The Nation Newspaper

Tag: EFCC

  • Court’s ruling vindicated our position on Magu – Senate

    Court’s ruling vindicated our position on Magu – Senate

    The Senate said on Thursday that its rejection of Ibrahim Magu as Chairman of the Economic and Financial Crimes Commission (EFCC) had been vindicated by a court ruling on the matter.

    The Chairman of the Senate Committee on Media and Public Affairs, Aliyu Sabi-Abdullahi, who briefed journalists in Abuja, said a Federal High Court had ruled that the upper legislative chamber had the powers to confirm or reject Magu’s appointment.

    He said: “We are pleased with this judgment and we want to salute Nigeria’s judiciary for always rising up to the occasion to protect our democracy and deepen our democratic processes.”

    The Senate had in May last year rejected Magu’s nomination as substantive EFCC chairman based on the Department of State Service (DSS) report which accused him of failing integrity test.

    Sabi-Abdullahi also said the Senate’s embargo on confirmation of President Muhammadu Buhari’s nominees for public offices would remain in place until Magu is replaced as EFCC chairman.

     

  • Appeal Court upholds man’s jail sentence for fraud

    Appeal Court upholds man’s jail sentence for fraud

    The Court of Appeal, Lagos Division, on Wednesday held that a businessman, Odibo F. Kronaghea, was validly convicted of fraud by the Federal High Court, Lagos.

    Kronaghea was sentenced to seven years imprisonment for fraud on April 5 last year.

    The court dismissed for want of merit, two appeals filed last September by Kronaghea and a firm, Confido Consult Services Limited.

    The convict had appealed the sentence, while the company challenged the N50,000 fine imposed on it by Justice Kudirat Jose of the Lagos High Court, Ikeja.

    Through their counsel, Mr. Ahmed Ojekunle, the appellants prayed the court to upturn their conviction because the charges were defective, not proven and that the lower court judge misdirected himself.

    This was opposed by the Economic and Financial Crimes Commission (EFCC) through its counsel, Mr. George Chia-Yakua.

    But a three-man panel of the appellate court led by Justice Y. B. Nimpar affirmed Justice Jose’s verdict.

    Justice Nimpar held: “The appeal is unmeritorious and is hereby dismissed. The judgment of the lower court is affirmed.”

    The EFCC arraigned the appellants on October 15, 2015, on three-count charge of obtaining money by false pretence and issuance of dud cheque to the tune of N2 million.

  • Lagos director forfeits N28.5m, property to FG

    Lagos director forfeits N28.5m, property to FG

    The Federal High Court in Lagos on Wednesday ordered the forfeiture of N28.5million allegedly stolen by a Director of Accounts at the Lagos State Public Works Corporation (LSPWC), Mr. Anifowoshe Alade.

    The Economic and Financial Crimes Commission (EFCC) said the sum recovered from him “is reasonably suspected to be proceeds of stealing.”

    Justice Rilwan Aikawa ordered the forfeiture of the money and properties recovered from Alade to the Federal Government.

    He directed the federal government to transfer the assets to the Lagos State government.

    The judge held: “I hereby order that the Federal Government shall take such administrative steps and with reasonable dispatch to ensure that the funds and the properties forfeited to the Federal Government are transmitted to the Lagos State government in view of the evidence before me.”

    “The applicant (EFCC) made averments and exhibited documents which have not been controverted by the respondent in the form of a counter-affidavit. These averments are therefore by law deemed admitted.

    “I hold that the applicant has met the test for granting of the application for an order of final forfeiture,” the judge held.

    The property include six flats of three bedroom, six flats of two bedroom, six flats of one Bedroom at Adewale Osiyeku Street, Offin-Ile Igbogbo, Ikorodu, and four flats of three bedroom duplex at 6, Tunde Gabby Close, Dopemu Area, Pako Bus Stop Agege, all of which EFCC said were “reasonably suspected to have been acquired with the proceeds of theft.”

    Others are plot of land at Queen’s Garden Estate, off Lagos-Ibadan Expressway, a semi-detached three bedroom flat and one unit of three bedroom terrace at Cranbel Court, Citiview Estate, Arepo, Ogun State.

    EFCC said Alade, being a Director of Account in LSPWC was “the custodian, initiator, first authoriser and final authoriser of the corporation’s internet banking system.”

    Alade allegedly incorporated a company called MAJ Anny International Limited, of which he is a director and sole signatory to its account.

  • Fani-Kayode to court: I have a heart ailment

    Fani-Kayode to court: I have a heart ailment

    A former Minister of Aviation, Chief Femi Fani-Kayode, on Wednesday told the Federal High Court in Lagos that he is suffering from a heart-related ailment.

    His lawyer, Mr. Norrison Quakers (SAN), told Justice Rilwan Aikawa that the former minister complained about “heart-related pain” and could not make it to court for his trial.

    Fani-Kayode’s absence stalled his trial for alleged money laundering.

    The Economic and Financial Crimes Commission (EFCC) re-arraigned Fani-Kayode and former Minister of State (Finance), Senator Nenadi Usman for allegedly laundering N4.6billion.

    They were arraigned along with a former National Chairman of the Association of Local Governments in Nigeria (ALGON), Yusuf Danjuma, and a company, Jointrust Dimensions Limited.

    When the case was called, only Usman and Danjuma stepped into the dock.

    Before lawyers announced their appearances, Justice Rilwan asked why Fani-Kayode was not present in court.

    Quakers spoke up, saying: “I was going to inform My Lord that the second defendant is indisposed. I got a call from his wife who said he was complaining of heart-related pain.”

    Quakers said he expected to get a medical report on his client’s health condition before the close of work.

    According to him, the issue of health could not be taken lightly considering several cases of sudden deaths, including that of a lawyer who collapsed and died in a courtroom while addressing a judge.

    Quakers asked that the dates reserved for trial (Wednesday and Thursday) be vacated.

    He said: “The second defendant is unavoidably absent as a result of health challenge, which information was related to me by the wife. I have requested for a medical report.

    “If I get the report, I’ll furnish the court with it. I apply that tomorrow’s (Thursday) date be vacated so that we can have another date for continuation of trial.”

    EFCC’s lawyer, Rotimi Oyedepo, did not oppose the application.

    The defendants were accused of indirectly retaining N1.billion, N300million, N400million and N800million, all proceeds of corruption, according to EFCC.

    The prosecution said they allegedly committed the offence between January 8 and March 25, 2015 ahead of the general election.

    Fani-Kayode was also accused of doing cash transaction of N24million with Olubode Oke without going through a financial institution.

    The offence, EFCC said, violated sections 1(a) and 16(d) of the Money Laundering (Prohibition) (Amendment) Act, 2012 and punishable under Section 16(2)(b).

    The defendants pleaded not guilty to the charges.

    Justice Aikawa adjourned till February 28, March 1 and 2 for continuation of trial.

     

  • Court stops EFCC from probing Ekiti finances

    Court stops EFCC from probing Ekiti finances

    The Economic and Financial Crimes Commission (EFCC) cannot look into the books of state governments without a report of indictment from their legislatures, the Federal High Court has ruled.

    The court held that such a probe by the anti-graft agency violates sections 4, 5 and 6 of the 1999 Constitution, which prescribes separation of powers.

    According to the judgment delivered yesterday by Justice Taiwo Taiwo of an Ado-Ekiti Federal High Court, banks are not entitled to submit, release to or disclose to any person, body or agency, including the EFCC and the inspector-general of Police (IGP) or any other investigating body, any document or financial records.

    The verdict was delivered in a suit filed by the attorney general of Ekiti State against the EFCC and the IGP.

    Other defendants are the state auditor general, state accountant general and chairman, Ekiti State Universal Basic Education Board (SUBEB).

    The rest are: Skye Bank Plc, Access Bank Plc, Zenith Bank Plc, First City Monument Bank Plc, Diamond Bank Plc, Keystone Bank Plc, Heritage Bank Plc, Fidelity Bank Plc, First Bank Plc and Union Bank Plc.

    The suit was filed consequent upon receipt of letters from the EFCC inviting some officials to give details on transactions of the state.

    The anti-graft body also sent letters to banks seeking release of government’s financial records.

    Justice Taiwo held that the EFCC cannot usurp the oversight functions of a House of Assembly under sections 128 and 129 to initiate a probe or criminal proceedings against a state official.

    He ruled that only the state legislature is vested with oversight function and investigative powers over states’ finances, appropriation and implementation after receiving a report from the state auditor general or the state accountant general, as the case may arise.

    Justice Taiwo held: “It is unassailable that there is separation of powers. Under a federal system, sections 4, 5 and 6 of the Constitution provides separation of powers, which guarantees independence and disallow encroachment of powers. The powers for control of fund, financial outflow, appropriation are vested in the House of Assembly.

    “It is the auditor general of the state who has the power to conduct checks on government corporations and to submit his report to the Assembly.

    “Nobody, including the court, can read other meaning into the clear provision of the Constitution.

    “The Assembly has the responsibilities on the management of funds by the Executive. They have the responsibility to ensure fund management, cut wastages, reject corruption, among others.

    “The first defendant (EFCC) is bound to operate within the constitution and cannot operate like the Lord of the Manor. Its statutory duty is not a licence to contravene the Constitution.

    “I can’t, by any stretch of imagination, see how the statutory functions of the (EFCC) can extend to a state in a federation under any guise to the extent that the eight to 18 defendants (banks) will be directed to submit bank details.

    “Yes, the first defendant can investigate any person or corporate organisation; what it can’t do is to usurp the powers of the Assembly.

    “The Federal Government cannot impose its statutory duties on a state in flagrant disobedience to the Constitution. The prosecution should not ride roughshod of the Constitution. It is the duty of judges to ensure they don’t listen to sentiment of the public.

    “I resolve all issues in favour of the plaintiff. I grant all reliefs sought by the plaintiff in view of the fact they are live issues.

  • EFCC can’t probe Ekiti finances – Court

    EFCC can’t probe Ekiti finances – Court

    The Federal High Court sitting in Ado –Ekiti said on Tuesday that the Economic and Financial Crimes Commission (EFCC) cannot look into the books of state governments without a report of indictment from their legislatures.

    The court held that carrying out of such probe by the anti-graft agency violates Sections 4, 5 and 6 of the Constitution of the Federal Republic of Nigeria, 1999, which prescribes separation of powers.

    Justice Taiwo Taiwo also held that banks are not entitled to submit, release or disclose to any person, body or agency, including the EFCC or any other investigating body any document and financial records.

    The judge gave the verdict in a suit filed by Ekiti State Attorney General against the EFCC and the Inspector General of Police.

    Other defendants in the suit are – the Clerk of Ekiti State House of Assembly, Auditor General of Ekiti State, Accountant General of Ekiti State and Chairman of the State Universal Basic Education Board.

    The rest are – Skye Bank Plc, Access Bank plc, Zenith Bank Plc, First City Monument Bank Plc, Diamond Bank Plc, Keystone Bank Plc, Heritage Bank Plc, Fidelity Bank Plc First Bank Plc and Union Bank Plc.

    The suit was filed following the receipt of letters from the EFCC inviting some government officials to give details of some transactions made by the state government.

    The Commission also sent letters to banks seeking release of Ekiti State government financial records.

    Justice Taiwo held that the EFCC cannot usurp the powers of oversight functions vested in the House of Assembly under Sections 128 and 129 of the 1999 Constitution to initiate a probe or criminal proceedings against a state official.

    He ruled that only the state legislature is vested with oversight and investigative roles over state finances, appropriation and implementation after receiving a formal report from the Auditor General or the Accountant General as the case may arise.

     

  • Alleged fraud: Supreme Court dismisses ex-Kogi lawmaker’s appeal

    Alleged fraud: Supreme Court dismisses ex-Kogi lawmaker’s appeal

    The Supreme Court on Monday dismissed an appeal filed by a former Kogi State House of Assembly member, Gabriel Daudu.

    He was convicted by a Federal High Court in Lokoja for N1.4billion fraud, but he challenged the decision at the Court of Appeal.

    The Court of Appeal had on March 1, 2017 affirmed the lower court’s decision.

    Daudu, a former Caretaker Chairman of the Ogori/Magongo Local Government Area of Kogi State, was sentenced to two years imprisonment on 75 out of 210 money laundering charges filed against him by the Economic and Financial Crimes Commission (EFCC).

    Affirming the Court of Appeal decision, the Supreme Court, in the lead judgment by Justice Kumai Akaahs, agreed with the submissions of EFCC counsel, Mr. Wahab Shittu.

    EFCC alleged that on December 18, 2008, Daudu made illegal cash withdrawal of N10.6million and N11.6million from a council intervention fund, among others.

    He was accused of converting Ogori/Mangongo’s property with intent to conceal its illicit origin, contrary to Section 14 (1) (a) of the Money Laundering Prohibition Act 2004 and punishable under Section 14.

    Shittu called 13 witnesses and tendered 47 exhibits to prove the charges against Daudu.

    The Supreme Court on July 6 last year granted Daudu a post-conviction bail for N2million with two sureties in like sum.

    He is expected to return to prison to complete his term, which is to run concurrently on all the charges.

    Justice Akaahs described the appeal as “unmeritorious.”

    Other Justices on the panel, including Justice Mary Odili, agreed with the lead judgment.

    She held: “I cannot but agree more with the findings and conclusion of the courts below. All the issues are resolved against the appellant.

    “From the foregoing and well-articulated lead judgment, I find no merit in this appeal and I dismiss it.”

     

     

  • Nganjiwa: How Appeal Court erred, by EFCC

    Nganjiwa: How Appeal Court erred, by EFCC

    The Economic and Financial Crimes Commission (EFCC) has identified 11 errors made by the Court of Appeal in its judgment striking out the charge it filed against Justice Hyeladzira Nganjiwa of the Federal High Court.

    In a notice of appeal filed at the Supreme Court by its counsel Mr Wahab Shittu, the EFCC urged the apex court to set aside the Court of Appeal judgment delivered last December 11.

    EFCC, in the 14-count charge, accused the judge of corrupt enrichment and giving false information contrary to Section 82 (a) of the Criminal Law of Lagos State.

    But, the judge urged the Appeal Court to determine whether in view of the constitutionally guaranteed doctrine of independence of the judiciary, the lower court was right to conclude that the executive arm of government, acting through the EFCC, can directly prosecute a sitting judge without  referring the matter to by way of petition to the National Judicial Council (NJC).

    In a lead judgment delivered by Justice Abimbola Obaseki-Adejumo, the Court of Appeal held that whenever a breach of judicial oath occurs, it amounts to misconduct, and only the NJC can investigate such breaches.

    But EFCC said the Court of Appeal erred in its decision, which it said has no constitutional basis.

    It urged the Supreme Court to hold that the NJC’s independence guaranteed under Section 158 (1) of the 1999 Constitution does not preclude the institution criminal proceedings against its members.

    EFCC said the exercise of disciplinary jurisdiction by NJC against judicial officers was distinct from the exercise of criminal jurisdiction by the state, which it said is guaranteed by the 1999 Constitution.

    On NJC being the sole body to discipline judges, EFCC argued that the NJC was only vested with the exercise of disciplinary powers against judicial officers, but that such powers do not extend to criminal prosecution.

    On the Court of Appeal’s position that the NJC must first discipline a judge before anti-graft agencies can arrest him, EFCC said the Constitution does not confer immunity from investigation or prosecution on judicial officers.

    Besides, the commission said there was no constitutional provision making the powers of law enforcement agencies dependent on NJC’s powers in the context of criminal offences.

    On the appellate’s court’s decision that NJC must first hand over such judicial officer to the prosecuting authority, EFCC said Section 6, 153, 158 292 (1) and Paragraph 21 (b) of the Third Schedule of the Constitution does not give the interpretation that prosecuting agencies must wait for NJC’s decision before they can prosecute criminal offences.

  • EFCC UNCOVERS N2.5B FRAUD IN NEMA

    EFCC UNCOVERS N2.5B FRAUD IN NEMA

    • Top directors, officers own companies to secure relief materials contracts
    • Four fake IDPs’ camps created to make money

    The National Emergency Manage-ment Agency (NEMA) is currently enmeshed in a massive scandal after the Economic and Financial Crimes Commission (EFCC) uncovered an alleged N2.5billion fraud in the operations of the organisation.

    The scandal was perpetrated through incorporation of fake companies, creation of fake IDPs’ camps and award of frivolous contracts.

    The EFCC may invite a former Director-General of NEMA and some serving directors for interrogation on the fraud.

    Some of the companies engaged by NEMA are alleged to have failed to remit N354,905,000 as accumulated taxes to the Federal Inland Revenue Service(FIRS).

    Besides, the anti-graft agency is probing alleged diversion of foods and relief materials meant for the Internally Displaced Persons (IDPs) in the North-East to Chad and Niger Republic.

    The Nation gathered that the EFCC launched the probe following intelligence that the ex-DG of NEMA and some directors “siphoned, misappropriated and diverted public funds to the tune of over N2.5billion.”

    A source familiar with the investigation said: “Preliminary investigation indicated that fake companies were incorporated and fake way bills were used in securing contracts in NEMA.

    “Funds were diverted under the guise of some purported training of some staff which was never conducted. Some of the directors involved had incorporated personal companies and secured contracts with the agency.

    “Some of the companies engaged by NEMA have also failed to remit N354,905,000 as accumulated taxes  to the Federal Inland Revenue Service(FIRS). The unpaid taxes were from 2014 to date.

    “There are cases of some directors, who are civil servants, owning about five to 10 companies in order to corner contracts in NEMA. There is an instance of a director with about 20 accounts in which fake contract sums were paid into.”

    A well-placed source said: “As part of our investigation, we are looking into alleged diversion of foods and relief materials meant for the Internally Displaced Persons (IDPs) in the North-East to neighbouring countries, especially Chad and Niger Republic.

    “We have discovered instances where trucks loaded with relief materials were diverted to these neighbouring countries for sale.

    “There is also a case of inflated household for phantom purchase and delivery of relief materials. At a point, they even created three to four fake IDP communities where relief materials were diverted.

    “Another dimension to the scandal in NEMA is alleged frivolous and overtime claims by some directors and workers of the agency.

    “Some of the vouchers showed some staff, who are civil servants, demanding refund of N20million as claims they spent on behalf of NEMA. How did a civil servant incur N20million debt on behalf of his or her agency?”

    Responding to a question, the source added: “The EFCC will soon invite a former Director-General of NEMA, some directors, staff, companies and contractors for questioning.

    “Already, the detectives handling the case have retrieved relevant vouchers and documents relevant to the ongoing investigation.”

  • EFCC releases ex-SGF, Babachir Lawal

    EFCC releases ex-SGF, Babachir Lawal

    The Economic and Financial Crimes Commission (EFCC) has released detained former Secretary to the Government of the Federation, Mr Babachir Lawal.

    A source in the commission told the News Agency of Nigeria (NAN) that Lawal was released on administrative bail on Friday evening.

    The source, however, did not give further details.

    Lawal was detained by the EFCC on Wednesday morning after he honoured an invitation to the commission’s head office in Abuja.

    When NAN contacted the Public Relations Officer of the Commission,  Mr Samin Amaddin on the issue, he said he was not aware.

    The development followed Lawal’s sack by President Muhammadu Buhari on Oct. 30.

    Buhari’s action was based on the recommendation of a presidential panel that probed misuse of funds meant for Internally Displaced Persons (IDPs) in the North East.

    The former SGF is accused of using his company Rholavision Engineering Ltd to corner a N200 million contract for the clearing of “evasive plant species’’ in Yobe. (NAN)