Reps threaten to sanction Conoil over alleged N3.182bn debt to PPMC

The House of Representatives Adhoc Committee ‎ has threatened to bar Conoil Plc from lifting petroleum products over its default on a N3.182 billion debt owed the Petroleum Products Marketing Company (PPMC).

The Abdullahi Mahmoud Gaya-led committee probing the alleged debt of more that N500 billion and acts of sabotage by oil marketers, made the threat after it discovered that Conoil was in default of the 15-day allowable credit circle without paying interests, even as it continued to lift oil products.

However, the Financial Controller of Conoil Plc, Abdulateef Ijaiya, stated that the debt position of the company to government as at December 31 was N3.3billion, of which N2.5billion is due to PPMC.

Ijaiya, who admitted that Conoil had once been penalised for defaulting in payment, expressed the resolve of his outfit to pay the amount in a week, in line with his firm’s payment system.

Gaya asserted that Conoil had been found wanting since it continued to lift products, leading to the debt to rise to N3.3bn without paying anymore penalty.

A committee member, Bode Ayorinde (PDP, Ondo) told Conoil that the committee would have appreciated tabulation of the value of products lifted and the debt schedule as well as at when it would be paid.

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