Court told how owners of Lionstone Offshore stole $4.7 million from Hercules Offshore

Admin l Monday, January 30, 2023

 

IKEJA, Lagos, Nigeria -A Domestic and Special Offences Court sitting in Ikeja today heard how a couple Mr. Amaechi Ndili and Mrs. Njide Ndili, owners of Lionstone Ofshore allegedly stole and converted the sum of  $4.7 million belonging to Hercules Offshore Nigeria Limited, to  personal use.

The couple who are both Chief Executive Officer and Vice President of Lionstone Offshore Services Limited are standing trial on a four-count charge.

The defendants were arraigned on a four-count charge bordering on conspiracy, converting to personal use, and stealing, preferred against them by the Inspector General of Police.

They were alleged to have dishonestly converted $4,666,234.28  received from Addax Petroleum Development Nigeria Limited on behalf of Hercules Offshore Nigeria Limited.

The prosecution led by Assistant Commissioner of Police, ACP Simon Lough SAN alleged that the defendants obtained the money for the contract that the duo and their company, Lionstone Offshore Limited, entered into with Addax Petroleum Development Nigeria Limited, which was executed by Hercules Offshore Nigeria Ltd but failed to deliver the money to Hercules.

The offences were committed at Lionstone Offshore of A58 Road 2, Victoria Garden City Lagos, and Lionstone Offshore Services Ltd at No 38/39 Bull Plaza 19, Floor Marina Lagos between July 2012 and September 2013 in Lagos.

According to the prosecutor, the offence committed is contrary to Section 516,387 and punishable under section 390, of the Criminal Code law, Cap C38 laws of the Federation of Nigeria 2004.

At the resumed hearing of the matter on Monday which was slated for the commencement of trial, a Police prosecution witness Mr. Godwin Okon, told the court that the defendants entered into a contract agreement with Hercules and after the execution of the contract paid part payment of the proceeds from the contract.

Okon an accountant and a business analyst manager at Hercules, told Justice Olubunmi Abike-Fadipe, that they discovered that the defendant had converted the money into their personal use after they stopped remitting the payment that was made to their company Lionstone.

The witness who was led in evidence in chief Lough SAN stated that Addax Petroleum Development Nigeria had a contract with Lionstone Offshore Services Ltd which was executed by Hercules Offshore Nigeria Ltd, based on a joint written agreement entered between Hercules and Lionstone on January 14, 2010.

He narrated that sometime in December 2009, Ameachi came to Hercules to discuss the possibility of collaboration between the two companies, can team up, and carry out some contracts in the Nigeria Oil and Gas field.

Okon said the first defendant had based his reason on the expertise and experience of Hercules Offshore Nigeria Ltd, in the field, and by January 14, 2010, a joint bidding agreement was entered into and some terms were spelled out.

According to him, Lionstone was responsible for the submission of tenders and receiving of payments, while Hercules, was responsible to provide technical information and financial information.

The witness said,” Some of the other joint bidding agreement was the fees spelled out, Lionstone will be entitled to one time flat fee of $75,000 on the execution, then an annual amount of,$150,000, for three years.

” The duration of a fee equal to 2% of the net charted higher to be received by Lionstone. The contract was entered into by Lionstone and  Addax, in October 2010, but it was executed by Hercules based on an agreement.

” On the execution of the contract when there is payment, the payment will go to the Lionstone account then Lionstone on receiving such amount will remit the net amount after taking 2% of the net chatter higher.

” Lionstone paid the invoices from Addax from the inception of the execution of the contract up till June 2012 to Hercules, then from July 2012 to September 2013, Lionstone did not remit any money again.

“Based on the invoices after Lionestone had failed to remit the money to Hercules, and after making calls and nothing happened, our senior management went to Addax to inquire and it was from there that we were told that Addax, had paid all the invoices to Lionstone and that they were not owing Lionstone any money,” he stated.

Earlier the defendants and their company were arraigned on an amended charge and they pleaded not guilty. The trial commenced immediately and the judge adjourned the case to January 31, for the continuation of trial.