The Nation Newspaper

Tag: fraud

  • N6b lost to internet fraud in 2014, says NIBSS

    N6b lost to internet fraud in 2014, says NIBSS

    The economy lost over N6billion last year to internet fraud the Nigerian Interbank Settlement Systems (NIBSS) has said.

    Hackers, it said, gained entry into accounts either through internal collusion, customers’ carelessness or breaking into the security system of financial institutions and companies from outside.

    At an event organised by the Lagos Chamber of Commerce and Industry (LCCI) on  the role of ICT in a cashless economy, NIBSS Managing Director,  Mr. Adebisi Shonubi said the challenge financial institutions, organisations and individuals grapple with in a cashless economy is that of security of funds.

    Examining the growth of cashless economy, Shonubi said 95 per cent transaction in 2011 was based on cash with attendant high armed robbery cases where bank bullion vans were attacked almost on a daily basis.

    He said people did almost all their transactions in cash to the extent that in every N100 spent, N65 was on cash transaction.

    In comparison with recent years, he said,  between 2013 and 2014, for instance, cashless transactions increased to 53 per cent in volume and 78 per cent in value, growing the economy by cutting down on excessive cost.

    Represented by the agency’s Director of Industrial Services, Mr. Olufemi Fadiro, he encouraged the public to be more circumspect in disclosing their personal data to strangers or paying online.

    He maintained that somebody can be in Nigeria and lose his life savings outside Nigeria because of the heightened interest of people to pay everything online and also disclose the security numbers to unknown sites.

    Speaking on ‘Providing Seamless Connectivity in E-commerce,’ Managing Director, Vodacom Business Africa (Nig.), Mr. Guy Clarke, outlined the importance of e-commerce to the economy, noting for instance, that it makes life easier for people by giving them alternatives and choice of the durability of the products they are buying.

    He said it also ensures seamless transaction between customers and the service companies. Represented by Mr. Abu Eto however, encouraged the e-commerce companies to ensure adequate security, sustainability and connectivity.

    Earlier, Chairman, LCCI, ICT Group, Mr. Zakari Usman, called for a policy drive towards cashless economy that will benefit everybody. He canvassed a position that will holistically resolve issues and challenges associated with cashless economy by making the products user-friendly.

    He hinted that cashless economy has reduced robberies at homes and banks as people no longer carry cash, but do their transactions on phones and other devices.

    He said the industries and the economy can only grow with cutting edge technologies where people can sit at the comfort of their homes and offices to transact their businesses.

  • Alleged N3.8b fraud: EFCC quizzes ex-governor Dakingari

    Alleged N3.8b fraud: EFCC quizzes ex-governor Dakingari

    •Agency arraigns prison officer for N3.9m fraud

    THE Economic and Financial Crimes Commission (EFCC) yesterday quizzed former Kebbi State Governor Saidu Dakingari over alleged mismanagement of N3.8 billion.

    As at 5.24p.m yesterday, the former governor, who was invited by the EFCC, was still at the agency’s Operations Department.

    The EFCC’s operatives had earlier grilled Dakingari’s wife, Hajiya Zainab (the daughter of late President Umaru Yar’Adua) and the Chairman of the Board of Trustees of the Peoples Democratic Party (PDP), Alhaji Haliru Bello Mohammed, over alleged N2 billion contracts and money laundering in the state.

    A reliable source in EFCC, who spoke in confidence, said the invitation of the ex-governor followed a petition on non-execution of some contracts in Kebbi State when he was in charge.

    The source said: “We are probing allegations of mismanagement of N3.8 billion by the former governor and some of his aides; abuse of due process and non-execution of some contracts already paid for.

    “After preliminary profiling, the anti-graft commission decided to invite Dakingari to respond to these allegations.

    “We had earlier interacted with the wife of the former governor and the BOT chairman of PDP on what they knew about some of these contracts.

    The source said the commission might also question some former commissioners in the state.

    “We want to hear from Dakingari before summoning some ex-commissioners and heads of parastatals.

    “We have retrieved some relevant documents from Kebbi State to assist in our ongoing interrogation of Dakingari and others.”

    The Head of Media and Publicity of EFCC, Mr. Wilson Uwujaren, confirmed the agency’s invitation to Dakingari.

    But he did not give details on why the EFCC invited the ex-governor.

    Dakingari was the third former governor to be invited by the EFCC in two weeks.

    Both ex-governors Gabriel Suswam (Benue) and Godswill Akpabio (Akwa Ibom) had appeared for interrogation before the commission.

    Also yesterday, the EFCC arraigned a prison officer, Onoja Osita Kingsley, before Justice A.V. Agishir of the Federal High Court, Enugu on three counts of stealing, possession of fraudulent document and forgery to the tune of N3,900,000.

    A statement by Uwujaren, said: “The accused, who is a Prison Assistant with the Nigeria Prison Service allegedly orchestrated the fraudulent transfer of N132, 900,000 from six customers’ accounts with a new generation bank.

    “About N3, 900,000.00 was transferred into the account of one Uchenna Eze, which Onoja had opened with forged documents at the Olu Obasanjo Road branch of Access Bank Plc, in Port Harcourt, Rivers State. He subsequently withdrew N140, 000.00 from the account.

    “He was arrested on January 12, 2015 in Enugu, Enugu State, where he had gone to withdraw the balance of the stolen money.

    “He pleaded not guilty to the charges preferred against him.

    Justice Agishir adjourned the matter to October 28, 2015 for hearing of bail application and remanded the accused in EFCC custody.”

     

     

  • ‘BVN will reduce identity theft, fraud’

    ‘BVN will reduce identity theft, fraud’

    The Bank Verification Number (BVN) will reduce fraud and identity theft in the financial sector, Managing Director of Addosser Microfinance Bank, Ayodeji Sobulo, has said.

    According to him, “duplication of identities” is a problem faced by microfinance banks.

    “In this regard, the government has to speed up efforts in the collation of personal data and consecrate our data bank through the BVN, identity cards and Know Your Customers (KYC),” he said.

    He urged government agencies to be more flexibile in their regulation of small and medium scale companies to help them survive.

    He said the Addosser, with 13 branches accross Lagos, was established to bridge the gulf between the poor and the financial institution.

    “Our strength is in the fact that our solutions are tailor-made to suit each customer as our products compete with the best in the country.

    “We are partnering the state government on vocational capacity building. We are also working with Avis Car International for youths to have cars of their own instead of driving for others all their life.

    “Our interest rates are  very flexible, competitive and tailor-made to suit each client; we are not a rigid bank. We look at a lot of parameters about your business before we set our rates,” he said.

     

  • Man docked over visa fraud

    The Police on Tuesday arraigned 46-year-old Isaac Oloyede in Ile-Ife Magistrate’s Court, for alleged N1.9 million visa fraud.

    The Police Prosecutor, Insp. John Idoko told the court that the accused committed the offence between June 20, July 1 and Oct. 15, 2014, respectively around 12.30 a.m. at Parakin Area, in Ile-Ife.

    Idoko said that the accused fraudulently obtained the sum of N1.4m and N500, 000 under false pretence from Mrs Comfort Taiwo and one Rebecca Orisatoberu respectively, and converted it to his personal use.

    He said that the accused had promised Taiwo and Orisatoberu that he would procure visa for their daughters to study in the UK, which was false.

    According to him, the offence was contrary to section 383 (1) and punishable under section 390 (8), (b), (9) and 419 of the Criminal Code Cap 34 Vol. 11, Laws of Osun, 2003.

    The accused, however, pleaded not guilty to the four-count charge of conspiracy, obtaining money under false presence, conversion of N1.9 million to personal use and stealing.

    The Defence Counsel, Mr Michael Koyejo, pleaded for the bail of his client, saying that the accused would provide reliable sureties and pledged that he would not jump bail.

    Magistrate Adedotun Ayeni granted the accused bail in the sum of N250, 000 with two sureties each in like sum.

    Ayeni added that the sureties must swear to affidavit of means, produce two recent passport photographs with three years tax clearance certificate.

    He adjourned the case to Nov. 17, for hearing.

  • EFCC arrests council chair for ‘fraud’

    EFCC arrests council chair for ‘fraud’

    The Economic and Financial Crimes Commission (EFCC) said yesterday that the Chairman of Tarauni Local Government Area of Kano State, Mr. Muktar Yarima, was in its custody.

    The commission spokesman, Mr. Wilson Uwujaren, told the News Agency of Nigeria (NAN) that Yarima was arrested on Saturday in Kano for alleged fraud.

    He said the chairman was assisting the commission in its investigation.

    A source at the Government House, Kano told NAN that the arrest was in connection with alleged misappropriation of an unspecified amount of money.

    The source said the money was meant for an empowerment programme under the Millennium Development Goals (MDGs), now Sustainable Development Goals (SDGs).

  • Messi, father to appear in court on tax fraud charges

    Messi, father to appear in court on tax fraud charges

    Argentine forward Lionel Messi and his father Jorge have been ordered to appear in court on charges of defrauding Spanish tax authorities.

    The News Agency of Nigeria (NAN) reports that the amount involved is worth more than four million euros (about $4.5 million; about N990 million).

    Spain’s public prosecutor has recommended a jail sentence totaling 18 months and fines of more than two million euros for Jorge Messi.

    This is for allegedly defrauding the state of 4.2 million euros for the years 2007-2009.

    The prosecutor has however argued that Lionel Messi should not have to answer the charges as his father oversaw his finances.

    But a court document published on Thursday showed the judge in the case had ruled that the FC Barcelona player must still appear as a defendant.

    The hearings will take place at a court in Vilanova i la Geltru, near Barcelona, the document said.

    The court had previously ruled that Messi could have known about it all.

    It also said he could have approved the creation of a web of shell companies which were allegedly used to evade taxes on income from image rights.

    Revenue had been hidden using companies in Uruguay, Belize, Switzerland and the UK, according to the prosecutor’s office.

    Previously, Messi and his father paid five million euros to the tax authorities as a “corrective payment’’ after they were formally charged in June 2013.

    The footballer has been resident in Barcelona since 2000 and gained Spanish citizenship in 2005.

    He is 10th on Forbes Magazine’s list of the world’s highest-earning athletes over the past decade with income of $350 million.

  • SEC expels stockbrokers over fraud, market manipulation

    The Nigerian Stock Exchange (NSE) has indicted two stockbroking firms and a stockbroker for fraudulent sales of investors’ shares and manipulation of share price at the stock market.

    A circular on the indictment obtained exclusively by The Nation indicated that the stockbrokers were allegedly involved in multi-million Naira shares fraud. The indicted stockbrokers included Fittco Securities Limited, Resort Securities and Trust Limited and Mr Agomuo Chidi Solomon, a trader at the NSE.

    According to the indictment sheet, Fittco Securities Limited’s dealing member license has been revoked and the firm expelled from the Exchange due to alleged unauthorised sales of clients’ shares. Fittco Securities was also directed to pay a fine of N32.37 million.

    Resort Securities & Trust Limited was suspended for one month and directed to pay a fine of N3. 74 million following indictment on alleged share price manipulation.  Agomuo Chidi Solomon, an authorized dealing clerk of the NSE and a broker with Resort Securities, had his dealing certificate withdrawn in relation to the alleged share price manipulation.

    The indictment warned capital market operators from dealing with the indicted stockbrokers, citing rules that blacklisted indicted officials from further operation or employment in the market.

    Article 144(c) of the Rules and Regulations Governing Dealing Members (Amendments and Additions – Part II) – Specific Actions Requiring Prior Consent of The Exchange states that a dealing member must obtain prior written consent of the Exchange to employ directors, authorized clerks or other persons including principal officers such as the chief executive officer, chief finance officer, chief compliance officer and chief risk officer, who have been indicted by the Exchange or Securities and Exchange Commission.

    Others that required clearance from the Exchange before employment included any person who was an officer or employee of a dealing member expelled from the Exchange , any person expelled as an authorized clerk or its equivalent, from any other exchange; any person refused admission as a member of the Chartered Institute of Stockbrokers or any person expelled from its membership; any person expelled as a member of any professional association or institute and any person who is insolvent or has been convicted of theft, fraud, forgery, or any other crime involving dishonesty.

    The Nation had recently reported exclusively that the Economic and Financial Crimes Commission (EFCC) was investigating 10 stockbroking firms and 12 individual stockbrokers and officials as part of a large-scale crackdown on shares fraud that has seen 31 stockbroking firms and several stockbrokers internally investigated and sanctioned by the NSE.

    Two official reports on shares fraud, also known as unauthorised sales of investors’ shares, obtained by The Nation had indicated that the NSE had invited the EFCC to further investigate and prosecute 12 stockbroking firms and 21 stockbrokers and officials, who were primarily indicted by the internal investigations of criminal financial fraud.

     

     

    The EFCC has already concluded investigations and charged two stockbroking firms and nine persons to court while the anti-fraud agency is currently investigating 10 stockbroking firms and 12 persons connected with the firms or individually cited for shares fraud.

    All the cases referred to the EFCC were initially investigated and indicted by the Disciplinary Committee of the Council of the Exchange, NSE’s adjudicatory body which deals with heinous market infractions and investors’ complaints.

    The reports indicated that the all the firms and officials were allegedly indicted by the disciplinary committee for unauthorised sale of investors’ shares while some others were also indicted for issuance of dud cheques, impersonation and illegal conversion of dividend warrants.

    An official of the NSE at the weekend confirmed the cases under investigation by the EFCC, noting that the two reports were up to date and accurately represented the state of affairs as at press time.

    The investigations and prosecutions by the EFCC highlighted the anti-fraud campaign at the stock market to checkmate hard-pressed stockbroking firms and unscrupulous officials, who fiddled with investors’ shares.

    A report on shares fraud over the past 42 months indicated that 31 firms were investigated for unauthorised sale of shares. The report by the NSE covered the period between January 2012 and June 15, 2015.

    The report showed that nearly half of the shares frauds have been completed and the indicted stockbroking firms made to restitute the investors, a general reference to order to buy back the shares or pay the investor the value of the shares and all his entitlements.

    According to the report, 15 stockbroking firms and four individuals have pending cases, although the NSE has taken preemptive measure of suspending the stockbroking firms and stockbrokers. The pending cases have been referred to the disciplinary committee of the council of the NSE.

     

     

     

    The NSE had launched an online whistleblowing portal through which investors and other stakeholders can tip off the Exchange on perceived or known infractions. The online portal, known as X-Whistle, allows members of the public to submit information without disclosing their identity while it also provides reference that allows the whistleblower to track NSE’s response and investigation on the tip off.

     

     

     

     

  • Alleged N5b land fraud: Defendants fail to stall trial

    Justice Sendoten Ogunsanya of the Lagos State High Court, Ikeja, has refused to suspend hearing in a N5 billion alleged land fraud case brought against a former accountant at Chevron Nigeria Limited, Mr. Michael Adenuga.

    Adenuga and his company, Covenant Apartment Complex Ltd., were arraigned in last May by the Economic and Financial Crimes Commission (EFCC) on a three-count charge of stealing, forgery and use of false documents.

    The defendant’s counsel, Miss A. Funmilayo, informed the court that her boss, Dr Muiz Banire (SAN), who would have conducted the case, was in Abuja while another senior counsel, Mr. Ehis Agbogu, was hospitalised. She sought an adjournment.

    Ruling, Justice Ogunsanya upheld the prosecution’s argument that the defendant’s counsel announced her appearance when the case was called, only to inform the court when hearing resumed that she had just been briefed on the matter.

    She said: “Counsel who appears in any case is presumed to have full knowledge of the case and have full authority of the defendant. The court directs that the prosecution should continue with the case.”

    When hearing resumed last Tuesday, the two prosecution witnesses, Oye Oyeniran and Olubukola Adeyemi Oladiran, said Mr. Adenuga defrauded them and some other investors in a landed property worth about N5 billion.

    Adenuga and his company were alleged to have fraudulently converted a 22.68 hectares of land located in the Lekki area of Lagos between February 2008 and September 2011, to their use.

    According to EFCC, the property, situated at Ayetoro Ikota, in the Lekki area of Lagos, was owned by Covenant Sugarland Property Development Ltd., and Messrs Sunday and Joseph Oyeniran and was proposed to be developed as a residential neighbourhood to be called Sugarland Town.

    The defendants are also accused of forging a document titled: ”Contract of Sale between Covenant Apartment Ltd. and Kingview Realty Ltd., to facilitate the alleged theft, contrary to Section 363 and 364 of the Criminal Law of Lagos State.

    According to the EFCC, the said document was later presented by Adenuga to one of its officers, Mr. James Buzugbe, as genuine.

    The commission said the offences contravened sections 278 (1) and 285 (b) of the Criminal Law of Lagos State of Nigeria 2011.

    Mr  Oladiran, who was led in evidence by EFCC counsel Mr. Emmanuel Jackson, testified that he and other investors under his group signed a Memorandum of Understanding (MoU) with Adenuga’s group to buy the land and that each group would raise half of the cost.

    Oladiran said after the land became fully owned by Covenant Sugarland Property Development Limited, Adenuga went behind them to obtain the signature of the original land owner, the Ojomu Chieftaincy Family on a “Deed of Assignment” made in his company’s name for 17.2 hectares of the land.

    He further alleged that Adenuga proceeded to obtain the Governor’s consent on the fraudulent “Deed of Assignment” document with a forged Survey Plan and through the scheme denied the government huge sum of money in statutory fees.

    “The said “Deed of Assignment” was registered as No 63 at Page 63 in Volume 2398 with the Lagos State Land Registry.

    “Within days of registering the “Deed of Assignment”, he approached and used the fraudulent document to obtain millions of Naira in financial facilities from Imperial Homes Mortgage Bank Limited (formerly known as GTHomes Limited)”, the witness testified.

    Three witnesses, Mr. Sunday Oyeniran, Engr. Oye Oyeniran and Olubukola Adeyemi Oladiran, have so far testified against Adenuga.

    They told the court how various sums of money were raised through investors to develop the project.

    The EFCC counsel also tendered through the last two witnesses some documents of draft payments made by the investors for the purchase of the property.

    The documents tendered and eventually admitted as evidence by the court include letters authorising the payments and the statements made by the witnesses to the EFCC after they discovered and reported the fraudulent diversion of the property by Adenuga.

    Justice Ogunsanya adjourned the matter to November 12.

     

  • Estate agent docked for alleged fraud

    A 42-year-old real estate agent, Ramoni Azeez, has been arraigned in a Magistrate’s Court sitting in Ikorodu, Lagos State, for allegedly obtaining N301,000 to secure the same apartment for five persons.

    Azeez, who is facing a five-count charge bothering on stealing, was alleged to have separately obtained the money from five persons at different times and dates with a promise to secure each of them the same one-room apartment at the Odonla Area of Ikorodu.

    The prosecutor, Corporal Kemi Adeniran, told the court that Azeez committed the offence in the months of February, May, and August this year in Ikorodu.

    “On August 27 at Odonla area of Ikorodu, the accused collected the sum of N120,000 from one Edward Aladenusi under the pretext of securing a one-room self-contained apartment from him, which he failed to do,” the prosecutor said.

    She added: “Earlier in May 2015, the accused obtained N45,000 and N30,000 respectively from two other persons; Abel Yakubu and Morgan Moses, under the pretext of securing them a one-room apartment.

    “Before that time he had collected another N70,000 and N30,000 from one Ronke Jolomi and Olufemi Joshua in February, 2015, but failed to secure the one-room apartment for them.”

    The fifth count on the charge sheet states: “That you, Ramoni Azeez, on different dates and times, did steal a total of N301,000 only, property of Edward Aladenusi, Abel Yakubu, Morgan Moses, Ronke Jolomi and Olufemi Joshua.”

    The prosecutor told the court that the offences contravened Sections 312 and 285 of the Criminal Laws of Lagos State 2011.

    However, Azeez denied the charges and was granted bail in the sum of N100,000 with two sureties in the like sum.

    The Magistrate, Mrs. A. Oshodi-Makanju, adjourned the case till October 29.

     

     

  • ICPC arrests lawyer for defrauding FG

    ICPC arrests lawyer for defrauding FG

    The Independent Corrupt Practices and Other Related Offences Commission (ICPC) has said it arrested a lawyer, Mr Adeola Adeyanju, for allegedly defrauding the Federal Government of N928 million.

    The commission made the disclosure on Tuesday in Lagos in its recent in-house news bulletin.

    The bulletin said that the suspect allegedly forged the payment mandate of the Ministry of Environment.

    The commission, according to the bulletin, alleged that the suspect moved the said amount from First City Monument Bank where the money had been domiciled with his Zenith Bank’s personal account.

    “On the same day the money hit his account, he again moved it to a Bureau de Change’s account where the money was converted and paid to him in dollars,’’ it said.

    It said the suspect’s counsel, Mr Onyechi Ikpeazu (SAN), had earlier sought for the enforcement of his client’s fundamental human rights from an Abuja High Court with an application for bail award of N100 million as damages.

    Ikpeazu, according to the anti-graft bulletin, claimed that the detention of his client was a violation of his human rights, stressing that the suspect was suffering from a strangulated hernia.

    The bulletin said the commission’s counsel, Mr Osuobeni Akpors, who opposed the bail application, noted that the suspect had allegedly been a serial offender and that if granted bail, might abscond.

    Akpors further stated that the suspect had earlier been allegedly convicted in another High Court in a suit number FCT/CR/14/04, stressing that he had shown no sign of repentance.

    “Based on the facts before the trial judge, the suspect was denied bail,’’ the commission added.