The repatriation of the embezzled funds by the late Nigerian military ruler, General Sani Abacha, has suffered a major setback following US President Donald Trump’s decision to freeze all US government spending, including his assault on the Federal Bureau of Investigations (FBI) and the US Department of Justice (DOJ), which had been handling the negotiations between France and Nigeria regarding the funds. President Bola Tinubu’s administration officials had hoped that the US would repatriate $350 million of Abacha looted funds by the end of January 2025, but Trump’s attack on the US federal government has thrown a spanner in the works, stalling the process indefinitely. These funds, totaling $500 million, are subject to complex international legal proceedings involving the US government, the World Bank and international organizations like the United Nations Office on Drugs and Crime (UNODC). A US State Department source told Huhuonline.com that repatriation of the Abacha looted funds was not a priority for the new Trump administration.
Huhuonline.com understands that in 2014, a civil forfeiture complaint was filed by the United States DOJ, resulting in a judgment ordering the forfeiture of approximately $500 million located in accounts around the world, owned by Abacha and his associates. The DOJ has been working with international partners, including the governments of Nigeria and Jersey, to trace, seize, and repatriate these assets to Nigeria. France has already committed to returning $150 million to Nigeria and DOJ sources told Huhuonline.com that negotiations between France and Nigeria were being “facilitated” by the Franco-Lebanese-Nigerian businessman, Gilbert Chagoury, former financial advisor to Abacha and President Goodluck Jonathan. Chagoury, who lives in Paris, is hoping to regain the influence he enjoyed in Aso Rock under Abacha in the 1990s.
Huhuonline.com learned from DOJ sources that US the exact timeline for when the funds will be returned remains uncertain as the case has now been shelved sine die. A DOJ source also told Huhuonline.com that the case was being reviewed by the DOJ because Abacha and his associates laundered a significant portion of the embezzled funds through the US financial system. “The DOJ has jurisdiction over these funds due to the involvement of US financial institutions and transactions in the United States,” the source said. President Bola Tinubu is said to have raised the issue of restitution of assets embezzled by Abacha and his family with French President Emmanuel Macron and French Foreign Minister, Jean-Noël Barrot, during his recent visit to Paris. Tinubu had earlier raised the issue with former French Foreign Minister, Catherine Colonna during her visit to Nigeria in 2023.
Trump’s freezing of US government spending has had ripple effects beyond domestic policy, including the disruption of international legal processes. One such consequence is the stalling of the negotiations. The DOJ’s capacity to process, negotiate, and facilitate international financial restitution cases is now hampered by budget constraints. Repatriation agreements often require extensive legal review, cross-border negotiations, and the coordination of law enforcement agencies. With the US taking a lead role in asset recovery cases linked to global corruption, the DOJ’s inactivity has stalled progress on the Abacha looted funds case.
France and Nigeria had been working toward an agreement to recover and return the embezzled funds. The US was a crucial intermediary due to its jurisdiction over the financial networks and institutions holding the disputed assets. Trump’s budget freeze has now delayed US input, frustrating both France and Nigeria. The delay has weakened Nigeria’s ability to recover the stolen funds which Tinubu had hoped will be used to finance part of the 2025 budget. This situation exemplifies how political decisions, even those seemingly focused on internal governance, can have significant global consequences by disrupting international legal cooperation and the pursuit of justice in major financial crime cases.
