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Tag: EFCC

  • EFCC re-arraigns Kalu for ‘laundering N7.6b state funds’

    THE Economic and Financial Crimes Commission (EFCC) yesterday re-arraigned former Abia State Governor Orji Uzor Kalu for allegedly laundering N7.65 billion state funds.

    He pleaded not guilty to an amended 39-count charge that was read to him before Justice Mohammed Idris of the Federal High Court in Lagos.

    The EFCC said Kalu, while he was governor between 2001 and September 2006, procured Slok Nigeria Ltd, a company owned by him and members of his family, to retain N7.2 billion in its Inland Bank Plc account on his behalf.

    The commission said the money “formed part of the funds illegally derived from the treasury of Abia State government and which was converted into several bank drafts before they were paid into the said company’s account”.

    Kalu was accused of collaborating with Udeh Jones Udeogu, Slok Nigeria and Emeka Abone (at large) “in concealing the genuine origin of an aggregate sum of N7,197,871,208.70…”

    The alleged offence violates Section 17(c) of the Money Laundering (Prohibition) Act, 2004, and was liable to be punished under Section 16.

    Kalu and Udeogu, a former Director of Finance in Abia State Government House, pleaded not guilty to the charge. They were initially arraigned on a 34-count charge to which five fresh counts were added.

    Prosecuting counsel Rotimi Jacobs (SAN) said the amendment was needed because of new evidence provided by the 19 witnesses, who testified in the trial. He said he would not call additional witnesses despite the amendment having closed the prosecution’s case on May 11.

    Besides the N7.2 billion, the defendants were also accused of receiving N460 million allegedly stolen from the Abia State Government treasury between July and December 2002.

    The EFCC said they breached Section 427 of the Criminal Code Act, Cap 77, Laws of the Federation of Nigeria, 1990.

    Udeogu, Slok Nigeria, Abone and Michael Udo, also at large, were accused of collaborating with Kalu to conceal the “genuine origin” of the allegedly stolen funds.

    Justice Idris, who was elevated to the Court of Appeal but was permitted to conclude the case, allowed the defendants to continue on the bail granted them 11 years ago when they were first arraigned.

    Defence counsel Gordy Uche, Solo Akuma and K.C. Nwofor, all Senior Advocates of Nigeria (SANs), said they had pending no-case submissions and that they needed time to respond to EFCC’s written address opposing their applications.

    Justice Idris adjourned until July 25.

     

  • EFCC re-arraigns Orji Kalu, raises charges to 39 counts

    A former Governor of Abia, Orji Uzor Kalu, was on Tuesday re-arraigned at a Federal High Court in Lagos on an amended 39-count bordering on fraud.

    Kalu, who is now a member of the ruling All Progressives Congress (APC) is being prosecuted by the Economic and Financial Crimes Commission (EFCC).

    The anti-graft agency is prosecuting Kalu together with his former Commissioner for Finance, Ude Udeogo, and a company, Slok Nigeria Ltd., said to be owned by Kalu.

    The News Agency of Nigeria reports that the EFCC had on Oct. 31, 2016, preferred 34 count charges, including a N3.2 billion fraud charge.

    Kalu and Udeogo had however, pleaded not guilty to the charges and were granted bail.

    The EFCC closed the prosecution in May 2018, after calling a total of 18 witnesses and tendering a plethora of evidences before the court.

    When the case came up on July 16, the EFCC Prosecutor, Mr Rotimi Jacobs (SAN), informed court of a “second further amended charge”, urging the court to order the accused to take their pleas.

    But Kalu’s defence team, comprising Mr Awa Kalu (SAN), Chief Solo Akuma (SAN) and Mr K. C. Nwofo (SAN), had all opposed the amended charge on grounds that it was not done in accordance with the provisions of the law.

    They urged the court to refuse the amended charge.

    In a short ruling on Tuesday, Justice Mohammed Idris (who has now been elevated to the court of appeal), while interpreting the provisions of Sections 216 and 217 of the Administration of Criminal Justice Act, held that the prosecution could amend the charge.

    According to the court, an alteration of a charge can be allowed at any time, while the court accordingly, calls upon the accused to plead to the new charge and proceed with trial.

    The court held that it cannot shut out the prosecution from filing a second amended charge as the defence had not showed that the amendment would be prejudicial to it.

    After the court’s ruling, the accused were then re-arraigned on the new charges, and they again, each pleaded not guilty, while the court allowed them to continue with the earlier bails granted.

    The defence team then informed the court of their various “no case submissions” filed on behalf of the accused, adding that they had served same on the prosecution, which in turn, filed a written address in reply.

    The defence argued that the prosecution’s address was over 100 pages and so, they would require time to study same and make a response.

    Idris then adjourned the case until July 25 to hear addresses on the “no case’’ submissions.

    In the charge, the accused were alleged to have committed the offence between August, 2001 and September, 2006.

    Kalu was alleged to have used his company, Slok Nigeria Ltd., to retain N200 million in an account in First Inland Bank, now First City Monument Bank.

    The sum is alleged to have formed part of funds illegally derived from the treasury of the Abia State Government,

    In one of the counts, Kalu, his company (Slok Nig Ltd), one Emeka Abone and Michael Akpan, who are said to be at large, were also alleged to have between 2001 and September 2006, collaborated to commit an offence.

    They were alleged to have concealed the genuine origin of an aggregate sum of N7.2 billion, which formed part of funds illegally derived from the Abia State Treasury, and converted same into several bank drafts, which were subsequently, paid into the account of Slok Nigeria Ltd.

    In counts one to 10, the accused were alleged to have retained about N2.7 billion in different accounts, which funds were said to belong to the Abia State Government.

    Cumulatively, in all the counts, the accused were alleged to have diverted over N7.1 billion from the Abia State Government’s treasury, during Kalu’s tenure as governor.

    The offences contravene the provisions of Sections 14, 15(6), 16, 17 and 21 of the Money Laundering (Prohibition) Act, 2005.

    They also contravene the provisions of the Money Laundering Act of 1995 as amended by the amendment Act No. 9 of 2002 and Section 477 of the Criminal Code Act, Laws of the Federation, 1990.

  • EFCC siezes Safe Towers

    The Economic and Financial Crimes Commission (EFCC) has secured an interim forfeture of the multi-billion naira Safe Towers Estate located at Ikate, Lekki in Lagos.

    The property is promoted by Safetrust Mortgage Bank Limited and Macbosh Properties Limited.

    Justice Muslim Hassan made the order while ruling on an ex-parte application filed by EFCC counsel Nkereuwem Anana.

    Akintayo Oloko, Macbosh Properties Limited and Safetrust Mortgage Bank Limited are the respondents. Oloko is Safetrust Mortgage Bank’s Managing Director.

    The anti-graft agency sought an interim order forfeiting the parcel of land measuring 50027, 147 square metre at Lekki Pennisula Scheme, known as Block 116, Plot 3, Ikate Ancient City, Etiosa, with Survey Plan No BAS258/2013/130-1.

    It prayed that the interim order should subsist pending the conclusion of investigation on the property.

    The application was based on sections 24, 28 of the EFCC Act 2004 and Section 44 (2) (k) of the 1999 Constitution.

    According to the EFCC, the property sought to be attached was under investigation over alleged fraudulent activity.

    The application was supported by  a 19-paragraph affidavit deposed to by an EFCC operative, Isaac Gong.

    Gong sid he was part of a team that investigated a petition alleging that the respondents were in possession of properties used in perpetrating fraud.

    He said the petition was analysed and found worthy of investigation.

    The EFCC said the petition revealed that Safetrust Mortgage Bank proposed to construct and deliver three high-rise buildings within 24 months.

    According to EFCC, Safetrust Mortgage Bank offered to sell one of the highrise buildings to Mr. Kunle Ogunmefun at an agreed sum of N710 million.

    The EFCC also averred that a non-disclosure agreement was executed between Ogunmefun and Macbosh Properties Limited on the understanding that Macbosh, the second respondent, is an agent of Safetrust Mortgage Bank.

    Ogunmefun, the EFCC said, made a deposit of N550 million with the understanding that the property would be delivered within 24 months from the date of execution of the memorandum of understanding.

    The commisison said despite making the payment, Safetrust Mortgage Bank allegedly failed to deliver the property to the complainant as agreed.

    According to the anti-graft agency, further investigation revealed that the third respondent was indebted to Sterling Bank Plc, and that immediately the complainant paid the N550 million to Safetrust Mortgage Bank’s account domiciled in the bank, the bank took the money.

    The EFCC said the third respondent allegedly “obtained” the money from  Ogunmefun by pretending that the money was meant for constructing the highrise building, but instead used it to settle his indebtedness.

  • Judge gets leave to conclude Kalu’s trial

    Justice Mohammed Idris, who was elevated to the Court of Appeal, has been permitted to conclude the trial of former Abia State Governor, Dr. Orji Uzor Kalu.

    The Economic and Financial Crimes Commission (EFCC) re-arraigned Kalu at the Federal High Court in Lagos.

    The ex-governor was charged along with a former Director of Finance in Abia State Government House, Mr. Udeh Udeogu and Slok Nigeria Limited on 34- count charge of laundering N3.2 billion.

    Kalu’s lawyer, Prof. Awa Kalu (SAN), had written Court of Appeal president, Justice Zainab Bulkachuwa, asking that Justice Idris be permitted to conclude the case.

    The request is based on Section 396(7) of the Administration of Criminal Justice Act (ACJA) 2015.

    It provides: “A judge of the High Court who has been elevated to the Court of Appeal shall have dispensation to continue to sit as a High Court judge only for the purpose of concluding any part-heard criminal matter pending before him at the time of his elevation and shall conclude the same within a reasonable time.”

     

    The former governor made a no-case submission after EFCC closed its case May 11. Kalu is contending that the prosecution failed to establish a prima facie case for him to defend.

    According to him, there was no evidence he asked Slok Nigeria Limited to retain any money from Abia State treasury.

    The prosecuting counsel, Mr. Rotimi Jacobs (SAN), and defence counsel, Chief K.C. Nwofor (SAN) and Solo Akuma (SAN), had on Monday agreed that Justice Idris should conclude the case.

    Jacobs said he wanted to amend the charge, but the defence counsel resisted the move on the basis that the prosecutor ought to obtain the court’s leave first.

    But Jacobs argued that the court’s leave was not needed to amend the charge.

     

  • EFCC to reopen Fayose’s N1.3b case

    The Economic and Financial Crimes Commission EFCC) yesterday hinted that it is dusting up its shelves in the case of the integrated poultry project it filed against outgoing Ekiti State Governor Ayo Fayose.

    The anti-graft agency filed the N1.3bn fraud case against Fayose in 2005.

    The case led to his impeachment from office in 2006 during his first term in office.

    “The parri is over; The cloak of immunity torn apart and the staff broken. #Ekiti Integrated Poultry Project/Biological Concepts Limited N1.3b fraud case file dusted off the shelves. See you soon,” EFCC tweeted on its official handle.

  • EFCC seizes N200m from two military officers

    A FEDERAL High Court in Lagos yesterday authorised the Economic and Financial Crimes Commission (EFCC) to seize N200 million allegedly kept in several commercial banks by two military officers and their three firms.

    Justice Sule Hassan ordered that the sum be forfeited to the Federal Government, pending the conclusion of investigation as to their origins.

    The officers are: Adamu Bello Argungu and John Onimisi Ozigi, while their firms are: Falsal & Co Global Services Nigeria Ltd; Diamond Head Ventures & Development Company Ltd; and Sweetex Bureau De Change Ltd.

    The EFCC told the judge, through an ex parte application, that the defendants fraudulently withdrew the sum from the Defence Headquarters over-head expenses accounts.

    Its counsel, Mr. Nkereuwem Mark Anana, alleged that the sums were warehoused in five banks.

    The commission’s application was supported by an 18-paragraph affidavit deposed to by its operative, Mr. Clever Ibrahim, two exhibits and a written address.

    Ibrahim averred that Argungu and Ozigi of the Army and Air Force respectively, made several unauthorised withdrawals from the Defence Headquarters Overhead Expenses Account.

    The deponent alleged that the money was neither deposited in their salary accounts, nor accounts belonging to the Defence Headquarters, but in corporate accounts and other accounts belonging to their companies.

    He alleged further that although a post-no-debit order was placed on the accounts in compliance with Section 6(5) of the Money Laundering and Prohibition Act, 2011, it lapsed after 72 hours.

    Thus, the order of the interim forfeiture was sought to debar the respondents from tampering with the money.

     

  • EFCC siezes N200m from two military officers

    A Federal High Court in Lagos on Wednesday authorised the Economic and Financial Crimes Commission (EFCC) to sieze N200 million allegedly kept in several commercial banks by two military officers and their three firms.

    Justice Sule Hassan ordered that the sum be forfeited to the Federal Government, pending the conclusion of investigation as to their origins.
    The officers are: Adamu Bello Argungu and John Onimisi Ozigi, while their firms are: Falsal & Co Global Services Nigeria Ltd; Diamond Head Ventures & Development Company Ltd; and Sweetex Bureau De Change Ltd.

    The EFCC told the judge, through an ex parte application, that the defendants fraudulently withdrew the sum from the Defence Headquarters over-head expenses accounts.

    Its counsel, Mr. Nkereuwem Mark Anana, alleged that the sums were warehoused in five banks.

    The commission’s application, marked FHC/L/CS/1094/18, was supported by an 18-paragraph affidavit deposed to by its operative, Mr Clever Ibrahim, two exhibits and a written address.

    Read Also: EFCC  recovers N20b, secures 42 convictions in Lagos

    Ibrahim averred that Argungu and Ozigi are of the Nigerian Army and Air Force respectively, made several unauthorised withdrawals from the Defence Headquarters Overhead Expenses Account.

    The deponent alleged that the money was neither deposited in their salary accounts, nor accounts belonging to the Defence Headquarters, but in corporate accounts and other accounts belonging their companies.

    He alleged further that although a post-no-debit order was placed on the accounts in compliance with Section 6(5) of the Money Laundering and Prohibition Act, 2011, it lapsed after 72 hours.

    Thus, the order of the interim forfeiture was sought to debar the respondents from tampering with the money.

  • Safe Towers’ project: Judge rejects banker’s bid to stop EFCC

    The Federal High Court in Lagos has dismissed a fundamental rights suit by Safetrust Mortgage Bank Chief Executive Officer Mr. Akintayo Oloko seeking to stop his arrest and possible prosecution by the Economic and Financial Crimes Commission (EFCC).

    Attorney-General of the Federation Abubakar Malami (SAN), Mr. Kunle Ogunmefun and Currant Limited are the other defendants.

    EFCC launched an investigation against Oloko following a petition by Ogunmefun alleging fraud and massive diversion of funds on the Safe Towers project.

    The developers, represented by Oloko, Safetrust Mortgage Bank and Macbosh Properties Limited, sought a mandatory order compelling the respondents to return forthwith the Safe Towers Estate title deed registered as 37/37/2444, covered by Survey Plan BAS258/2013/130-116(3)/LA owned by Macbosh Properties Limited, but allegedly seized by the respondents.

    They prayed for an order compelling the respondents to tender written and public apology to them and to pay N500million as general and exemplary damages for Oloko’s arrest and alleged violation of his right to personal liberty.

    In a supporting affidavit by Oloko, the applicants said due to misunderstanding, parties agreed to terminate their agreement as contained in a memorandum of understanding on the estate project.

    They said it was on the condition that the developer would repay the amount invested along with the interest of 16 per cent, adding that EFCC’s intervention was outside its mandate.

    But, Ogunmefun and Currant Limited argued the applicants were not entitled to damages having failed to substantiate their claims.

    Besides, they said EFCC did not violate any law when it investigated the applicants based on Ogunmefun’s June 20, 2017 petition.

    In his verdict, Justice Muslim Hassan held that the applicants’ originating motion was unmeritious and that EFCC was empowered to investigate any person for fraud without a court order.

    The judge held that there was a petition against the applicants for obtaining money by false pretence, which EFCC was validly investigating.

    Justice Hassan awarded N20,000 cost in favour of each of the respondents and struck out the AGF’s name from the suit because no reasonable cause of action was disclosed against him.

    The judge noted that the applicants could not expect a judicial fiat to prevent the EFCC from doing its work neither could they be shielded from criminal investigation by the court.

    Conceived in 2013, Safe Towers is a three-block high rise building comprising 16 units of three bedroom apartments and executive five-bedroom pent duplexes (plus utility room) with swimming pool. The project was to be delivered within 24 months.

    To buy one of the blocks for N710 million, Ogunmefun executed a Memorandum of Understanding in 2014 with the developer and made instalmental payments amounting to N550 million.

    He, however, petitioned EFCC about an alleged criminal intent to defraud him.

    EFCC’s intervention resulted in Oloko’s arrest, following which he sued.

     

  • Group raises alarm over plan to invade NEMA

    The Coalition For Truth and Justice (CfT&J), a conglomeration of Civil Society Organizations (CSOs)  in Nigeria  has cried out over a plot by some persons to invade the Abuja headquarters of the  National Emergency Management Agency (NEMA) in the guise of protests.
    CfT&J claimed that plans have been concluded some persons parading themselves as contractors of the agency in collusion with some criminal gangs to stage protests to NEMA office over  claims of failure of the agency to honour their  pending  requests for contracts payments they  purportedly executed with  NEMA.
      Barrister Timothy Charles, National Co-ordinator of  CfT&J in a statement issued on Tuesday, noted that the protesters are aimed at blackmailing and  arm-twisting the  current leadership  of NEMA led by the Director-General, Engr. Mustapha Maihaja  into honoring  fake  contractual  obligations,  inflated payment vouchers or making bogus payments  on frivolous claims by contractors  without recourse to  due process  or laid down procedures.
    According to Charles, “the CSOs have it on good authority  that  the decision of the so-called contractors to embark on this shameful,  unlawful act and blackmail  of the DG  NEMA, Engr. Mustapha  is spurred by  the desire of these elements to sustain  the culture and habit  of extracting  fake payments for  bogus or  claims for non-existent contracts as done in the past .
    “We have reliably gathered that  it  has been the  tradition under the past  administration of  the ex-DG NEMA, Mr. Mohammed Sani Sidi, which was famed for  payments  of  such questionable contracts, currently under investigation by the EFCC.
    “Nigerians should recall that the EFCC is investigating various layers of sleaze perpetrated under the former administration of Mr. Sidi  Sani. And the sum of N2.5 billion has been established by the preliminary report of the EFCC  as embezzled, which report was  submitted  to the Governor Board of NEMA.
    “The  fraud  which was allegedly committed by the former DG NEMA,  six directors and other subordinate staff  is still under investigation by the anti-graft agency.
    “And the tentative report suggests that the EFCC is querying  alleged diversion of  foods and relief materials  for IDPs;  the use of fake companies and  weigh bills  to secure NEMA  contracts by some directors;   the incorporation of multiple  personal companies by some directors to secure the agency’s  contracts;  fake vouchers for delivery of relief materials to non-existent IDP camps  among others.
    “These are grave financial  improprieties and crimes, which are offensive to extant financial laws of Nigeria. It mainly violates   and abuses the due process and accountability. It is also a taint on anti-corruption stand of the administration of President Muhammedu Buhari as represented in NEMA by Engr. Maihaja.”
    The statement further revealed that the  planned deployment of intimidation and arm-twisting tactics by  these undertaker contractors  to extract payments for doubtful contractual claims,  adjudged fraudulent and  currently under the searchlight  of the EFCC is untenable and unjusticeable.
    He added, “It is further confirmation of the sophisticated web , both within  and outside  the agency,  which have  drained  NEMA  of mindboggling sums of money  over unverified  and fraudulent contractual obligations.
    “We perceive it as the continuation of the various subterranean schemes by the tentatively indicted  former and serving  officials of the agency, including  directors who allegedly perpetrated the frauds under the Sidi  Sani leadership to further subvert the cause of justice.
    “We strongly object to any attempt by  the current NEMA management to honour any of the pending  contractual obligations  with payments, until the EFCC concludes its investigations and certify  genuinely  contracts  and payments which do  not contravene the law  before  payment is effected.
    “But in the interim, the  CSOs  will not hesitate to halt  any  activity by these contractors in connivance with some criminal elements  designed to sabotage NEMA. We shall  further expose them and  the  criminal  records of their backers,  if these suspicious elements  do not desist from such an inglorious  adventure.
    “It is completely needless to seek to  overheat the polity in order to benefit illegally and enrich themselves with bogus claims of contracts with public funds.  Commonsense should have alerted these so-called contractors of the impracticability of demanding payments for contracts alleged as fraudulent and under the scrutiny of the anti-graft agency.
    “The contractors with genuine and reasonable claims to any executed contract  with the agency  should be  patient enough to wait for the outcome of EFCC investigations or  after  the appropriate scrutiny in the best interest of the country.
    “Indeed, information at the disposal  of the  CSOs indicates that the planned protests by the contractors is a decoy to gain illegal access into the premises of the agency to  set the  NEMA office, Abuja,  on fire. This is primed   to destroy  any evidence to truncate the   EFCC ongoing investigations of the alleged contracts  fraud  in NEMA  to  let the suspects off the hook.
    The group further called on all security  agencies, particularly, the Police, the Department of State Security Service (DSS),  the Civi Defence  and others  to be on red alert  to halt the plan as well as , arrest and   arraign the perpetrators in court for prosecution.

  • EFCC begins investigation of Pinnick, Dikko, others

    The Economic and Financial Crimes Commission is to investigate and take necessary action against Amaju Pinnick, Mallam Shehu Dikko and three other top board members of the Nigeria Football Federation (NFF).

    This follows a petition it received from a former national team coach, James Peters on May 4, 2018 with a heading: ‘MONUMENTAL STEALING AND FINANCIAL CRIMES IN THE NIGERIA FOOTBALL FEDERATION’ received by the Executive Chairman of EFCC on May 4, 2018.

    In the petition, Peters who coached national teams and led them to notable victories and also served as Technical Director of the NFF for many years urged the EFCC to carry out a thorough investigation on an alleged “unprecedented stealing, corrupt practices and financial crimes being perpetrated by the current President Amaju Pinnick, the General Secretary Dr Mohammed Sanusi, the first Vice President Barrister Seyi Akinwumi, the second Vice President Mallam Shehu Dikko and a member of the Executive Committee Alhaji Ahmed Yusuf (a.k.a Fresh).

    The former Technical Director also alleged “stealing and fraudulent activities by Financial Derivatives Limited, a company cunningly brought into the NFF by Pinnick for the sole purpose of saving money outside the official accounts of the NFF in the Central Bank and diverting same for fraudulent activities.”

    Similarly, the petition stated that “these NFF chieftains have also used the company Mediterranean Sports Limited belonging to Dikko, who is also the Chairman of the League Management Company, a body saddled with the responsibility of running the Elite league, and attracts millions of dollars from sponsorships and Chairman, Marketing and Sponsorship sub-committee of the NFF to collect over 40 per cent of revenues from the numerous sponsors of the NFF “.

    In a notification letter ref no. EFCC/EC/mos/59/17 written to the Permanent Secretary of the Ministry of Youth and Sports by the Executive Chairman, the EFCC notified the Ministry that it has received a petition from Peters and thereby ‘forward same for investigation and necessary action.

    The petitioner also alleged that despite the Federal Government’s policy of Treasury Single Account (TSA) where monies of parastatals are lodged for purposes of checking leakages etcetera, Pinnick and others obtained the services of Financial Derivatives Company Limited to warehouse revenue accruing to the NFF from well-spirited individuals and corporate organisations which never got to the NFF. He alleged too that funds made available by corporate sponsors were never disclosed.

    Peters called for a forensic audit to be carried out to look at all approvals and retirements by the mentioned persons.