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Tag: Abubakar Madaki

  • EFCC re-arraigns Ladoja for diverting public funds

    The Economic and Financial Crimes Commission (EFCC) on Monday re-arraigned former Oyo State Governor Rashidi Ladoja for allegedly diverting the state’s funds.

    The re-arraignment followed an amendment to the charge by the commission.

    Ladoja was charged with converting N4.7 billion from the state treasury to his personal use.

    He was re-arraigned along with his former Commissioner for Finance Waheed Akanbi on 11 counts of money laundering and unlawful conversion of public funds.

    In the amended charge, EFCC added that Ladoja allegedly “compelled” a broker to sell the state’s shares.

    EFCC alleged that the former governor allegedly did not remit N 1.9 billion realized from the sale of the shares.

    The commission told the court that the money allegedly went to Ladoja, his family and friends and was not refunded.

    EFCC had closed its case before the amendment, but rather than open their defence, the defendants opted to file no-case submissions.

    Moving the no-case submissions on Monday, Ladoja’s lawyer Mr Bolaji Onilenla said EFCC did not make out a prima facie case against his client.

    Read Also: EFCC to push for Diezani’s extradition

    An EFCC investigator, Abubakar Madaki, had testified that the shares, worth N6.6billion, were sold without the state executive council’s resolution.

    According to the investigator, Ladoja engaged Fountain Securities as a portfolio manager to sell the shares at a discounted rate, adding that the shares were acquired by McLace Securities.

    But, Onilenla faulted Madaki’s evidence, arguing that the evidence he gave should have been given by the banks concerned.

    He said documents tendered by the prosecution through Madaki ought to have been certified and tendered by the banks and were therefore invalid.

    The lawyer said there were no complaints by the state that the shares were sold illegally.

    “We urge the court to hold that there is no prima-facie case against the first defendant and we court to discharge and acquit him accordingly,” Onilenla said.

    Counsel for Akanbi, Mr Adeyinka Olumide-Fusika (SAN), said what the prosecution witnesses said in their evidences were not sufficient to ask the defendants to enter a defence.

    “We urge the court to uphold the no-case submission of the second defendant,” the SAN said.

    But, prosecuting counsel Olabisi Oluwafemi urged the court to order the defendants to open their defence.

    He said the evidence given by the prosecution witnesses raises several questions for which the defendants should be called upon to answer.

    EFCC accused the defendants of converting N1,932,940,032.48 belonging to Oyo to their personal use through the Guaranty Trust Bank account of a company, Heritage Apartments Limited, despite knowing that it was proceed of crime.

    The prosecution said Ladoja removed £600,000 from the state coffers in 2007 and sent it to Bimpe Ladoja in London.

    Ladoja also allegedly bought an armoured Land Cruiser jeep with N42 million for himself using public funds.

    EFCC said he converted N728,600,000 and another N77,850,000 at different times in 2007, and allegedly transferred N77, 850,000 to Bistrum Investments, which he nominated to help him purchase a property named Quarter 361 in Ibadan, Oyo State capital.

    The alleged offence, EFCC said, contravenes sections 17(a) and18 (1) of the Money Laundering (Prohibition) Act, 2004, punishable under sections 14(1), 16(a) (b) and 18(2).

    Ladoja and Akanbi pleaded not guilty.

    Ladoja was governor from May 29, 2003 to January 12, 2006 when he was impeached. On November 1, 2006, the Appeal Court Ibadan, declared the impeachment null and illegal.

    The Supreme Court upheld the decision on November 11, 2009, and Ladajo resumed office on December 12, 2006. He, however, lost a re-election bid.

    Justice Mohammed Idris adjourned until November 12 for hearing.

  • Ladoja failed to return ‘stolen’ funds, EFCC alleges

    The Federal High Court in Lagos Wednesday heard that a former Oyo State Governor Rashidi Ladoja allegedly did not return his own share of funds he received from the sale of the state’s shares.

    Ladoja is on trial for allegedly converting N4.7billion from the state treasury to his personal use, which he denied.

    The Economic and Financial Crimes Commission (EFCC) charged him along with Waheed Akanbi, who served as Commissioner for Finance under Ladoja’s administration.

    An EFCC investigator, Abubakar Madaki, testifying in Ladoja’s trial, alleged that the former governor unilaterally gave instructions in 2007 that the shares, worth N6.6billion, be sold at discounted rates without the state executive council’s resolution.

    The witness said the money allegedly went to Ladoja, his family and friends.

    According to the investigator, Ladoja engaged Fountain Securities as a portfolio manager to sell the shares at a discounted rate, adding that the shares were acquired by McLace Securities.

    “In the course of our investigation, about N500million was recovered from McLace Security, Fountain Securities and other stockbrokers,” he said.

    According to him, Ladoja had promised to return his own share of the money, but never did.

    “EFCC recovered over N500million and some vehicles. All the recoveries were remitted to the Oyo State Government, except the money and vehicle that Ladoja got, which he claimed he would return but never did,” Madaki said.

    Read Also:Ladoja, family, friends blew N1.9b shares proceeds, says EFCC

    The witness said all the recoveries “were the balance that was supposed to be paid to the state government but was shared”.

    Madaki said the Nigerian Stock Exchange had also launched an investigation into how Oyo’s shares were sold.

    The witness said EFCC also discovered that a residential apartment known as Quarter 361 was purchased by Ladoja’s former executive assistant Adewale Atanda on Ladoja’s behalf, with the proceeds of shares from Heritage Apartments, which was the state’s broker.

    In order to verify that the property was acquired with the shares’ proceed, Madaki said EFCC requested for the payment details, and discovered that a cheque was written by Heritage Apartments.

    The witness said Atanda also bought 14 cars for the state lawmakers as well as for Ladoja and his wife using a loan obtained from Wema Bank.

    “They used the shares proceeds to offset the loan they took from Wema Bank. The accused benefitted from the vehicle. The wife also benefitted,” he said.

    The witness said investigations were extended to the Corporate Affairs Commission (CAC), to unravel the identity of another company named Bistrum Investment Ltd, which was also used in the transfer of Oyo State funds.

    He said though the first accused denied personal knowledge of Bistrum, he admitted knowing one its directors who he said was his cousin.

    Madaki said further investigations confirmed that Atanda’s account in Lagoon Homes, which also received part of the shares proceeds from stock brokers, was issued a bank draft of N70 million.

    EFCC accused Ladoja and Akanbi of converting N1,932,940,032.48 belonging to Oyo to their personal use through the Guaranty Trust Bank account of a company, Heritage Apartments Limited despite knowing that it was proceed of crime.

    The prosecution said Ladoja removed £600,000 (about N240, 219,945) from the state coffers in 2007 and sent it to Bimpe Ladoja in London.

    Ladoja also allegedly bought an armoured Land Cruiser jeep with N42million for himself using public funds.

    EFCC said he converted N728, 600,000 and another N77, 850,000 at different times in 2007, and allegedly transferred N77, 850,000 to Bistrum Investments, which he nominated to help him purchase a property named Quarter 361 in Ibadan, Oyo State capital.

    The alleged offence contravenes sections 17(a) and18 (1) of the Money Laundering (Prohibition) Act, 2004, punishable under sections 14(1), 16(a) (b) and 18(2).

    Ladoja and Akanbi pleaded not guilty.

    Trial continues Thursday.

     

  • How Badeh’s wife, two sons escaped to US – witness

    How Badeh’s wife, two sons escaped to US – witness

    A Federal High Court in Abuja heard Wednesday how the wife of former Chief of Air Staff (COAS), Alex Badeh and his two sons escaped to the United States on learning that they were being investigated in relation to alleged fraud involving Badeh.

    A prosecution witness, Abubakar Madaki, who testified at Wednesday’s proceedings in the Bdeh’s trial gave details of how the allegations against Badeh was investigated.

    Madaki, an investigator with the Economic and Financial Crimes Commission (EFCC) was led in evidence by lead prosecuting lawyer, Rotimi Jacobs (SAN) as the prosecution’s 18th witness.

    He gave Badeh’s wife’s name as Mary and his two sons as Alex Badeh (Jr) and Kam.

    He said his team of investigators was able to link some properties allegedly bought by Badeh through proxies to him from the movement of funds from the Nigerian Air Force’s account to the sellers.

    The witness said, “As of today, the subsequent buyers have not registered their interests.

    “Since the subsequent buyers have not registered their interests, as I earlier stated, we got the occupants of the property and those working on the projects, who took us to the final owners of the properties, because the properties have gone to three owners from the original owners.

    “It was the last owners of the properties that we traced the funds from the Nigerian Air Force to, via the agents.”

    He said Badeh’s  wife and two of his children  were being investigated for offences with which the ex-Chief of Air Staff, was charged.

    He said the three of them, however, escaped to the United States of America before investigation was concluded.

    He said all attempts to get them arrested turned out to be futile.

    He said, “At the initial stage, when we started investigation, we invited Alex Badeh (Jnr.) (Badeh’s son) who lives in 19 Kumasi Crescent, Abuja, one of the properties, among the properties earlier mentioned.

    “He happened to be a son of the first defendant (Badeh). He claimed to be a tenant in that property and since investigation was ongoing at the preliminary stage, we allowed him to go to come back when we had enough issues to question him about.

    “He left and never came back. We later got to know that he has left the country for America

    “We were also looking for Mary Iya Badeh, the wife of the first defendant, who is one of the directors in the second defendant (Iyalikam Nigeria Limited).

    “The second defendant (Iyalikam) had received so much funds from the alleged funds we are investigating.

    “She too, according to investigation has left the country for America.

    “Kam Badeh (another of Badeh’s son)  is one of the directors in one of the companies.

    “We have gone round the locations that we had information that he does business, but we are unable to get him.

    “Since the information was that they left through the International Airport, we wrote a letter to the Nigerian Immigration Service and the  Department of Security Service to watch-list them.

    “But We have not been able to get them,” the witness said.

    He said when his team concluded investigation in the case, it “discovered that the first defendant (Badeh) and his wife had earlier incorporated a company Iyalikam Nigeria Limited” in whose accounts they allegedly diverted the Nigerian Air Force’s funds.

    He added “The first defendant was Chief of Air Staff and subsequently the Chief of Defence of Staff. Funds from the Nigerian Air Force  were being diverted to the second defendant (Iyalikam).

    “We also discovered that N558,200,000 was being set aside for the first defendant from the NAF account.

    “Part of the funds were being exchanged into dollars and handed over to the first defendant. Some fractions of the funds were being distributed as directed by the first defendant.

    “The major part of the funds was exchanged into dollars and was used to acquire choice properties in Abuja by the director of finance, Salisu  Yishau.

    “The part of the funds were moved to Right Builders owned by PW4, Mustapha Yerima.”

    The witness als gave details about how a cash sum of $1m was found in Badeh’s residence at 6, Ogun River, Off Danube Crescent.

    “The property was purchased by the defendants with the funds we are investigating.

    “We found in the course of searching the premises $1m which was believed to be part of the alleged funds we are investigating.

    He also said $900,000, allegedly part of the diverted NAF’s funds, was deposited in Badeh’s accounts with the First Bank between 2012 and 2013.

    He said, “A total $900,000 between November  2012 to October or November 2013 was found deposited in the account. The money is believed to be part of funds we are investigating.”

    At a point, the prosecuting lawyer, Jacobs sought the court’s permission to play a video recording of how the EFCC allegedly recovered $1m a property said to be owned  Badeh in Abuja.

    When the court granted his request, Jacobs said he would bring another witness through whom he would play the video recording.

    During cross-examination by Badeh’s lawyer, Lasun Sanusi (SAN), the witness admitted that he (Madaki) did not personally participate in the purchase of the properties under investigation.

    On how funds allegedly diverted from NAF’s account were changed to dollars and eventually ended up in Badeh’s hand, he said the his team got to know about it during investigation.

    Earlier, in a ruling, Justice Okon Abang admitted as exhibits title documents of a N650m Abuja property  sold by Governor Ayodele Fayose of Ekiti State to buyers from who Badeh allegedly bought the property, suing a proxy.

    Justice Abang admitted the documents as exhibits after dismissing Badeh’s objection to their admission.

    Badeh and his firm, Iyalikam Nigeria Limited are being prosecuted by the Economic and Financial Crimes Commission (EFCC) on a 10-count charge of money laundering, in which they were accused of fraudulently removing about N3.97bn from the account of the Nigerian Air Force.

    They are also accused of using the money to buy and develop landed properties in Abuja for Badeh and two sons between January and December 2013.

    The documents admitted by the court’s ruling yesterday include the deeds of assignment between Fayose and Tony O. Ezekiel dated December 12, 2009, and the Certificate of Occupancy bearing the governor’s name.

    Other documents admitted as exhibits included a letter dated March 4, 2016 with attachment sent by the Lands Department of the Federal Capital Territory Administration in response to EFCC’s request; a reply dated May 5, 2016 by the Abuja Geographic Information; letter by the Solicitor-General of the Federation and Permanent Secretary of the Federal Ministry of Justice.

    The prosecution’s 4th witness, Mustapha Yerima, who testified on May 23, 2016,  Mustapha told the court  how a plot of land in Abuja worth N650m and which was originally owned by Fayose was purchased by Badeh for the construction of a shopping mall at a cost of N1.2bn.

    Yerima, a contractor and Managing Director of Life Builders Technology Limited, Said the shopping mall is located along Amino Kano Crescent, in Abuja.

    He said Badeh eventually acquired the land from the third buyer.

    Yerima said he reached a bargain with Badeh to build the mall for N1.2bn.

    He said that a former Director of Finance and Account of the Nigerian Air Force, Air Commodore Aliyu Yishau (retd), who had earlier tes‎tified as the first prosecution witness (PW1), was the middle man between him and Badeh.

    The trial resumes on November 1.

  • EFCC: how Fayose diverted N860m poultry fund

    EFCC: how Fayose diverted N860m poultry fund

    •’Ex-governor’s deputy Olujimi got $50,000’

    Hearing of the fraud charges levelled against former Ekiti State Governor Ayodele Fayose by the Economic and Financial Crimes Commission (EFCC) began yesterday at the Federal High Court in Ado-Ekiti, the state capital.

    The commission tendered documents exposing how Fayose “diverted” N860 million meant for poultry projects during his tenure through his wife, Feyi; his deputy, Mrs. Biodun Olujimi; and others.

    EFCC has been pursuing a case of N1.2 billion fraud against the former governor.

    Giving evidence before Justice Adamu Hobon of the Federal High Court, sitting in Ado-Ekiti, an EFCC official, Mr. Abubakar Madaki, named Fayose’s wife, his mother and Mrs. Olujimi as beneficiaries of the funds.

    EFCC lawyers, led by Mr. Adebisi Adeniyi, presented the documents in support of their evidence through Madaki.

    The documents included Fayose’s statement during his visit to the Lagos office of the EFCC, petitions against him and documents containing the names of the alleged beneficiaries of the money.

    Also tendered were cheque stubs, reports from the Federal Ministry of Works and a letter acknowledging that Mrs. Olujimi collected 50,000 dollars.

    A building plan designed by Grid Associates for Fayose’s home in Ibadan, the Oyo State capital, and a copy of an agreement between the Ekiti State government and Biological Concepts Nig. Ltd., handlers of the project, were also tendered.

    All the documents were admitted as exhibits by Justice Hobon.

    Madaki said he headed the team that investigated the petitions against the former governor, noting that only four of the 20 poultry farms in the agreement were concluded.

    He said: “Some of the farms had three or four pens, instead of the five or six stated in the agreement.”

    Madaki said the agreement stated that the company would set up poultry farms in four areas, with the headquartres in Afao-Ekiti, Fayose’s hometown.

    He said the commission found out that none of the poultry sites had provision for power generating sets or boreholes as indicated in the agreement and they were all overgrown with weeds.

    Madaki said the Chairman of Biological Concepts Nig. Ltd., Mr. Gbenga James, and some government officials linked with the project were questioned.

    He said: “There was also a figure in one of the documents that was used to purchase a car for Fayose’s mother. In the documents was an acknowledgement by Mrs. Olujimi that she received 50,000 dollars.

    “James was invited to comment on the documents and he confirmed that some funds were used to build Fayose’s house at Iyaganku in Ibadan. He also confirmed transferring N156 million for the purchase of a battery cage for his (James’) farm, which he claimed was an arrangement between him and Fayose.”

    Madaki said investigation at the company’s office in Ibadan and the home of Mr. Wale, who is said to be Fayose’s close friend, showed how the money was diverted by the former governor through his wife, his former deputy, and other associates.

    The witness said the company collected 15 per cent of the contract sum before the agreement was signed, adding that several disbursements to individuals were marked “PR”. He said Mrs. Olujimi confirmed receiving the money as “her share” during investigation.

    He said N300 million was released for the poultry farm at Afao, but “the architect who designed the farm said he was given only N73 million for the project”.

    Justice Hobon adjourned the hearing till today to allow the prosecution present more documents to support its case.