UK Prosecutes Ex-Oil Chief in $52m Corruption Case Involving NNPCL

UK Government charges Ex-Oil Executive with corruption in $52m Nigerian bribery case...

Former Glencore executive Alex Beard and four others charged with corruption, accused of bribing officials in Nigeria, Cameroon, and Ivory Coast, as part of a broader investigation into corruption and market manipulation.

The UK's leading fraud agency has charged Alex Beard, a former senior executive at Glencore, and four other ex-employees with corruption. Beard, a high-profile figure in the industry, spent over a decade at Glencore before departing in 2019.

As a high-ranking executive, Beard is the most prominent individual to face charges in the ongoing investigations into corruption and market manipulation at Glencore. Notably, he is also one of the most senior commodity traders to be charged with wrongdoing, marking a significant development in the case.

The department disclosed that Glencore and its subsidiaries made payments exceeding $52 million to intermediaries in Nigeria, with the intention of using some of these funds to bribe Nigerian officials.

Glencore has agreed to a $1.5 billion settlement to resolve ongoing investigations in the US, UK, and Brazil, with $1.06 billion allocated to US and Brazilian agencies. This settlement coincides with the charges against Alex Beard and other former executives.

Andy Gibson, Glencore's former head of oil operations and Beard's deputy, is facing criminal charges. He is accused of conspiring to make corrupt payments in Nigeria, Cameroon, and Ivory Coast between 2007 and 2014, as well as falsifying invoices between 2007 and 2011.

Three former Glencore employees - Paul Hopkirk, Ramon Labiaga, and Martin Wakefield - face allegations of conspiring to make corrupt payments to officials in Nigeria, Ivory Coast, and Cameroon. Additionally, Wakefield is charged with falsifying documents between 2007 and 2011.

The accused individuals are set to appear at Westminster Magistrates Court in London in September 2023. Peter Binning, the lawyer representing Alex Beard, declined to comment on the matter. Lawyers for the other accused individuals did not immediately respond to requests for comment.

“Today's action is an important step toward exposing overseas corruption and holding those who are responsible to account,” Nick Ephgrave, Director of the Serious Fraud Office, said on Thursday, August 1.

In 2022, Glencore pleaded guilty to corruption and market manipulation charges in the US and UK, acknowledging that it had paid bribes to secure contracts in eight countries, including Brazil and South Sudan. As part of the settlement, the company agreed to pay approximately $1.5 billion to resolve the investigations.

“Glencore cooperated with the SFO in its investigation into this past conduct and resolved its SFO investigation in 2022,” a Glencore spokesperson said, noting the charges.

Alex Beard, a former top executive at Glencore, was a key member of the company's leadership team until his departure in 2019. As part of then-CEO Ivan Glasenberg's inner circle, Beard served on Glencore's management board as one of twelve department heads. His career at Glencore spanned over two decades, starting in 1995 after leaving BP Plc. He rose to become head of oil in 2007, earning recognition for his expertise in trading Russian oil. Following Glencore's initial public offering in London in 2011, Beard's significant stake in the company was revealed, valued at $2.8 billion, making him one of its largest shareholders.

Following his departure from Glencore, Alex Beard founded Adaptogen Capital, an investment firm focused on large-scale battery storage for the UK grid. In addition to his business ventures, Beard is a philanthropist, having made significant donations to Christ Church college at Oxford University and serving as a trustee for Shakespeare's Globe theatre in London. His net worth was recently estimated at £1.2 billion in the Sunday Times Rich List. However, his tenure at Adaptogen Capital came to an end on July 12, as reported in a filing with Companies House. The company declined to comment on the situation at the time.