Leonoil Company Limited, a renowned petroleum marketing entity in Sierra Leone, has stepped forward to address the misinformation circulating regarding a transaction conducted three years ago with SKM Enterprise, led by CEO Jaffer Zeghir.
In response to years of malicious publications targeting the company and its CEO, Ibrahim Cole, Leonoil aims to set the record straight on the facts surrounding the transaction.
According to disclosures, three years ago, Mr. Zeghir purchased 430,000 litres of fuel, of which only 230,000 litres were uplifted. Despite numerous attempts to inform Mr. Zeghir of an impending price change by the Government of Sierra Leone, he allegedly refused to collect the remaining 200,000 litres, citing full storage capacity at his stations and bulk road vehicles.
Leonoil asserts that it advised Mr. Zeghir of the importance of collecting the remaining product before the government-imposed price change or facing the obligation to pay the difference. However, Mr. Zeghir purportedly declined to pay the increased price and rejected all attempts by Leonoil to refund the money for the uncollected fuel.
The company emphasizes that adherence to government regulations regarding price changes on undelivered products has been standard practice for over 40 years. Despite this, a court ruling was issued against Leonoil, exempting Mr. Zeghir and SKM from paying taxes owed to the government.
In response, Leonoil has filed an appeal in the court of appeal, contesting the ruling on the grounds that it goes against Sierra Leone’s tax laws and sets a precedent for tax evasion. Contrary to circulating rumors, the appeal process has not yet begun, and Leonoil remains committed to upholding the law, fairness, and integrity.
The company maintains that the current situation exemplifies the challenges it faces in ensuring compliance and justice in the face of alleged intimidation and threats from Mr. Zeghir.
