The Major reason you see Politicians give Contracts to foreign companies is that Foreign companies are able to setup foreign bank accounts for them, pay bribes into these foreign bank accounts with their Unrelated foreign companies, all without the money ever crossing into Nigerian Jurisdiction. It should not surprise you that with the volumes of contracts Chinese and Lebanese are getting, you rarely ever see them having EFCC cases. Imagine a state Governor wants to award a 100 million dollar contract to Muri and sons, in exchange for 20 million dollars in kickback. Because Muri and Sons is not a sophisticated enterprise, they take that 20m and send it to a Bureau de change in maybe Lagos, who in turn takes the cash to another person, like that like that...until it ends up in the account of someone close to the Governor , all within the Nigerian financial system. E get why dem seize 13m dollars of recent from a certain Achimugu.
Now assuming the 100m dollar contract was awarded to a Lebanese company, let's say the name is Aboud and Abass construction co, what they do immediately is that they instruct their associate Company in Singapore, let's call it Primenode Industries, to onboard a Vendor incorporated in the Cayman islands, Say, Darlington suppliers ltd, with operating office and bank account in the UK, all with secrecy protection. Primenode then pays 20 million dollars into the Singapore Subsidiary account of Darlington Ltd. Darlington then uses this to buy say eurobonds etc, then transfers it to an holding company, which then uses it as Collateral to borrow money from say Barclays bank, And then loans it to another Shell company in the Bahamas which then sets up a Company in Nigeria that just so happens to have interest in upcoming Oil block auctions, everything moves legitimately with Dollars actually coming into Nigeria via a UK company the Bahamas Shell owns, who then acts as financier for the new Nigerian Company, and that's how you use 20 million dollars bribe money to pay for signature bonuses. No Ghana must go, no Transfering money from the 100m dollars to another account in Nigeria related to the governor etc....The initial 20 million dollars is moved out of Nigeria later via produce export . And that's why Nigerian Politicians prefer giving Contracts to Foreign Companies. It's all about getting the kickbacks without running afoul of the EFCC.
- Onile Olona
Now assuming the 100m dollar contract was awarded to a Lebanese company, let's say the name is Aboud and Abass construction co, what they do immediately is that they instruct their associate Company in Singapore, let's call it Primenode Industries, to onboard a Vendor incorporated in the Cayman islands, Say, Darlington suppliers ltd, with operating office and bank account in the UK, all with secrecy protection. Primenode then pays 20 million dollars into the Singapore Subsidiary account of Darlington Ltd. Darlington then uses this to buy say eurobonds etc, then transfers it to an holding company, which then uses it as Collateral to borrow money from say Barclays bank, And then loans it to another Shell company in the Bahamas which then sets up a Company in Nigeria that just so happens to have interest in upcoming Oil block auctions, everything moves legitimately with Dollars actually coming into Nigeria via a UK company the Bahamas Shell owns, who then acts as financier for the new Nigerian Company, and that's how you use 20 million dollars bribe money to pay for signature bonuses. No Ghana must go, no Transfering money from the 100m dollars to another account in Nigeria related to the governor etc....The initial 20 million dollars is moved out of Nigeria later via produce export . And that's why Nigerian Politicians prefer giving Contracts to Foreign Companies. It's all about getting the kickbacks without running afoul of the EFCC.
- Onile Olona