Olam Group says evidence not found in multi-billion dollar fraud allegations

Its Nigeria business continues its operations as usual.

Olam Group clears that its investigation team found no evidence supporting the allegations outlined in announcements dated 11 and 13 September, which claims its Nigeria unit was part of a multi-billion dollar forex fraud.

To recall, the company said reports stating that Olam Nigeria has “funnelled” about US$34b into the  Central Bank of Nigeria through its Special Purpose Vehicles (SPVs) “under the guise of capital importation at official rates” is “manifestly inaccurate and designed to be misleading.” 

“Based on the Olam Group's audited financial statements, which are publicly available, the Olam Group's cumulative turnover in Nigeria, including all export, import and domestic sales, for FY2015 to FY2022 was US$14b in total, and for the same eight-year period, the value of capital importations via Certificates of Capital Importations for the entire Olam Group in Nigeria was US$2.4b in total,” the company explained in a local bourse filing last year.

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Following these events, Olam's Board instructed the Audit and Risk Committee (ARC) to review the allegations, it said in a press statement. 

Specifically, there was no indication of Olam Nigeria's involvement in the alleged activities. Olam Nigeria has cooperated fully with Nigerian authorities, who have not pressed charges against the company or its officers. Business operations in Nigeria continue as usual.

Olam said it remains committed to its strategic plans in Nigeria, seeking growth opportunities while enhancing governance and compliance measures in the region.