliko Dangote and human rights activist, Chief Olisa Agbakoba was to raise funds, which will mitigate the effects of the devastation. He explained that membership of the committee included “individuals who could not steal people’s money because they include philanthropists and advocates of transparency and accountability who will not also condone injustice.”

While most of the utterances and actions of President Jonathan over the flooding are commendable, the establishment of the Dangote’s committee should have been in consonance with the enabling laws. As former Chairman of the governing council of NEMA, the President would recall that there is a provision envisaging such development in the law that established NEMA: Act 12 as amended by Act 50 of 1999. Among other things the law empowers NEMA to “co-ordinate the activities of all voluntary organisations engaged in emergency relief operations in any part of the Federation; Receive financial and technical aid from international organisations and non-governmental agencies, for the purpose of disaster management in Nigeria; Collect emergency relief supply from local and foreign source and from International and non-Governmental Agencies; and distribute emergency relief materials to victims of natural or other disasters and assist in the rehabilitation of the victims, where necessary…”

In view of the above therefore, the government could delegate and designate the Dangote Committee, as National Fund Raisers, to assist in the mobilisation of funds for the relevant established agencies including State Emergency Management Agencies (SEMA) to manage the processes judiciously. The secretariat could be in NEMA. If government is still more concerned about the selected individuals, the President could nominate them into membership of NEMA governing council.

It does not augur well to relegate established statutory institutions to the background due to vague misgivings. No-one is infallible, our leaders need to be supported and guided appropriately to take rational decisions to better the society without entertaining any fear whatsoever.

This article by Yushau A. Shuaib has been published in the print edition of the New Nigerian October 22, Punch October 22, National Mirror October 22, People’s Daily October 23, Leadership October 24, Blueprint October 24, Vanguard October 24, Daily Trust October 25, and Daily Sun October29, 2012

The post Flood in the Eyes of the President appeared first on YAShuaib.