The Nation Newspaper

Tag: fraud

  • N5.1bn fraud: Prosecutor’s absence stalls Jonathan’s ex-aide’s trial

    N5.1bn fraud: Prosecutor’s absence stalls Jonathan’s ex-aide’s trial

    The Federal High Court, Lagos Tuesday adjourned till Wednesday the continued trial of former Special Assistant on Domestic Affairs to ex-President Goodluck Jonathan, Waripamo-owei Emmanuel Dudafa, following prosecuting counsel Mr. Rotimi Oyedepo’s absence.

    Dudafa, who the court heard was ‘seriously sick’, was also not brought to court from prison custody.

    He and one Iwejuo Joseph Nna, also known as Taiwo Ebenezer and Olugbenga Isaiah, are standing trial before Justice Mohammed Idris on a N5.1billion fraud charge preferred against them by the Economic and Financial Crimes Commission (EFCC).

    The two accused persons were alleged to have used four companies namely; Pluto Property Development Company Limited, Avalon Property Development Company Limited, Seagate Property Development Company Limited, Rotato Property Development Company Limited, and Ebiwise Resources Limited.

    At the resumption of proceedings yesterday, Justice Idris read out a letter from the EFCC and signed by Oyedepo seeking an adjournment to enable him defend an appeal filed by Mr. Ricky Tarfa (SAN), against the Commission in suit number CA/497/2016.

    Tarfa is being prosecuted by the EFCC in three courts on charges including offering gratification to judicial officers and obstruction of public officers in the performance of their duties.

    Defence counsel Mr. Gboyega Oyewole, who did not oppose the application, said he was surprised at his client’s absence.

    “On enquiry from Prison officials, I was told that Dudafa was seriously sick that was why they didn’t bring him to court,” Oyewole said.

    He added that the anti-graft agency had “flagrantly disobeyed” the order of the court to hand over Dudafa’s international passport to the court registrar.

    Consequently, Justice Idris granted the adjournment till November 10, for continuation of trial.

  • How to reduce fraud in organisations, by experts

    Experts in fraud detection and examination have urged the Federal Government to take the fight fraud and corruption with facts and not on the pages of the newspapers.

    They also advised government to investigate those who have been fingered in the ‘change process’ and punish them well to avoid a recurrence.

    The experts, under the aegis of the Association of Certified Fraud Examiners (ACFE), spoke through the President of the association’s Lagos chapter, Godwin Oyedokun.

    The expert noted that bringing culprits to justice would reduce the manipulation of evidence and protect whistle blowers from victimisation.

    ACFE aims to reduce fraud and white-collar crimes across the country.

    Oyedokun, who is also an advocate of audit forensic services, spoke in Lagos on the essence of fighting fraud with facts in a keynote address he gave at the beginning of the fifth anti-fraud seminar with the theme: Good Governance: A Veritable Tool for Fighting Fraud During Economic Recession.

    He said: “We are in a recession because what we have cannot sustain us. It is not because we cannot produce or that we lack the capacity to produce. But it is because of mismanagement and lack of focus.

    “There are no people who are very sound in resource management. But if we are given good strategic and operational governance, we should also be given a way out of the recession.”

    In his lead paper, the Deputy Director of Financial Reporting Council of Nigeria, Mr Iheanyi Anyahara, noted that reducing corporate fraud might be difficult, if there is no close relationship between shareholders and management, “probably due to transitional interest”.

    Anyahara listed the major challenges to effective fraud detection, including corruption, poverty, unemployment, weak regulatory framework and a ruling political elites being treated as “untouchables”.

    The deputy director frowned at those he called corrupt gatekeepers who still aid and abet corruption.

    According to him, such people constitute a barrier to the fight against graft.

    Anyahara noted that poor corporate governance culture, laxity among regulators, multiple codes and unmerited composition of the board of directors are other impediments to the fight against corruption.

    The expert said for fraud to be checked, there should be none of the following: intrusion of extended family, enforcement of social security, auditors being toothless bulldogs, independent directors.

    The deputy director also said accountability and transparent reporting should be the watch word of organisations.

    He stressed that regulatory mechanisms and the long stay of auditors impede independence.

    Anyahara said: “Good governance can be used to reduce fraud. So, we should see ourselves as faithful stewards and until identified structural defects are rectified, fraud reduction may remain a mirage.”

    Other speakers at the event included Partner, Forensics Services, Mr Soji Awogbade; Mr Ngozi Onweazu, of the ACFE Advisory Board and Head, Strategic Tax and Compliance of Dangote Industries Titilayo Fowokan.

  • Five undergraduates arrested for ‘N8.5m fraud’

    Five undergraduates arrested for ‘N8.5m fraud’

    Operatives of the Special Fraud Unit (SFU), Ikoyi, have arrested five students of the Nnamdi Azikiwe University (UNIZIK) in Awka, the Anambra State Capital, for allegedly using their accounts as conduits for fraud.

    Nwaokorie Somadina, Ekweme Somtomchukwu, Chris Kizito, Ude Cyprian and Ebuka Emmanuel were alleged to have allowed fraudsters to use their accounts to defraud people of N8.5million.

    It was gathered that the cash  was fraudulently debited from the account of a company, Golden Chance Lotto and paid into the suspects’ bank accounts. The suspects were promised commissions.

    But the suspects claimed they never knew that their accounts would be used for crime, insisting that they met the swindlers at different places in Anambra State.

    Emmanuel alleged that he met one of the fraudsters, Blade, through a cousin, adding that he was promised 20 per cent commission.

    Emmanuel said: “I met Blade through one of my cousins in the village. We exchanged telephone numbers. A week after, Blade called asking if I have a Zenith bank account and I said yes. Two days later he called again to say that he has a transaction to make that involves a Zenith bank account holder.

    “He promised that I would get 20 percent of whatever amount that is paid into my account. Few days later, they paid N2 million into my account. Blade met me and we went to the bank where I withdrew the sum of N500,000 from the counter.

    “Blade gave me N100,000. He demanded that I should give him my ATM card, password and Token. I later discovered that N1 million was withdrawn from my account two days later. I gave back the N100,000 to Blade because I felt he had reneged on his earlier promise of 20 percent.”

    He said he got series of calls from a certain Nat, who claimed ownership of the money that was lodged in the account.

    He said: “It was through my discussion with Nat that I got to know that Blade was a middle man between myself and the gang. After my discussions with Nat, I quickly informed my bank to put a hold on any transaction made through my ATM or token.”

    Somadina alleged that he met Nat through a fellow student, adding that he was also promised 20 percent of the loot.

    He said: “They paid N950,000 into my account. They withdrew the entire amount because they had my ATM and password.”

    SFU spokesman, Lawal Audu, an Assistant Superintendent of Police (ASP), said the unit received a petition from the management of Golden Chance Loto, about a fraudulent withdrawal of the said sum from the company’s account.

    Audu said: “During the cause of investigation, it was discovered that the amount which was fraudulently withdrawn from the company was paid into the suspects account.

    “The detectives trailed the suspects to their hideouts in Anambra State, where they were all arrested. The investigation also revealed the gang kingpins, Nat, and Blade were the masterminds of the fraud. The two ring leaders are currently at large and effort is on going to arrest them. The suspects would be charged to court.”

  • Fani-Kayode for arraignment November 10 – EFCC

    Fani-Kayode for arraignment November 10 – EFCC

    The Economic and Financial Crimes Commission (EFCC), is to arraign former Minister of Aviation, Mr Femi Fani-Kayode, on new charges of fraud on November 10.

    EFCC’s spokesman, Mr Wilson Uwujaren, disclosed this to the News Agency of Nigeria (NAN), through an SMS in Abuja on Tuesday.

    Uwujaren said that the commission had already served the former minister with court processes, he did not give further details.

    Fani-Kayode, a former Director of Media and Publicity of the PDP Presidential Campaign Organisation, was re-arrested by EFCC operatives while emerging from a Federal High Court room in Lagos on Friday.

    He is standing trial in the Lagos court alongside a former Minister of Finance,  Nenandi Usman, one Danjuma Yusuf and a company, Joint Trust Dimension Nigeria Ltd.

    The three are facing a 17-count charge of unlawful retention, unlawful use and unlawful payment of money to the tune of about N4.9 billion, a charge they denied.

    Reports say that the Prosecutor, Mr Rotimi Oyedepo, had concluded the witness’ evidence for the day, and the case adjourned till Nov. 14 and Nov. 15 for continuation of hearing.

    But as the accused emerged from the courtroom, he was flanked by two EFCC operatives who led him into a waiting Toyota Hiace bus and drove him away.

    However, shortly after the accused left the courtroom, two officers of the EFCC dressed in white Kaftans, flanked his sides and requested that he followed them to the commission.

    He has been in the commission’s custody since then.

     

  • N30m fraud: Witness absence stalls trial of ex-FCMB manager

    N30m fraud: Witness absence stalls trial of ex-FCMB manager

    The absence of a prosecution witness on Thursday stalled the trial before a Federal High Court Lagos, of a former FCMB branch manager, Rosemary Usifo, charged with N30 million fraud.

    The accused was arraigned by the Special Fraud Unit of the police on a charge of fraud.

    She had pleaded not guilty to the charge and was granted bail in the sum of N10 million, with two sureties in like sum, one of who must be a blood relation with landed properties.

    The accused was, however, remanded at the Kirikiri prisons as she was unable to perfect her bail conditions.

    On Thursday, the trial of the accused could not go on due to the absence of a prosecution witness.

    When the case was called, the prosecutor, Mr Effiong Asuquo, apologised to the court that he could not proceed with trial as his witness was absent.

    He said that he had called the witness to remind him of the day’s proceedings, and to ensure his attendance, but was informed by the witness that he was bed-ridden.

    Asuquo therefore, prayed the court for an adjournment to enable his witness attend court to give evidence.

    The trial judge, Justice Saliu Saidu, consequently, adjourned the case to Dec. 8 for trial.
    In the charge, the accused was said to have committed the offence in 2011.

    The prosecutor alleged that the accused defrauded a bank customer, a retired Deputy Inspector-General of Police, Mr Archibong Nkanga, of N30 million.

    The money was alleged to have been obtained from the fixed deposit account of the customer.

    The offence is said to have contravened the provisions of Sections 1(2) (a), (c), and 3 (1) (2) of the Miscellaneous Offences Act, Cap. M17, Laws of the Federation, 2004.

  • Court convicts Polish woman, firm over N9m fraud

    Court convicts Polish woman, firm over N9m fraud

    A Polish woman, Dora Gilmaska and her company, Icon Media and Marketing Agency Limited were Thursday convicted for fraud by a High Court of the Federal Capital Territory (FCT), Maitama, Abuja.

    Justice Abubakar Umar, in a judgment Thursday, found the two guilty of one-count charge of fraud brought against them by the Economic and Financial Crimes Commission (EFCC).

    This information is contained in a statement issued Thursday by the Head, Media and Publicity, EFCC, Wilson Uwujaren.

    “Gilmaska was found guilty of forging and issuing a dud cheque of N9million to one Tayo Olugbemi sometime in 2012.

    “She was arraigned on November 7, 2012, and upon arraignment pleaded not guilty to the charge.

    “After diligent prosecution, Justice Umar found Gilmaska guilty and she was consequently convicted.

    “However, her sentencing has been reserved till October 4, 2016,” Uwujaren said.

  • Ex-Abia Kalu, two others arraigned for alleged N3.2b fraud

    Ex-Abia Kalu, two others arraigned for alleged N3.2b fraud

    •Trial opens Dec. 6

    About eight years after the case was stalled, the Economic and Financial Crimes Commission (EFCC) recommenced the trial of ex-Abia State Governor, Orji Uzor Kalu, and two others yesterday.

    Kalu, his ex-aide, Jones Udeogo, and the former governor’s company, Slok Nigeria Limited were re-arraigned yesterday on a 34-count charge at a Federal High Court in Abuja.

    Before their arraignment, Kalu and others argued against yesterday’s proceedings, and urged the court to await the pending appeal by Slok at the Supreme Court.

    Justice Anwuri Chikere rejected the defendants’ objection, and ordered that the charge be read to them.

    Kalu and others were, in the amended charge, accused of diverting about N3.2 billion from Abia State’s treasury during Kalu’s tenure.

    They pleaded not guilty, following which the court admitted them to bail on terms attached to the bail granted them on April 30, 2008 after they were earlier arraigned before Justice Adamu Bello (now retired).

    The court adjourned to December 6 for trial.

    Kalu and others were initially arraigned in 2007 before Justice Bello (then of the Federal High Court, Abuja).

    Shortly after Kalu and Udeogo pleaded to the charge, his lawyer, Awa Kalu (SAN), urged the court to allow them remain on their earlier bail.

    The counsel handed the court a copy of the enrolled orders of 2008 by Justice Bello, granting bail to Kalu and Udeogo.

    Udeogo’s lawyer Solomon Akuma (SAN) aligned with Kalu’s lawyer, urging the court to adopt Justice Bello’s position.

    Prosecution lawyer Rotimi Jacobs (SAN) did not object, saying he was interested in the trial.

     

  • Police arraign man over alleged fraud

    Police arraign man over alleged fraud

    The police in Ota, Ogun on Friday arraigned a man, who allegedly defrauded a woman of N500,000 in the guise of helping her to solve spiritual problems.

    Forty-five-year old John Ifedole, who lives at 18, Adeyemi St., Osi, Ota, appeared before Senior Magistrate S.O. Banwo on a two-count charge of obtaining money under false pretences.

    He, however, pleaded not guilty.

    The prosecutor, Sgt.Chudu Gbesi, submitted that the accused defrauded Mrs Mojisola Olagunju from January, 2015 to February, 2016 at Osu, Ota.

    He said that the alleged offences contravened Sections 390(9) and 419 of the Criminal Code, Vol. 1, Laws of Ogun, 2006.

    The court granted the accused bail in the sum of N100,000 with two sureties in like sum.

    The case has been adjourned till Oct.10 for substantive hearing.

  • Window of fraud

    Window of fraud

    •SON’s excuse for not verifying imports is untenable

    Shocking! This simply describes the statement by the Standards Organisation of Nigeria’s (SON) Acting Director-General, Dr Paul Angya, that the organisation had no opportunity of verifying 90 per cent of products imported into the country from September to December, 2015. Angya, who disclosed this in Lagos during a two-day capacity-building workshop organised by SON for media executives said this was due to the three-month window that the organisation provided for importers to enable them register on the Nigeria Customs electronic platform, Nigeria Integrated Customs Information System (NICIS).

    According to him: “The NICIS platform allowed all stakeholders in the maritime sector to view data on shipment. But, because the World Trade Organisation required that we should allow time for importers to register on the NICIS platform, we left a window of three months between September and December (2015) and issued them Electronic Provisional Clearance Certificate as an alternative. EPCC permitted importers to bring in their goods without the mandatory SON Conformity Assessment Programme certificates”.

    If Nigerians are still stunned that there ever could be a situation which will allow goods imported into the country not to be verified, Dr Angya compounded the befuddlement. “But when this window of opportunity was created, criminal-minded importers took advantage of the situation and brought in substandard products which they were able to take out of the Nigerian seaports without the SON’s verification …”

    In a nutshell, this explains why goods imported into the country within the period had no SON verification! Dr Angya says the importers are now threatening his staff for closing the platform.

    There are a few questions for the acting SON boss. One, he said the organisation gave a three-month window for the importers to enable them register on the NICIS, adding that they shut down the platform in July, 2016. So, what had been happening between December 2015 and July 2016 when SON said it finally shut down the platform? Secondly, did it not occur to SON, ab initio, that unscrupulous importers were going to abuse the privilege? Third, has Dr Angya stopped to ask himself whether it is possible for any good to enter into other serious countries without verification on account of a WTO requirement? Is the organisation saying there are no better ways to achieve the objective other than the one it chose?

    It would seem to us that the SON is crying wolf now for reasons other than the genuine desire to prevent substandard products from entering the country. Otherwise, it would not have suspended (or shirked) its responsibilities for the reason it gave for months, only to turn round now to accuse some importers of threatening him and his men. If indeed, this is true, SON has itself to blame. How could it have allowed people bring in goods into the country without certification for months only to want to stop it when they are already used to it? SON’s action is akin to shutting the stable door after the horse has bolted.

    We sympathise with Dr Angya who claimed that his “officers who are all graduates and engineers chase trailers on the highways like touts, risking their lives to jump on trailers to try and catch them”. This is crude and primitive. But the solution does not lie in what we are afraid the SON boss is asking for: that his organisation be returned to the seaports to further compound the proliferation of government agencies there again. This is one of the reasons many importers bypass our ports: too many government agencies there means their paying more for their imports, without the proceeds getting into government coffers.

    Indeed, it was because of the proliferation of government agencies at the ports that the number was pruned to make room for efficiency. We should not return to that inglorious past. SON can do its job from outside the ports. The Nigerian Shippers Council and other agencies are doing just that. If SON has capacity or logistics problem, Dr Angya should say so and let these be addressed.

  • Man held for alleged N5.5m cashew nut fraud

    Man held for alleged N5.5m cashew nut fraud

    The police have arrested a man, Olatunji David, for allegedly obtaining N5.5 million from a businessman under the pretence of supplying him with raw cashew nuts.

    The Zone Two Police Command, Onikan, Lagos arraigned David, 46, Monday before Mr. W. B Balogun of an Igbosere Magistrates’ Court, Lagos.

    The defendant, whose residential address was not given, is standing trial on a three-count charge of conspiracy, fraud, stealing and conversion.

    Prosecuting Supol Eshiet Eshiet told the court that the defendant and his alleged accomplice who is at large committed the offences sometime last March, in Lekki area of Lagos State.

    Eshiet alleged that the defendant “obtained the sum of N5.5 million from one Bello Osagie-Teslim under pretence of supplying him raw cashew nuts, a representation he knew to be false.”

    “The defendant dishonestly converted the said sum to his personal use in order to permanently deprive the complainant of his property.”

    The offences, he added, contravened Sections 409, 312 (1) (a) and were punishable under Sections 312 (3), 278 (1) (a) (2) (a) and 285 (1) of the Criminal Laws of Lagos State, 2011.

    The defendant pleaded not guilty.

    Magistrate Balogun granted him N2 million bail with two sureties in the like sum who must be gainfully employed in a limited liability company and provide evidence of tax payment.

    The case was adjourned till October 21.