Seplat Energy and 12 officials are facing a $37.5 million tax evasion lawsuit, with a trial set for February 2025

[dropcap]S[/dropcap]eplat Energy Plc, formerly known as Seplat Petroleum Development Company Limited, and twelve of its senior executives have been dragged to court by the Federal Government of Nigeria.

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The legal action, filed by the Federal Inland Revenue Service (FIRS), accuses the company and its officials of evading taxes amounting to $37.5 million.

The lawsuit was filed before the Federal High Court in Lagos under Suit No: FHC/L/982C/24, alleging that Seplat and its executives failed to pay the statutory stamp duty on the Purchase Agreements for the assets of Oil Mining Lease (OML) 4, OML 38, and OML 41.

The charges, stemming from the company’s 2010 acquisition of these assets, claim that Seplat evaded tax payment and accrued interest, totalling $37,581,083.40.

The accused officials listed in the lawsuit are:

Roger Brown, CEO
Samson Ezugworie, COO/ED
Eleanor Adaralegbe, CFO/ED
Effiong Okon, MD, ANOH Gas
Ayodele Olatunde, MD, Seplat West
Obi Ada Itotoi, MD, Seplat East
Pius Ozoemenah Udeh, MD, Elcrest
Edith Owuchekwa, Company Secretary
Chioma Yvonne Afe, Director, External Affairs
Okechukwu Mba, Director, New Energy
Alasdair Mackenzie, Director, Strategy & Planning
Steve Ojeh, Director, Corporate Services

The FIRS has filed five separate charges against the individuals and the company, including the counterfeiting of the Commissioner of Stamp Duties’ seal on the agreements, a serious offence under the Federal Inland Revenue Service Establishment Act 2007.

The suit claims that by failing to pay the stamp duties, Seplat and its executives violated sections 23, 111, and 112 of the Stamp Duties Act, as well as other provisions of Nigerian tax laws.

The federal government is demanding the payment of the outstanding $37.5 million, along with penalties and interest.

In response to the lawsuit, Chioma Afe, Seplat’s Director of External Affairs and Sustainability, declined to comment, stating that the matter is under judicial review.

“The matter is in court and as such we cannot comment on it. Further information will be shared at an appropriate time as needed,” Afe said in a text message to The Witness.

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The case has been scheduled for trial on February 28, 2025, and its outcome could have significant implications for Seplat and its leadership, as well as for Nigeria’s tax enforcement.