A British lawyer accused of helping a former Halliburton Co. subsidiary illegally bribe Nigerian officials to win more than $6 billion in construction contracts pleaded guilty Friday to federal charges and was ordered to forfeit nearly $150 million.

Jeffrey Tesler, 62, was charged with conspiracy and violating the Foreign Corrupt Practices Act, which among other things prohibits payments to foreign government officials to help obtain business. Tesler faces up to five years in prison on each count and up to $250,000 in fines when sentenced June 22. Nine other counts were dismissed under the plea deal.

U.S. District Judge Keith Ellison released Tesler, a dual citizen of Britain and Israel, on $50,000 bond and ordered him to stay in Houston until his sentencing.

Tesler was arrested in London in February 2009, accused of helping steer bribe money from Houston-based Kellogg, Brown & Root LLC to Nigerian government officials to win more than $6 billion in contracts for liquefied natural gas facilities.

The bribery occurred for about 10 years, through 2004, and Tesler was involved in at least four construction contracts, Assistant U.S. Attorney William Stuckwisch said.

"Mr. Tesler knew it was unlawful for him to bribe foreign officials," Stuckwisch told Ellison during Friday's hearing.

Tesler's attorneys unsuccessfully argued that their client shouldn't be extradited because the crimes didn't have a substantial link to the U.S. and the passage of time might prevent a fair trial. The British High Court in January said Tesler could be sent to the U.S.

"You seem an unlikely person to be here," Ellison told Tesler, who stood before the judge Friday wearing olive green jail clothing and in handcuffs and leg chains.

"I agree with that assessment," Tesler replied.

When Ellison said he assumed Tesler was engaged in the bribery "because everybody was doing it," Tesler responded: "I think that's a fair comment."

Tesler's lawyer, Bradley Simon, declined to comment on why his client had taken the plea deal.

Tesler, who surrendered his passport, could face a reduced sentence depending on his continued cooperation with authorities, prosecutors said.

Another British man indicted with Tesler, Wojciech Chodan, pleaded guilty in December to one count of conspiracy to violate the Foreign Corrupt Practices Act. His sentencing is set for April 27.

The charges against the pair were part of a U.S. investigation of KBR Inc.'s practices in Nigeria.

In February 2009, KBR pleaded guilty in Houston federal court to violating the Foreign Corrupt Practices Act by authorizing and paying bribes from 1995 to 2004 for contracts to build liquefied natural gas facilities on Bonny Island, Nigeria.

The company agreed to pay more than $400 million in fines. A major engineering and construction services company with operations around the world, KBR split from Halliburton in 2007.

KBR's former chief executive, Albert "Jack" Stanley, pleaded guilty in September 2008 for his role in the bribery scheme and is scheduled to be sentenced on May 5.

In December, Nigeria's anti-corruption agency charged current and former KBR and Halliburton executives, including former Vice President Dick Cheney, who at one time led Halliburton, in the bribery scheme. But the charges were dropped a few weeks later after Halliburton agreed to pay a $35 million settlement.

The Foreign Corrupt Practices Act, passed in 1977, prohibits payments to foreign government officials to assist in obtaining or retaining business or to secure an advantage to getting the business. Its anti-bribery provisions were broadened in 1998, to apply to foreign firms and persons who directly or through agents allow corrupt payments to take place.

Nigeria has a new Minister of Finance, Olusegun Aganga a managing director at Goldman Sachs branch in Britain. Aganga, a free marketer has a substantial experience in private industry together with his academic brilliance, he can efficiently manage and oversee Nigeria’s financial house. The minister of finance must be ready and keen to make sure that Nigeria will not fall into the trap of large external debt and higher inflation. This is important because Nigeria should not be throw back to the gloomy days of large foreign debt. Nigeria was overwhelm with the incireasing interest rates and arrears accumulated by the servicing of the foreign debt.

Nigeria external debt is currently over $5 billion dollars. Many Nigerians will be surprise to hear that Nigeria is still an indebted nation after she exited from the debt of Paris Club and London Club in 2006. Nigeria finally settled her debt of $36 billion but most Nigerians might think that Nigeria is forever free of external debt. But a thriving nation is likely to be in debt provided that the available credits are invested appropriately for creation of further wealth and improving the well being of the nation. Nigeria should try to establish criteria and benchmark for borrowing, at least to make sure that her debt does not exceed 2-3% of her GDP.

Nigerian Minister of Finance, Olusegun Aganga

In December of 2009, the former minister of finance, Mansur Muktar highlighted the state of Nigeria’s debt: "Nigeria’s exit from the Paris Club debt in 2005/2006, the external debt stock dropped dramatically and substantially from $35.94 billion to $3.54 as at the end of year 2006 but rose to $3.947 billion at the end of December 2009, including the $3.686 billion obtained from multilateral organizations namely World Bank, African Development Fund (ADF), International Development Association (IDA) and African Development Bank (AfDB) which has 40 year repayment period and 10 year moratorium period." It is essential that this is conveyed to average Nigerian taxpayers so that they become watchdogs to the finance of their country.

Also making the clarion call of country’s debt is Dr. Ngozi Okonjo-Iweala, the managing director of World Bank and the former finance minister of Nigeria. Okonjo-Iweala was among the principal leaders that facilitated and guided the country’s successful exit from both Paris and Club of Creditors in 2006. Recently in a lecture at University of Calabar she said, "In April 2006, Nigeria paid off the last installment due on its debt settlement agreement with the Paris Club, thereby erasing 30 billion dollars in external debt and reducing government external debt to 3.5 billion dollars."

Therefore the new minister of finance, Olusegun Aganga should deliberately and carefully monitor the country’s debt. The minister must closely work with Sanusi‘s Central Bank of Nigeria to tame inflation which can easily frustrate economic growth and further weaken the depreciating naira. Nigeria is issuing bonds to raise money for infrastructures development. Aganga must get involve and make sure that money raised will not be wasted and the burden of the debt passed down to powerless Nigerians.

Afripol Organization. Africa Political and Economic Strategic Center (Afripol) is foremost a public policy center whose fundamental objective is to broaden the parameters of public policy debates in Africa. To advocate, promote and encourage free enterprise, democracy, sustainable green environment, human rights, conflict resolutions, transparency and probity in Africa. This e-mail address is being protected from spambots. You need JavaScript enabled to view it