Mkpoikana Udoma
Port Harcourt — A prominent economist, Mr. Friday Udoh, has called on the Economic and Financial Crimes Commission, EFCC, to urgently investigate alleged asset stripping, cannibalisation of equipment and financial improprieties at the Aluminium Smelter Company of Nigeria, ALSCON, describing the situation as a case of prolonged economic sabotage against the Nigerian state.
Udoh, who is the Director of Emerging Knowledge, Policy and Partnerships at the Institute of Professional Economists and Policy Management, made the call while reacting to the recent arraignment of BFIGroup President, Dr. Reuben Jaja, and seven others over an alleged €100 million capital importation fraud at the Federal High Court, Abuja.
According to Udoh, the EFCC’s focus on the alleged fraud contrasts sharply with what he described as uninvestigated large-scale depletion of ALSCON’s physical and financial assets during the prolonged dispute over the plant’s ownership.
“The EFCC should, as a matter of urgency, commence investigations into the alleged cannibalisation of ALSCON equipment, asset stripping, and the use of ALSCON assets to secure loans for private interests,” Udoh said.
He further alleged that critical production equipment and inventories handed over during the privatisation process may have been depleted without accountability, insisting that these issues pose a greater economic threat than the allegations currently before the court.
“There is a need to publish the current warehouse and materials inventory, estimated at about $30 million, which was handed over to Dayson Holding/UC Rusal through a privatisation process that was later voided,” he stated.
Udoh argued that production inputs utilised before operations were halted in March 2013 should be reconciled against output records to determine whether remaining materials were unlawfully sold.
“Based on the production output before the stoppage in March 2013, we are ready to affirm or disapprove the quantity of production inputs utilised and what balance should legitimately exist,” he said.
The economist also raised concerns over the debt profile of ALSCON, alleging that the plant’s assets may have been used as collateral to advance private commercial interests.
“ALSCON assets were allegedly used to secure loans, deepening the company’s debt burden while the plant remained non-functional. This is an issue the EFCC must not ignore,” Udoh added.
He further called for an investigation into the roles of government and non-government actors in arbitration processes linked to ALSCON, including the London Court of International Arbitration, LCIA, awards and their enforcement in Nigeria.
Udoh maintained that the June 6, 2012 Supreme Court judgment, which awarded ownership of ALSCON to BFIGroup, remains binding, arguing that continued occupation of the plant by other interests amounts to a violation of Nigeria’s judicial authority.
“From June 6, 2012 till date, any continued occupation of ALSCON without lawful basis raises serious questions of economic sabotage and institutional compromise,” he said.
While insisting that Alabo Dr. Reuben Jaja has never been linked to fraudulent activities, Udoh described the current charges as a distraction from what he called “systemic abuse of a strategic national asset.”
“The real issue Nigerians should be concerned about is how ALSCON, a multi-billion-dollar industrial asset, was stripped, allowed to decay, and burdened with debt while legal judgments were ignored,” he said.
He urged the EFCC to redirect attention toward protecting Nigeria’s industrial assets and enforcing accountability in high-value privatisation transactions.
“Investigating ALSCON’s asset depletion is not just about justice; it is about restoring confidence in Nigeria’s investment climate and safeguarding national economic interests,” Udoh concluded.
