Transparency International And The Challenges Of Corrupt Practices In Nigeria 1993 – 1998 (A Case Study Of General Sani Abacha)

Project and Seminar Material for International Relations

Transparency International And The Challenges Of Corrupt Practices In Nigeria 1993 – 1998 (A Case Study Of General Sani Abacha)


The main objective of this work is to access and evaluate how corruption has eaten deep into the economy of Nigeria. Also to understand the negative impact on the economy growth and development of Nigeria. Different types of corruptions will be looked into and how Nigeria was created by the international community during the era of General SaniAbacha from 1993 – 1998. How prominent Nigerian lost their lives and freedom during this era.

Chapter One


1.0 Background of Study

The history of corruption is as old as the world, because ancient civilizations have traces of widespread “illegality and corruption” (Dike, 2005). Various writers unite on the view that corruption, as a malaise, is not the exclusive preserve of any nation, race or section of the world but transcends national boundaries and frontiers and symbolizes phenomenal universal unwholesomeness politically, economically, religiously and culturally (Okunola, 1991; Oyebode, 1999). This does not, however, mean that the incidence and magnitude of corrupt activities are the same in every society. Some countries are obviously more corrupt; yet others have better plans in managing corrupt activities. From all indications Nigeria is not one of those that can effectively handle corruption, despite its unending corruption commissions and all the noise made by every administration on the efforts to transform the nation into a corruption free society. In Nigeria today, there are many unresolved problems, but the issue of the upsurge of corruption is alarming. Corruption is endemic in Nigeria. The damages it has done to the polity are astronomical. This menace has led to situations like slow movement of files in offices, police extortion of toll fees, port congestion, queues at passport offices and petrol stations, ghost workers syndrome, election irregularities, among others. Thus it is believed by many in the society that corruption is the bane of Nigeria. Consequently, the issue kept reoccurring in every academic and informal discussion in Nigeria.

History of Transparency International

Transparency international, briefly (TI), is a non-governmental organsiation with seat, acting world-wide, in Berlin which engages itself in national and international people and economical corruption fight and raising the awareness of it. This includes, but not limited to political corruption, it publishes yearly its corruption perception index, a comparative listing of corruption worldwide. Transparency international were created in 1993 in Berlin friends from all over the world engaged by the former director of world Bank Peter Eigen and developed in shortest time to one most influential non-profit and partly-political independent movement of the most recent time, which can be compared concerning it political influence, for instance with Attac or Amnesty international. The head office of Transparency international and Transparency International Germany are in Berlin. The cause for the establishment of the organisation was the idea, the world corruption, which had accepted unbelievable extents and effect in the time of the cold war to fight by independent influencing control of an outstanding and particularly control instance standing for itself.

The worldwide reasonance on the establishment of transparency international in the year 1993 was unexpected. The historical framework offered a favourable surrounding field. The old iron curtain was with the German unit finally pleases, the core of the European union joined themselves straight, the Gulf was in Iran and Iraq, the civil war in Yugoslavia humans for justice had sensitized and frame the U.S.A, “blew the democratic wind” the Clinton era. Much was ready in paying a new. The idea of transparency international fell on fruitful soil, however in response also defense and criticism provoked.

Philosophy of the Movement and It’s Proceedings

Transparency International already carry the basic concept in the name. In the variety of the different kind of corruption is according to the principles of the organisation as large common denominator, when solution, to prevent simple transparency in handling the things crucially, which it make possible, corruption leads into constructional courses. Because so paradoxically has from the point of view of this system also jedwede corruption in society and economics their sense. It is the symptoms for a malfunction in the system and if one liked to fight corruption, one must extract their fertile soil from her:

  1. By consistent disclosure and transparency of the things and linear path by current control by independent supervision
  2. By persuasive power and acceptance opposite concerning and authors.
  3. By careful selection and rotation of the personnel within the ranges concerned.

Multi-eye principle with financial effective control decision Complete documentation, particularly in the assignment and procurement area.

Most corruption accusation take place under poverty suffer on international level in state (South America, Africa). One of these states formed a proper vicious circle from poverty and corruption, which from own Kraft of the states hardly more is to be broken through and it makes susceptible thereby for outside political influencing control. When the fact appear particularly paradoxical that a certain “corruption impact is already presupposed” in investment funds (usually 10% of the sum total). Financed in development assistance project usually from tax funds to be the same country the corruption again.Hence, it most often in interest of foreign ruling powers or companies to promote the corruption in a country to induce if not straight, in order to enrich itself.

The beginning of transparency international is not confrontative but consenstative contrary to Amnesty international of Green peace, D. H. the government or to stand comparing head as supporters and aids on an equal footing in things corruption to the side and meet them with reason and understanding. A beginning that always does not become and pretty often in the cross fire of the criticism was gladly seen stands. Straight of others non-governmental organisation (NGO), like Attac or Green peace, those their popularity from the power of the mass and the road refer. Peter Eigen justifies this proceeding with his origin.

Someone like the director of the world Bank within the range East Africa nearly 25 years “more over the top” in the political, social and economic High Society operated, could demonstrate badly also over 60 years again with a protest poster before company building.

It had to continue, where it had stopped. Above in the executive floor, in addition, this explains the success of transparency international. Before scarcely 15 years in particularly citizen of Berlin Manson as bare vision based, applies for transparency international today as one of most successfully anti-corruption movement of the world, which operate in the meantime offices in over 90 states locally established national and chapters’ information.

1.2 Problem Statement

In Nigeria, corruption kick-starts as a process of social decadence by enthroning the reign of roguery and unvarnished dishonesty, it allows ethical recklessness, and invites a normative chaos, that erodes every sane social value. It defaces and corrodes social mores, with lavatoriesrottenness. It sabotages the common will and enables the embezzlement of the nation’s posterity. Corruption has been broadly defined as a perversion or a change from good to bad. Specifically, corruption or corrupt behaviour involves the ‘violation of established rules for personal gains and profit. Corruption is ‘efforts to secure wealth or power through illegal means- private gain at public expense.
The Government has already embarked on recollecting the Abacha loot from foreign Governments and in this project we look at the efforts of transparency international on the corrupt practices in Nigeria.

1.3 Objectives of the Study

The main objective of the study is to access and evaluate how corruption has eaten deep into the economy of Nigeria under the Abacha regime. While other specific objectives are:

  1. To understand the negative impact on the economy growth and development of Nigeria. Investigate the impact of corruption and corrupt practices in Nigeria under the Sani Abacha Regime.
  2. To determine the role played by transparency international in combating corruption in Nigeria during the Sani Abacha Regime.
  3. To evaluate the response of the previous Government on the Abacha loot.
  4. To provide plausible recommendations and way forward on the problem of corruption in Nigeria.

1.4 Research Questions

Question 1

Has transparency international been able to tackle the challenges of corrupt practices in Nigeria?

Question 2

How has previous Governments been responding to transparency international on Abacha’s loot and its recovery process.

1.5 Significance of the Study

The study is important as it seeks to evaluate the transparency international and the various challenges of corruption and corrupt practices in Nigerian. The study also revealed the extent to which corruption will impact on the economy generally. The study is an added contribution to the existing knowledge on revenue and service delivery in Local Government and ways on improving the two. The research will also help other researchers who may wish to carry out research of similar nature.

1.6 Scope and Limitations of the Study

This Project focused on the study of transparency international and challenges of corrupt practices in Nigeria.
As with any other research, there were restrictions or constraints that the researcher encountered. The limitations of this study include:

i. Financial Constraint:

It is an established fact that every research work consumes a lot of money. Therefore, the financial requirement for gathering data, typing of the project subsequently and other related expenditure served as a major constraint to this research work.

1.7 Definition of Terms


In general, corruption is a form of dishonesty or criminal activity undertaken by a person or organization entrusted with a position of authority, often to acquire illicit benefit.

Corrupt Practices:

There are many kinds of gratification, including money, sexual favours, properties, promises, services and etc. Favours also come in different forms such as seeking confidential information, leniency, special privileges, contracts and etc.

1.8 Organization of the Study

This research work is organized in five chapters, for easy understanding, as follows

  • Chapter one is concerned with the introduction, which consist of the (overview, of the study), historical background, statement of problem, objectives of the study, research hypotheses, significance of the study, scope and limitation of the study, definition of terms and historical background of the study.
  • Chapter two highlights the theoretical framework on which the study is based, thus the review of related literature.
  • Chapter three deals on the research design and methodology adopted in the study.
  • Chapter four concentrate on the data collection and analysis and presentation of finding.
  • Chapter five gives summary, conclusion, and recommendations made of the study.

Chapter Five


In nearly five secretive years in power, Nigeria’s Gen. Sani Abacha built a reputation for authoritarian, sometimes brutal rule. He was less known — but in terms of his legacy to Nigeria, perhaps more important — for overseeing a web of corruption that Nigerians and oil industry sources say plundered billions of dollars from the country.
Abacha died at age 54. While he ruled Nigeria from a fortified presidential villa in Nigeria’s capital, the sources said, he and a circle of aides and business partners tapped virtually every stage of the oil business, Nigeria’s most important industry and the source of 80 percent of its government revenue. They took kickbacks from foreign companies for licenses to search for oil in the basin and delta of the Niger River and offshore. They got bribes from construction firms that won contracts to build drilling rigs and pipelines.And, in a business that generated a daily river of cash, Abacha and several associates supervised every sale of Nigerian crude by the state-owned oil company, the sources said, sluicing off an unknown percentage of the $10 billion a year that Nigeria earns on average in oil sales.

In recent years, Abacha, his allies and top officials have added a new form of corruption that is killing the Nigerian economy — the siphoning of money used by Nigeria’s oil refineries to turn crude into gasoline. Finance and Oil Ministry officials argue openly in the Nigerian press over who is responsible for diverting more than $2 billion from the four state-owned refineries in recent years, but the refineries’ ruin creates an artificial fuel shortage for this nation of more than 100 million people.

Nigeria is thus forced to import refined fuels, such as gasoline, and, traders say, Abacha and his cronies controlled that trade too, skimming off a percentage. The government subsidizes the sale price of gasoline and other fuels, but Abacha loyalists among the officer corps and civil service divert much of the available supply to sell on the black market or to neighboring countries. The fuel shortage has forced the economy into near depression, leaving millions of people poorer and sicker.

“In Nigeria, corruption isn’t part of government, it’s the object of government,” said a Nigerian political scientist who asked not to be named. For 28 of the 38 years since Nigeria gained independence from Britain, the country has been ruled by the military, and Nigerians say corruption has grown steadily. For the past two years, Transparency International, a Berlin-based organization that monitors corruption, has conducted surveys of businessmen that have ranked Nigeria as the world’s most corrupt place to do business.

Since the growth of Nigeria’s oil industry in the 1970s, military rulers have controlled the trade. But whereas earlier rulers doled out the graft to key supporters, “Abacha has increasingly monopolized the trade himself,” said John Bearman, a London-based oil industry analyst. “There is no deal that does not go through the presidential villa.”
Under Abacha, corruption took Nigeria further into economic collapse than ever before. Besides the collapse of the fuel distribution system, the telephone network is decaying. The electrical grid is failing. Almost no part of Lagos — the steaming, teeming financial and commercial capital — gets electricity all day, and vast tracts of the city of 8 million never get power at all.Business is mired by a thousand such failures, and analysts estimate the unemployment rate to be at least 25 percent. Millions of Nigerians survive on ingenuity and doggedness as street vendors, curbside fix-it men, prostitutes, subsistence farmers.

Abacha avoided broad publicity involving state corruption partly by keeping a low profile abroad. His face was ubiquitous on Nigerian television and in government publications but little known internationally.
“He is a recluse,” a Western diplomat said in Lagos last month. “He seldom leaves Aso Rock [the presidential villa], and he says very little in public for a head of state.”

Abacha and his entourage “live a pretty weird lifestyle,” said one former trader who has dealt in oil with Abacha’s family. He and others told of traders arriving in Abuja, the capital, and waiting at a luxury hotel for several days before being summoned — often after midnight — to the presidential villa to sign contracts with Abacha’s aides. Abacha “works all night and sleeps all day,” said the former trader, who asked not to be named. “If you didn’t get your deal done by 6 a.m., you’d have to go back.”

Nigerians and international economists say Abacha appears to have hidden his wealth well. Nigerian journalists who have investigated corruption say he appears to have particular business interests in the Persian Gulf region and the so-called “tiger” economies of Asia and Brazil.

Much of the oil that Nigeria pumps each day goes to the major international oil companies — Shell, Mobil, Chevron and others — that operate the oil fields. But the largest single share goes to Nigeria’s state oil company, which, under the direction of Abacha’s camp, sells its oil to independent traders.

According to official announcements of oil sales and reporting by the London-based oil newsletter Energy Compass, Nigeria’s main trading partners in the Abacha era have been the London-based firms Arcadia and Addax, and the Swiss-based company Glencore, which was under the control of Marc Rich, an American commodities dealer.
Abacha’s predecessor, Gen. Ibrahim Babangida, “doled out the contracts” to a wide circle of supporters, allowing them to take commissions from oil traders, said Patrick Smith, editor of the London-based newsletter Africa Confidential.

When the 1991 Persian Gulf War drove oil prices upward, Nigeria earned a windfall that never made it to government coffers. Soon after taking power as he wooed political support, Abacha named a commission headed by Nigerian economist Pius Okigbo to investigate. Okigbo reported that $12.2 billion in oil earnings had disappeared between 1990 and 1994, but no one was ever prosecuted.

The former trader, a European, said he participated in three oil purchases in recent years — technically from Nigeria’s state oil company but negotiated with Abacha aides at the presidential villa. Each contract specified a “commission” to be paid to a specific beneficiary, he said.

He declined to name the beneficiaries on the contracts he helped negotiate. He said other traders had noted that sometimes the beneficiary is a well-known Nigerian, and at other times “it’s a completely unknown person” who traders believe is a front for someone else. He said the contracts he dealt with ordered the commissions paid to bank accounts in Singapore, Bermuda and Switzerland.

Kickbacks paid by traders are so high that they “can’t make a profit selling the oil on the spot market,” said Bearman, the London-based analyst. Instead, “they make their money by buying huge quantities of crude, using it to manipulate the futures market,” he said.

The trade in refined products is even more corrupt, sources said. “The government is deliberately keeping our own refineries shut down and starving our economy for fuel,” said a Nigerian oil industry analyst in Lagos who spoke on condition he not be named.

Nigerian journalists, who often are jailed for reporting on corruption, are careful about what they publish about the gasoline scam. A trade journal, Nigeria’s Oil and Gas Monthly, noted that Nigeria has announced plans to spend $600 million to import refined fuels between January and September. “Paradoxically . . . less than half of that amount would have breathed life into two of the four” Nigerian refineries, it said. “The fear, as always, is that those who perennially benefit from the state of the . . . refineries will do and pay everything to ensure that the status quo remains,” the journal said.

A key partner of Abacha has been the Chagoury family. Its patriarch, Rene Chagoury, immigrated to Nigeria from the north Lebanese village of Miziara and prospered as he and his family developed flour mills and a modest construction business.

Among Rene Chagoury’s five sons, the oldest, Gilbert, had befriended Abacha as early as the 1970s, according to a Lebanese friend of the family. After Abacha took power in 1993, Gilbert Chagoury became a familiar figure at the presidential villa, and the family’s businesses began mushrooming.

When Gilbert Chagoury “flies into Abuja for one of his numerous business visits . . . he is treated like a head of state,” the News, a Nigerian weekly, reported in a cover story on the Chagourys last November. “He arrives . . . in private jets and is whisked off from the tarmac without all the customs, immigration and security hassles . . . to Aso Rock,” the News said.

Soon after the article was published, its author, editorBabafemiOjudu, was seized by Abacha security men and held without charge until being released last month. Ojudu, Nigerian business executives and Western diplomats said the Chagourys seized disparate new chunks of business after Abacha came to power, including contracts to buy Nigerian crude oil, build large government buildings — and, in 1994, to supply all of Nigeria’s fertilizer.

The family’s flagship firm, Chagoury&Chagoury, has been one of the biggest beneficiaries of a push to develop Nigeria’s half-constructed capital, Abuja. The firm has built such key installations as a secretariat to house numerous government ministries and the headquarters of the secret police force, the Special Security Service. But after the magazine cover story, formal plaques on those buildings that listed the company as builder were removed.
Nigerian journalists and business executives said the Chagourys have direct business partnerships with Abacha. In the immediate aftermath of Abacha’s death today, the Chagoury family could not be reached for comment. But in one recent public acknowledgment, a prominent director of Chagoury&Chagoury announced that the company’s office tower in a posh neighborhood of Lagos was built on land owned by Abacha. Neither Abacha nor the company ever denied it.

In recent years, Gilbert Chagoury tried to curry favor with the Clinton administration on Abacha’s behalf. He contributed $460,000 to a Miami-based voter registration group to which he was steered by Democratic Party officials, and won meetings with National Security Council officials, including Susan E. Rice, now the assistant secretary of state for African affairs.

Unlike Zairian strongman Mobutu SeseSeko, who flaunted palaces and villas he owned throughout Europe and elsewhere before his death last August, Abacha has revealed no foreign assets. But in Abuja, Nigerian journalists and business sources said the Abacha family is known to own numerous businesses and properties.

Abacha’s oldest son, Ibrahim, was the family’s main business manager until he was killed in a plane crash in 1996, the sources said. They said an example of the privileges accorded Abacha and his business partners is the story of Delta Prospectors Ltd., a company that Ibrahim Abacha helped set up. Delta mines barite, a mineral that is a source of barium and an essential material for oil production.

This spring, shortly after Delta announced that its operations had reached full production, the government declared a ban on the import of barite, making the Abacha-owned company the monopoly provider for the huge Nigerian oil industry.

Nigerian journalists and business sources in Abuja and the northern city of Kano said the Abacha family keeps palatial private residences in both. The family’s home in Kano is concealed behind fences and armed guards and “is truly opulent and spectacular,” said a source who visited the home a few years ago.

Project Material Download

5,000 5000

The Complete Material Will Be Sent to You in Just 2 Steps

Quick & Simple…

Step One Purchase

Make Payment (Through Transfer) of ₦5,000 to Any of the Account Below

Access Bank PlcAcc No: 0811003731
Samphina Academy
Current Account
Zenith BankAcc No: 1225513212
Samphina Academy
Current Account
PalmPay Main LogoAcc No: 8143831497
Samphina Academy
Digital Account

Or CLICK HERE To Pay With Debit Card

CLICK HERE To Purchase Material ($15)
Make Payment of 120 GHS to 0553978005 | Douglas Cloud Osabutey | MTN MoMo

Step Two Purchase

Send the Following Details on WhatsApp ( 08143831497) After Payment

  1. Payment Details

  2. TOPIC: Transparency International And The Challenges Of Corrupt Practices In Nigeria 1993 – 1998 (A Case Study Of General Sani Abacha)

The Complete Material Will Be Sent To You On WhatsApp After Receiving Your Details
T & C Apply

  Contact Our Help Desk

Need a Different Topic? Perform a Quick Search

List of Related Works

Click on Any Topic to Preview the Content

Samphina Academy

Samphina Academy is an Online Educational Resource Center that is aimed at providing students with quality information and materials to aid them in succeeding in their academic pursuit.