By Ogenyi Ogenyi, Uyo
A representative of the Esit-Eket Local Council in Akwa Ibom for the NNPC/MPN JV EMOIMEE Host Community Development Trust Fund (HCDTF), Mr. Dan Abia, has dismissed recent allegations of embezzlement within the Trust Fund as politically motivated.
Speaking to journalists in Eket on Wednesday, Abia asserted that the structure of the Petroleum Industry Act (PIA) makes it virtually impossible for any form of embezzlement to occur. He also addressed claims of mismanagement of funds and the purchase of substandard buses as palliatives for beneficiaries.
“PIA is a specialized and relatively new area. We are constantly learning, and to avoid mistakes, progress might seem slow, but this is due to the rigorous checks and balances in place. The way the PIA is designed, it’s nearly impossible for embezzlement to occur,” Abia stated.
He elaborated on the multiple layers of control within the PIA framework, noting that the Board of Trustees, the Management Committee, and the Advisory Committee each have distinct roles and responsibilities. Additionally, the Settlor, akin to a general overseer, and the Nigerian Upstream Petroleum Regulation Commission (NUPRC) regulate the activities of the Trust.
“You cannot deviate from the host community development plan. The PIA document guides everything, and it’s legally specified that the Settlor should conduct a needs assessment. Both the needs assessment and the host community development plan are created by the Settlor (Mobil) in collaboration with the Community,” Abia explained. “It’s impossible to initiate a project not outlined in the document, meaning you cannot fabricate any project. These allegations are politically motivated and coming from those who have yet to benefit.”
Since its inauguration in August 2024, the Esit Eket Trust Fund has only undertaken two projects: a scholarship grant for students and the purchase of 95 minibuses and 95 motorcycles for communities in the Esit Eket local government area of Akwa Ibom State.
Addressing the accusations concerning the quality of the buses provided, Abia clarified that “the prices were determined by the procurement team and were uniform across all areas. The price in Esit-Eket is the same as in Eket and elsewhere. These jobs were advertised, and, as is customary with Mobil, the contract was awarded to the lowest bidder, with each bus priced at N3.9 million,” he explained.
