PIA: Isoko HCDT demands refund of alleged ₦128m deduction by settlor

The Isoko arm of the Host Communities Development Trust (HCDT) has called on settlors operating within its domain to refund over ₦128 million allegedly deducted from community funds without consent, in line with the Petroleum Industry Act (PIA).

The Chairman of Isoko HCDT, Hon. (Chief) Igorigo Godday Excellence, made the demand on Thursday at a one-day sensitisation workshop for stakeholders and petroleum host communities held at the Government House Annex, Warri. The workshop was organised by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

Hon. Excellence stated that the settlor operating in the area, Oando, had paid its dues for the 2022/2023 year and also paid 50 percent of its obligation for the 2024/2025 period, with a commitment to complete the payment within a short time.

However, he said the major challenge facing the communities was the deduction of funds at source by the settlor, a development he said almost cost him his life following backlash from members of his community.

“The problem we are having is the money the settlor deducted at source,” he said. “Like in my own community to be precise, I am just even alive by the grace of God. When the pressure came that I was the one that deducted the money, everybody wanted my head.”

According to him, the matter was reported to the Delta State Government after petitions were submitted by community members, leading to government intervention and clarification.

“They petitioned me to the state government, and the state government intervened. They found out the truth that it is not possible for an individual to withdraw money from that account,” he said.

Hon. Excellence disclosed that the amount allegedly deducted at source was about ₦128 million, adding that deductions were made from both Idheze and Oleh communities.

He explained that the communities were told the deductions were for an “interventionist project,” despite the fact that such a project already had a budget allocation and was not yet completed.

“Now that the PIA has commenced, you are deducting that money from our money?” he asked. “We are saying they should refund the money because communities like Palace Community and Eviehwo Quarters are major stakeholders. When money is removed without their consent, they have the right to ask questions, and it is known that the deduction was made by the settlor at source.”