Tag: EFCC

The Economic and Financial Crimes Commission (EFCC) has launched investigation into the whereabouts of the payment of $6million (N1.908billion) fines to the administration of ex-President Goodluck Jonathan by Tidewater over alleged importation of vessels with toxins into the country.

It was also learnt that about $300,000 (over N90milion) was paid to a Senior Advocate of Nigeria (SAN) for a curious legal service.

According to findings, the EFCC began the probe following petition from Legalmax Solicitors challenging the agreement.

The petition was signed by Max Ogar, who is a Public Interest Litigation Attorney in Abuja.

He accused two Senior Advocates of Nigeria of facilitating the agreement with one of them pocketing the said$300,000.

In the petition, which was received by the EFCC on April 11, 2016, Ogar asked the anti-graft agency to probe the following:

• The Terms of Settlement and Non Prosecution Agreement between the Federal Government of Nigeria and Tidex Nigeria Limited” wherein the company was meant to pay into the account of a private Legal Practitioner purported to the Federal Government’s designated Counsel.
• On what basis was the company exempted from prosecution after committing the heinous of fence of importing toxins into our country?
• Why didn’t the Solicitor General of the Federation witness the purported agreement?
• The payment of legal fees of $300,000 to a Senior Advocate of Nigeria (SAN).

Ogar added: “We are convinced that the action of the two Senior Advocates of Nigeria clearly amounts to an economic crime against our country which no patriot can overlook.

“Accordingly, we respectfully urge you to cause an investigation into this perfidy with a view to prosecuting the culprits and recovering the money from them.”

A source in EFCC, who spoke in confidence, said: “We have received a petition on the whereabouts of the $6million (N1.908billion) fines paid by Tidewater.

“Some investigators have started looking into the issues raised by Ogar and soon we will invite those who were parties to the agreement.”

It was gathered that a document on the terms of agreement had been made available to EFCC.

The document reads in part: “The terms of Settlement and Non-Prosecution Agreement is entered into as of February 2011 between the Federal Government of Nigeria and Tidex Nigeria Limited (TIDEWATER) a limited liability company incorporated under the laws of the Federal Republic of Nigeria as Tidewater and on behalf of each of its parent, subsidiaries, joint venture partner hereinafter collectively referred to as the companies on the other hand.

“The Federal Government of Nigeria agrees that it will not file or seek to file any criminal charges, complaints, allegations, lawsuits (civil or otherwise), indictments, or causes of action of any kind against Tidewater or any of the companies arising from any of the facts or allegations relating to the investigations carried out into the conduct of Tidewater and the companies business in Nigeria subject matter of the proposed criminal proceedings pursuant to any Nigerian laws and which arise, relate to, or are connected with any failure by tidewater and/or any of the companies to comply with applicable Nigerian law in relation to the temporary importation of vessels into Nigeria, or in relation to the use of Panalpina entities or other customs brokers or agents to secure permits or waivers from any federal government of Nigeria agency (Panalpina Services) including but not limited to actions under the Economic and Financial Crimes Commission Act, the Criminal Code Act, the Corrupt Practices and Other Related Offences Act, the Penal Code Act, the Companies and Allied Matters Act, the Customs and Excise Management Act and all other related legislations, regulations or any or successor legislations or modifications in relation thereto.

“No further and/or other sanctions: the FGN agrees that tidewater and the companies have extensive business interests in Nigeria and that tidewater and the companies intend to continue their regular.

“Reimbursement of FGN legal costs and expenses; in recognition of the fact that the FGN has incurred legal costs and expenses in connection with the investigations carried out into the conduct of tidewater and companies’ business in Nigeria, tidewater for tidewater and the companies agrees to reimburse the FGN for legal costs equal to five percent of the ex-gratia payment set out in section 3 above in the sum of $300, 000 or its equivalent in Naira at the prevailing CBN exchange rate. Tidewater will pay the said legal costs and expenses to FGN’s designated counsel (as contained in the schedule 2 hereto) for tidewater and the companies not later than 14 days from the effective date of this agreement.

“FGN represents and warrants that the reimbursement of FGN legal costs to the FGN designated counsel in the terms of this agreement is lawful under Nigerian laws and regulations.”

“In consideration of this agreement, Tidewater will pay the sum of $6million or its equivalent in whole or in part in Naira to the Federal Government of Nigeria and on behalf of the companies.

“The payment would be made into the FGN designated accounts (as contained in Schedule 1 hereto) at the prevailing CBN exchange rate not later than 14 days from the effective date.”

•Nine former board members also summoned

A former Director-General of the National Broadcasting Commission (NBC), Emeka Mba and nine ex-members of the board are to explain to the Economic and Financial Crimes Commission (EFCC) all they know about the sale/lease of 700Mhz spectrum to MTN for $171million (about N34,114,500,000.00). They are also to explain payment of 10percent broker fees of about N3.4billion to a Technology Adviser.

The said 10per cent payment was allegedly paid in a curious manner before the presidential approval of the request for the sale.

They have all been invited by the EFCC.

The invited ex-board members are: Professor Herbert Orji (chairman), Mohammed Kabir Umar, Mike Iheanetu, Yakubu Busa Buji, Ebenezer Ayorinde, Isa Badamasi Dahiru, Prince Dennis Sam, Jude Nnodum (SAN) and Peter Dama (representative of the Ministry of Information).

Well placed sources said EFCC smelt a rat in the NBC over the sale of the 700Mhz spectrum to MTN.

The spectrum is for the purpose of providing digital pay TV broadcasting services.

It was gathered that NBC resorted to a desperate bid to auction the spectrum with a view to raising cash to enable Nigeria meet the International Telecommunication Union (ITU) deadline for the Digital Switchover (DSO).

But it was learnt that the spectrum was disposed of at a rate suspected to be cheap as its value as at May 2015 was over N200 billion.

A reliable source in EFCC said the its operatives will grill the 10 former top shots of the NBC on the following issues:

• The alleged sale of the spectrum at N34,114,500,000.00 instead of over N200billion
• Why was the spectrum sold eight days to handover to the new administration of President Muhammadu Buhari?
• How come MTN did not know the Technology Adviser that was paid N3.4billion?
• What service did the Technology Adviser render to have received the huge 10 per cent broker fees?
• Is it true that the Technology Adviser was on retainer ship for N18 million per year?
• Why will a Technology Adviser be on retainer ship and still be paid broker fees?

The source said: “Members of the dissolved board of the National Broadcasting Commission (NBC) are to be quizzed by the EFCC for their role in the scam.

“These board members have been summoned for questioning beginning from Monday, April 25, 2015 at the commission’s headquarters in Abuja.

“The board members are going to be questioned in batches and the first batch is expected to appear before a crack panel of investigators on April 25.

“They are expected to be questioned over issues surrounding the sale/lease of the spectrum to telecoms giant MTN for $171million (about N34,114,500,000.00) and how 10percent broker fees amounting to  N3.4bn was paid the Technology Advisor even before presidential approval.”

The source, giving an insight into the preliminary findings of the EFCC upon which the 10 ex-NBC top shots will be quizzed, said: “The board approved the payment on December 4, 2014 meeting but did not seek presidential approval until May 15, 2015. The approval for the sale/lease of the Spectrum eventually came on May 21, 2015.

“Contrary to the impression created by the NBC, MTN says it did not know Technology Advisor who claimed to have raised funds for the company.

“The spectrum was sold to MTN. There was no auction. MTN is licensed to broadcast and the spectrum was leased to it for 10 years at the rate of $171m. There was no broker in between.

“So where did the Technology Adviser come into the picture and on what basis did he collect the N3.4billion broker fee?”

A source at the NBC said that the Technology Adviser had “a retainer ship with the commission for which he was collecting N18million per year. Under the agreement, it had obligation to negotiate, attend meetings and give legal advice on technology to NBC.

“Based on this relationship, everybody in NBC had been asking whether it did not amount to double payment for the same company to receive broker fees for rendering services supposedly spelt out in the retainer ship agreement.”

In November 2015, the ex-DG of NBC told newsmen why the agency sold the spectrum.

He had said: “When it became obvious government could not spare the money, and in order to avoid missing another deadline, we began to consider other options. Our broadcast frequency, which is to eventually form part of the digital dividend after the DSO, had portions of it lying fallow while our broadcasters are still using part of it.

“We therefore proposed and got proper permission from government to license part of our spectrum lying fallow and to use the proceeds to finance the DSO…I’m pleased to inform you that we have successfully licensed MTN Nigeria Limited to use part of the 700Mhz to provide digital pay TV broadcasting services. We have thus raised N34 billion, slightly less than our budget.”

Chief Magistrate B.O. Osunsanmi of a Lagos Magistrate Court sitting in Ikeja has ordered that Robert Azibaola, a cousin to former President Goodluck Jonathan be remanded in the Economic and Financial Crimes Commission custody (EFCC).

The EFCC yesterday had brought an application before the court seeking for the detention of  the defendant over the alleged diversion of $40 million meant for securing oil pipelines.

Azibaola will remain in the custody of the commission pending the completion of investigations over the funds allegedly paid to him through One-Plus Holdings, a sister company of Kakatar Construction Limited.

The payment was alleged to have been made to him by the detained former National Security Adviser, Col. Sambo Dasuki (rtd), to the defendant.

The matter was adjourned to  May 23, 2016 while  Robert Azibaola was ordered to be remanded at the EFCC custody.

Robert Aziboala, who has been in the EFCC custody since March 23, 2016, had earlier approached a Federal Capital Territory High Court for the enforcement of his fundamental human rights in a motion ex-parte dated and filed on April 5 and brought pursuant to Order 5 Rules 3 and 4 of the Fundamental Rights (Enforcement Procedure) Rules 2009, Section 35 of the 1999 Constitution (as amended).

In the application, he had  prayed the court to grant him an interim bail pending his arraignment before a court of law by the respondent (EFCC) or pending the determination of the substantive motion in this suit.

In his ruling, the trial Justice Goodluck Olasunbo of the Federal Capital Territory granted the prayer of the defendant when he held that Robert’s detention by the EFCC for over two weeks was unconstitutional.

Justice Olasunbo held that the applicant  had disclosed sufficient evidence before the court to warrant the granting of his reliefs.

The judge, relying on the provision of the constitution,  held that section 35 (5) of the  constitution provides that a person who is under arrest or in detention shall be brought before a court of law within reasonable time.

The judge subsequently admitted Azibaola to bail, pending his arraignment before a court of law or pending the determination of the substantive motion on notice in the substantive suit filed before the FCT high court.

The bail conditions include two sureties each of whom shall be a serving or retired Director in any of the federal government ministries or parastatals and must be resident within the Federal Capital Territory while the applicant shall deposit his international passport to the Chief Registrar of this court.

In the same vein, the court ordered the EFCC to release Robert’s colleague and Executive Director of Kakatar Construction and Engineering Company Limited, Mr. Dakoru Atukpa, who had also been in detention for the same period.

A new twist was introduced into the matter  as Azibaola was moved from Abuja to Lagos by the EFCC and made to appear before a Lagos Magistrate Court, Ikeja presided by Chief Magistrate Osunsanmi where the commission was granted an order for his detention.

Economic and Financial Crimes Commission (EFCC) detectives yesterday detained former Finance Minister Mrs. Nenadi Usman.

The EFCC is probing her role in how billions was withdrawn from the Central Bank of Nigeria (CBN) and paid into the accounts of six chieftains of the Peoples Democratic Party (PDP) and the Goodluck Support Group (GSG).

She allegedly owns an account, titled “Joint Trust Dimension Nigeria Limited” in which a substantial part of the funds was lodged. Cash was disbursed to party chieftains from the account, according to investigators.

Besides Mrs Usman, other suspected beneficiaries of the “bazaar” include former Aviation Minister Femi Fani-Kayode; former Secretary to the Government of the Federation and Social Democratic Party (SDP) leader Chief Olu Falae; former Imo State Governor Achike Udenwa;  former Minister of State for Foreign Affairs Viola Onwuliri and Okey Ezenwa.

But most of these individuals have denied involvement in the money sharing.

There were strong indications last night that all those who got the slush funds might be picked up by the anti-graft agency.

Mrs Usman reported at the Lagos office of the agency and was immediately taken into custody for interrogation.

“We may relocate her to Abuja but for now, she has been detained in Lagos.

“She was said to have received the sum of  N2.5 billion out of the over N4 billion which was transferred out of Central Bank of Nigeria into various individuals and company’s accounts

“In addition, the sum of N140 million cash was allegedly paid  into her Zenith Bank Account in January 2015.

“Some of these funds are said to have been traced to her personal account and her company’s account which she used to acquire properties in Abuja.”

A top source conversant with the deal, which landed the ex-Minister in trouble, said: “Mrs Usman was the Director of Finance of the Presidential Campaign Committee for the re-election of ex-President Goodluck Jonathan. At the prompting of the former President, N4billion was withdrawn from the CBN under the guise of security needs for disbursement to party chieftains.

“The cash was transferred into the account of Joint Trust Dimension Nigeria Limited, a company traced to Mrs Usman, where it was later shared to various individuals and organisations for purposes that are not stated.

“Nenadi, who made a statement to EFCC later went abroad on an undisclosed mission.

“Her trip slowed down investigation because as a vital coordinator, she ought to reappear for further interrogation. This development made the EFCC to watch-list the ex-minister.”

The details of how the funds were disbursed are: Fani-Kayode (N840million); Goodluck Support Group (N320million); Achike Udenwa and Viola Onwuliri (N350million); Nenadi Usman (N140million); and Okey Ezenwa (N100million).

The source gave insights into how the funds were remitted into the accounts of the seven suspects.

He added: “Fani-Kayode was the chief beneficiary of the disbursement as he allegedly received N840million, paid in three tranches into his Zenith Bank, Maitama branch account with No.1004735721.

“The first tranche of payment involving N350million hit the account on February 19, 2015. Another N250milion was also paid into the account on February19, 2015 while N240million was credited to the account a month later; precisely, March 19, 2015.

“The balance on this account as at 31st December, 2015 was N189, 402.72.

“Next is Goodluck Support Group, which allegedly received N320million

“Falae allegedly received N100m through Marreco Limited, a company where he is Chairman. The fund was credited into the company’s United Bank for Africa Plc account No. 1000627022 on March 25, 2014.

“Both Udenwa and Mrs Onwuliri got N350million in two tranches. The first tranche of N150million was paid into their joint account with Zenith Bank on January 13, 2015. The second tranche of N200miilion was credited into their account with Diamond Bank.

“Nenadi Usman got funds through her Zenith Bank account no. 1000158311 on 7, Kachia Road, Kaduna; N36.9million was credited to her.

Okey Ezenwa got N100million.”

The EFCC yesterday confirmed the arrest of a Permanent Secretary in the Ministry of Labour, Dr. Clement Illoh, to whose Zenith Bank N316 million traced to.

A source said: “The EFCC in the course of investigating the Technical Committee for Ratification of MLC of Nigeria Maritime Administration and Safety Agency (NIMASA) discovered that the sum of N14.1 million was paid to Clement & Bob Associates.

“Further investigation revealed that the said company, Clement & Bob Associates, belongs to Dr. Clement Illoh, where he is the sole signatory.

“It was further discovered that  the sum of N49 million and N13 million were also paid into Clement & Bob Associates account  from the now defunct Subsidy Reinvestment Programme, SURE –P.

“Illoh has been unable to provide satisfactory answer on how he came about the said N316 million in which he has the sum of N200 million in fixed deposit and over N16 million as balance in Zenith Bank.

 ”The EFCC also discovered that Illoh purchased property worth N75 million from Aso Savings and Loan, Abuja using the name of his wife, Rose.”