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Marina Schwarz

The Eni, Shell Case in Nigeria

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I'd call it the Big Stink. Nigeria (and Italy) are going after Eni and Shell on charges of corruption re an oilfield purchase. The latest, Nigeria's prosecution is demanding $1.1 billion in compensation.

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Nigeria and Italy going after corruption, ironic or what? Clearly bribes were not paid to the correct officials.

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It's really simple - what Shell and ENI did was illegal according to FCPA and UK anti bribery act. They are NOT the only ones, but there is hard evidence for this one. Sure, what Dan Etete was worse, but that is a red herring. Shell and ENI still broke the aforementioned laws. Simple as that. 

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35 minutes ago, Rasmus Jorgensen said:

It's really simple - what Shell and ENI did was illegal according to FCPA and UK anti bribery act. They are NOT the only ones, but there is hard evidence for this one. Sure, what Dan Etete was worse, but that is a red herring. Shell and ENI still broke the aforementioned laws. Simple as that. 

The ONLY way to do business in Nigeria is to bribe someone. I had a friend thrown in jail for taking ocean survey equipment  for the company he worked for into Nigeria via a plane. He did it regualarly and this time he did not manage to bribe the correct offical so the one that did not get bribed arrested him. This was not illegal equipment it has to be stressed just run of the mill electronics. He was only allowed out of jail when his boss flew to Nigerian and paid the appropriate amount of money to another offical, in cash obviosuly with no reciept, to get him out.

Its all very well having laws to stop UK companies bribing people but they literally cannot operate in some countries without bribes. As for Italians most of their econmomy is black market people turn so many blind eyes its a wonder they can see to walk.

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21 hours ago, mthebold said:

Source?

Multiple sources. Just google Eni+Shell+ Nigeria.

1 hour ago, jaycee said:

Its all very well having laws to stop UK companies bribing people but they literally cannot operate in some countries without bribes. As for Italians most of their econmomy is black market people turn so many blind eyes its a wonder they can see to walk.

True.

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(edited)

2 hours ago, jaycee said:

The ONLY way to do business in Nigeria is to bribe someone. I had a friend thrown in jail for taking ocean survey equipment  for the company he worked for into Nigeria via a plane. He did it regualarly and this time he did not manage to bribe the correct offical so the one that did not get bribed arrested him. This was not illegal equipment it has to be stressed just run of the mill electronics. He was only allowed out of jail when his boss flew to Nigerian and paid the appropriate amount of money to another offical, in cash obviosuly with no reciept, to get him out.

Its all very well having laws to stop UK companies bribing people but they literally cannot operate in some countries without bribes. As for Italians most of their econmomy is black market people turn so many blind eyes its a wonder they can see to walk.

JC, 

I do business in Nigeria. I know. 

All I am saying is that they got a very lucrative deal; more lucrative than they could get elsewhere, because was a shady deal. And they knew.  They took at business risk. It didn't work out. I know this case and the excuses that Shell and ENI are making are BS.  Don't cry for them. Although - Note that other IOCs do it as well. 

The example you mention above is very common, but it is still illegal. The reason people do it is that it is cumbersome and expensive to follow process. People break the law in the West all the time too. I speeded just the other day. If I had been caugth I would have been fined. 

ps there is a joke about Italy & Nigeria corruption I can share privately if you are interested. 

Edited by Rasmus Jorgensen
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14 hours ago, jaycee said:

Nigeria and Italy going after corruption, ironic or what? Clearly bribes were not paid to the correct officials.

That's the thing though. Bribes were paid to the correct officials. This is a Nigerian NGO going after Shell and ENI in Europe, because they know they don't have a chance in Nigeria. 

If Europe are serious about doing something about migration we need to support positive developments like these. 

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(edited)

34 minutes ago, Rasmus Jorgensen said:

All I am saying is that they got a very lucrative deal; more lucrative than they could get elsewhere, because was a shady deal. And they knew.  They took at business risk. It didn't work out. I know this case and the excuses that Shell and ENI are making are BS.  Don't cry for them. Although - Note that other IOCs do it as well. 

 

23 minutes ago, Rasmus Jorgensen said:

That's the thing though. Bribes were paid to the correct officials. This is a Nigerian NGO going after Shell and ENI in Europe, because they know they don't have a chance in Nigeria. 

If Europe are serious about doing something about migration we need to support positive developments like these. 

but nothing is done legally in Nigeria the companies got a good price that's it, they folllowed the existing rules, not laws, on how to do business in Nigeria. The problem is that somebody did not get a piece of the bribe cake and are trying to go via the courts to get some money. I am fairly certain none of the money that maybe recovered will ever get to be spent for the public good, its all hypocrisy. Until Nigeria have people in power who are actually there to work for the benefit of the people there is no point having UK  or European laws basically forbidding them to work there. If they were stupid enough to try and do it legally they would never, ever win a contract there and the companies that would would be listed outside of the western world, China for instance, so how does that help stop corruption. Western politicians posturing as usual and doing no real good.
Once corrupt countries have actually got honest politicians fine apply the laws until then it is pointless.

Edited by jaycee
typo

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(edited)

2 minutes ago, jaycee said:

 

disregard duplicate posting

Edited by jaycee

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(edited)

8 minutes ago, jaycee said:

 

but nothing is done legally in Nigeria the companies got a good price that's it they follwoed the existing rules, not laws, in how to do business in Nigeria. The problem is that somebody did not get a piece of the bribe cake and are trying to go via the courts to get some money. I am fairly certain none of the money that maybe recovered will ever get to be spent for the public good, its all hypocrisy. Until Nigeria have people in power who are actually there to work for the benefit of the people there is no point having UK  or European laws basically forbidding them to work there. If they were stupid enough to try and do it legally they would never, ever win a contract there and the companies that would would be listed outside of the western world, China for instance, so how does that help stop corruption. Western politicians posturing as usual and doing no real good.
Once corrupt countries have actually got honest politicians fine apply the laws until then it is pointless.

JC, 

thing is - without outside knowledge and capital nothing gets done. So, we could easily insist that things should get done right. Trust me on this. The IOCs and big suppliers could lead the way. They don't because it would make their licenses far more expensive. 

Edited by Rasmus Jorgensen

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Just now, Rasmus Jorgensen said:

JC, 

thing is - without outside knowledge and capital nothing gets done. So, we could easily insist that things should get done right. Trust me on this. The IOCs and big suppliers could lead the way. They don't because it would make their licenses far more expensive. 

but they would be replaced by companies that would pay the bribes from China. The work would be less reliable but nobody will really care the pollution caused by Shell in Nigeria is legendary so some substandard Chinese oil company developing the oil fields would not be an issue so long as the bribes were paid.  I am sure the Chinese government would love to get their hands on Nigerian oil fields.

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1 minute ago, jaycee said:

but they would be replaced by companies that would pay the bribes from China. The work would be less reliable but nobody will really care the pollution caused by Shell in Nigeria is legendary so some substandard Chinese oil company developing the oil fields would not be an issue so long as the bribes were paid.  I am sure the Chinese government would love to get their hands on Nigerian oil fields.

It could be done in small steps. It is not black or white. 

Also - in this particular case there is actually local NGO stepping up. This is the grassroot from where the politcians that gives a damn will come from. If Europe doesn't support things like this we will continue to be flooded by African immigrants trying to escape poverty. 

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