A Lagos-based businessman, John Ibe Nnadozie, has been remanded in prison custody following his arraignment at the Igbosere Magistrate's Court sitting at Tinubu over allegations of diverting diesel worth N11 million.

According to police reports, Nnadozie allegedly obtained 9,167,000 litres of diesel valued at N11 million from Ajayi Segun, the manager of Obededom Oil and Gas Limited. The transaction was made under an agreement that Nnadozie would sell the product and remit the proceeds to the company.

However, investigators claim that after selling the diesel, Nnadozie diverted the funds for his personal use and subsequently disappeared, prompting legal action against him.

Investigation and Arrest

The case came to light following a petition to Assistant Inspector General of Police, AIG Adegoke Fayoade of Zone 2 Command, Lagos. After investigations, authorities located and arrested Nnadozie.

Police Prosecutor ASP Jimoh Joseph presented a three-count charge against the businessman, marked P/25/2025. The charges include obtaining goods under false pretence, stealing, and providing false information.

The prosecution informed the court that the incident occurred in March 2024 at 20, Oredayo Street, Agege, Lagos. The offences allegedly contravene Sections 411, 314, 287, and 96(a) of the Criminal Law of Lagos State, 2015.

Court Proceedings

When the charges were read to him, Nnadozie pleaded not guilty to all counts. While the magistrate granted him bail, the court ordered his remand in prison custody until he fulfills the stipulated bail conditions.

The case highlights ongoing concerns about fraud in Nigeria's petroleum product distribution chain, where similar schemes have resulted in significant financial losses for businesses operating in the sector.

The court has adjourned the case for further proceedings, though the specific return date was not disclosed in the initial report.