Attorney General of the Federation and Minister of Justice, Abubakar Malami has described as false, story making the rounds that the Federal Government was planning to give $100 million out of the recovered Sani Abacha loot to Kebbi State Governor, Atiku Bagudu.
Malami in a statement on Friday night said “The story regarding paying a Governor certain amount of the repartraited Abacha loot is unfounded and baseless.
“It is only a fiction and figment of imagination of mischief makers who are bent on destroying the good efforts of the Federal Government.
“The report should be disregarded by any sensible and well-meaning persons.”
Malami spoke through Dr. Umar Jibrilu Gwandu, SA Media and Public Relations, Office of the Attorney-General of the Federation and Minister of Justice.
Many Nigerian news outlets earlier in the day, qouting the US based media company, Bloomberg, had reported that there has been commitment by Nigeria to transfer the funds to Governor Bagudu, whom the U.S. Department of Justice (DoJ) says was a front for Abacha in the sleeze the late military Head of State against Nigeria.
The U.S. and the President Muhammadu Buhari administration recently agreed on the repatriation of over $308million to Nigeria.
Malami led the Federal Government delegation to the US where the agreement was reached.
Bloomberg reported that the U.S. Department of Justice believes Nigeria is blocking U.S. efforts to recover allegedly laundered money traced to Bagudu.
The department in a statement on February 3, disclosed that Bagudu was part of Abacha network that “embezzled, misappropriated and extorted billions from the government of Nigeria.”
The Buhari administration however allegedly insisted that an existing 17-year-old agreement entitles Bagudu to a fraction of the repatriated funds.
This argument was reportedly contained in recent filings from the District Court for the District of Columbia in Washington.
It was said that in 2013, the U.S., following a Nigerian government request in 2012, initiated a forfeiture action, including four investment portfolios held in London in trust for Bagudu and his family.
The Buhari administration reportedly said it cannot assist because it is legally bound by a settlement Bagudu reached with the Olusegun Obasanjo administration in 2003, according to the court filings.
Under the terms approved by a U.K. court, Bagudu returned $163 million of alleged laundered money to the Nigerian government, which then dropped all outstanding civil and criminal claims against him.