The Nigerian government and the United States have signed an asset return agreement for $52.88 million recovered from the forfeited Galactica assets, which were linked to Diezani Alison-Madueke, former Minister of Petroleum Resources, and her associates.
The agreement was formalized on Friday in Abuja during a ceremony attended by Lateef Fagbemi, Attorney-General of the Federation (AGF), and representatives of the US government.
The assets, which include luxury real estate in California and New York, as well as the Galactica Star, a 65-meter superyacht, were allegedly acquired using proceeds from illicitly awarded contracts. The US Department of Justice announced the final resolution of the civil forfeiture cases related to these assets in March 2023.
The forfeiture case also named Kola Aluko, a Nigerian businessman, and Jide Omokore, chairman of Atlantic Energy Drilling Concepts Nigeria Limited, as associates of Alison-Madueke.
Speaking at the signing, Fagbemi highlighted the significance of the agreement in ensuring that the recovered assets are channeled towards developmental initiatives in Nigeria.
“Today, the execution of the asset return agreement between the Federal Republic of Nigeria and the United States of America concretizes the repatriation of approximately USD 52.88 million arising from the forfeiture of the Galactica assets, linked to the former Petroleum Resources Minister Diezani Alison-Madueke and her associates,” Fagbemi said.
Allocation of Recovered Funds
The AGF detailed how the returned funds will be utilized:
- $50 million will be allocated through the World Bank to partially fund Nigeria’s Rural Electrification Project, aimed at increasing the reliability and availability of renewable energy across the country.
- The remaining $2.88 million will be disbursed as a grant to the International Institute for Justice (IIJ) to support its Rule of Law and Counter-Terrorism Project, which focuses on capacity building for criminal justice practitioners in East, West, and North Africa.
“These projects will no doubt contribute in no small measure to creating the enabling environment for socio-economic growth and development,” Fagbemi added.
