NIGERIA FIGHTS TO RECOVER ABACHA FUNDS FROM LIECHTENSTEIN

Okonjo-Iweala

Nigeria has embarked on an international campaign to press Liechtenstein into returning €185m of ill-gotten gains linked to the late military dictator General Sani Abacha which is still harboured in the tiny principality nearly 14 years after recovery proceedings began.

The Nigerian government first requested assistance from Liechtenstein in returning the assets in 2000, two years after Gen Abacha’s sudden death paved the way for the return of civilian rule.
Criminal investigations and subsequent forfeiture proceedings established that the funds originated from bribes paid by Germany’s Ferrostaal AG to companies whose ultimate beneficiary was Gen Abacha. They related to a grossly inflated contract for the construction of an aluminium smelter.
Liechstenstein’s constitutional court ordered the confiscation of the funds in 2012 and in March 2013 dismissed a final appeal against the order by companies linked to the Abacha family, clearing the way for restitution of the funds.

But the Liechtenstein government has declined to accept written guarantees from Nigeria that it will compensate the principality in the unlikely event that it should incur any liabilities in a further suit that has been filed by the Abacha-linked companies at the European Court of Human Rights in Strasbourg. This could delay the return of the funds for several more years.
Ngozi Okonjo-Iweala, Nigeria’s minister for economy and finance and the former managing director of the World Bank, described the delays as “outrageous” and accused the Liechtenstein government of being unco-operative.
She told the Financial Times she plans to appeal for support for Nigeria’s claims at this week’s International Monetary Fund and World Bank meetings.
“This is about funds that were stolen by a corrupt dictator. We have spent nearly 14 years trying to get them back and we are pleading with the Liechtenstein authorities not to aid and abet the continuation of that corruption,” Mrs Okonjo-Iweala said.

(Financial Times)