EFCC Ex-Chairman Bawa Exposes Fuel Subsidy Fraud, Says Billions Of Naira Looted In Nigeria Through 'Ghost Imports, Over-Invoicing'
A former Chairman of the Economic and Financial Crimes Commission (EFCC), Abdulrasheed Bawa, has alleged a massive corruption in Nigeria’s fuel subsidy regime, detailing how billions of naira were looted through ghost imports, over-invoicing, and forged documentation.
In his new book, "The Shadow of Loot & Losses: Uncovering Nigeria’s Petroleum Subsidy Fraud," Bawa exposed how billions of naira were siphoned from public coffers through fraudulent subsidy claims.
The claims involved "ghost importing, over-invoicing, forged shipping documents, and systemic collusion between corrupt officials and private firms."
Bawa, who served as EFCC chairman from 2021 to 2023 under former president, Muhammadu Buhari, described the book as both a documentary of fraud and a call to action for reform, transparency, and accountability in Nigeria’s oil sector.
According to a statement by Vic Akinrogunde for the publishers on Wednesday, the book offers an insider’s account of one of Nigeria’s largest financial scandals, with Bawa drawing on his experience as a lead investigator in the EFCC’s probe of the 2012 fuel subsidy fraud.
“Companies routinely claimed subsidies for fuel never imported or inflated volumes to receive excess payouts,” Bawa said.
Bawa explained that perpetrators manipulated bills of lading to exploit international price fluctuations and maximise illicit gains.
He also detailed how single fuel shipments were used to obtain multiple subsidy payments, while subsidized fuel was diverted to black markets or smuggled out of Nigeria.
“These crimes were enabled by forged documentation, regulatory failure, and entrenched corruption across government and business,” he said.
The revelations come as Nigeria continues to experience the fallout of decades-long subsidy mismanagement.
In 2012, efforts by then-President Goodluck Jonathan to remove the subsidy triggered nationwide protests.
"In the book, published by CableBooks, an imprint of Cable Media & Publishing Ltd, Bawa details multiple fraudulent strategies including: Ghost importing and over-invoicing: Companies submitted claims for fuel that was never imported or inflated shipment volumes to receive excessive subsidy payouts.
"Manipulation of bills of lading: By altering shipping documents, fraudsters exploited international price fluctuations to claim higher subsidies. Round-tripping and double claims: Single shipments were often used to obtain multiple subsidy payments.
"Diversion and smuggling: Subsidised fuel was frequently diverted to black markets or smuggled out of Nigeria for profit.
"These practices, Bawa explains, were enabled by forged documents, weak regulatory oversight, and systemic collusion between corrupt government officials and private sector actors," the release said.
“The Shadow of Loot & Losses is not just a chronicle of fraud,” says Bawa. “It is a call to action — a demand for transparency, accountability, and reform in Nigeria’s public finance management, especially in the oil sector.”
Having served as EFCC chairman from 2021 to 2023, Bawa brings insight into the institutional challenges and political dynamics that have shaped the anti-corruption fight in Nigeria.
The book is distributed nationwide by RovingHeights Bookstore.
Meanwhile, in May 2023, President Bola Tinubu announced the removal of the fuel subsidy, although the step had further driven up hardship and mismanagement of public funds.