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Tag: fraud

  • FBI arrests 34 Nigerians for alleged cyber fraud

    The U.S. Federal authorities have arrested no fewer than 34 Nigerians for allegedly defrauding businesses and U.S. citizens of several millions of dollars, the Federal Bureau of Investigation (FBI) said.

    FBI said in a statement that the fraud was a significant coordinated effort to disrupt Business Email Compromise (BEC) schemes that were designed to intercept and hijack wire transfers from businesses and individuals, including many senior citizens.

    It said a counter effort, ‘Operation Wire Wire’, a coordinated law enforcement effort by the U.S. Department of Justice, U.S. Department of Homeland Security, U.S. Department of the Treasury and the U.S. Postal Inspection Service, was conducted over a six month period.

    “The operation culminated in over two weeks of intensified law enforcement activity resulting in 74 arrests in the United States and overseas, including 29 in Nigeria, and three in Canada, Mauritius and Poland.

    “The operation also resulted in the seizure of nearly $2.4 million, and the disruption and recovery of approximately $14 million in fraudulent wire transfers,” FBI said.

    “Following an investigation led by the FBI with the assistance of the Internal Revenue Service (IRS) Criminal Investigation, Gloria Okolie and Paul Aisosa, both Nigerian nationals residing in Dallas, Texas, were charged in an indictment filed on June 6 in the Southern District of Georgia.

    “According to the indictment, they are alleged to have victimised a real estate closing attorney by sending the lawyer a spoofing email posing as the seller and requesting that proceeds of a real estate sale in the amount of $246,000 be wired to Okolie’s account.

    READ ALSO: Nigerian jailed three years in U.S for email scams

    “They are charged with laundering approximately $665,000 in illicit funds.  The attorney experienced $130,000 in losses after the bank was notified of the fraud and froze $116,000.

    “Adeyemi Odufuye aka “Micky,” “Micky Bricks,” “Yemi,” “GMB,” “Bawz” and “Jefe,” 32, and Stanley Hugochukwu Nwoke, aka Stanley Banks,” “Banks,” “Hugo Banks,” “Banky,” and “Jose Calderon,” 27, were charged in a seven-count indictment in the District of Connecticut in a BEC scheme involving an attempted loss to victims of approximately $2.6 million, including at least $440,000 in actual losses to one victim in Connecticut.

    “A third co-conspirator Olumuyiwa Yahtrip Adejumo, aka “Ade,” “Slimwaco,” “Waco,” “Waco Jamon,” “Hade,” and “Hadey,” 32, of Toledo, Ohio, pleaded guilty on April 20 to one count of conspiracy to commit wire fraud.

    “Odufuye was extradited from the United Kingdom to the United States and on Jan. 3, pleaded guilty to one count of conspiracy to commit wire fraud and one count of aggravated identity theft.

    “Nwoke was extradited to the United States from Mauritius on May 25, marking the first extradition in over 15 years from Mauritius.  His case is pending.

    “Richard Emem Jackson, aka Auwire, 23, of Lagos, Nigeria, was charged in an indictment filed on May 17 in the District of Massachusetts with two counts of unlawful possession of a means of identification as part of a larger fraud scheme.

    “According to the indictment, on two occasions in 2017, Jackson is alleged to have possessed the identifications of two victims with the intent to commit wire fraud conspiracy,” the U.S. authorities said.

    FBI said foreign citizens perpetrate many BEC scams adding, “those individuals are often members of transnational criminal organisations, which originated in Nigeria but have spread throughout the world”.

    The U.S. authorities expressed gratitude for the outstanding efforts of the participating countries, including law enforcement actions that were coordinated and executed by the Economic and Financial Crimes Commission (EFCC) in Nigeria to curb business email compromise schemes that defraud businesses and individuals alike.

    U.S. Attorney General Jeff Sessions said: “This operation, which was funded and coordinated by the FBI, serves as a model for international cooperation against specific threats that endanger the financial well-being of each member country’s residents.

    “Fraudsters can rob people of their life’s savings in a matter of minutes. These are malicious and morally repugnant crimes.

    “The Department of Justice has taken aggressive action against fraudsters in recent months, conducting the largest sweep of fraud against American seniors in history back in February.

    “Now, in this operation alone, we have arrested 42 people in the United States and 29 others have been arrested in Nigeria for alleged financial fraud.

    “And so I want to thank the FBI, nearly a dozen U.S. Attorneys’ Offices, the Secret Service, Postal Inspection Services, Homeland Security Investigations, the Treasury Department, our partners in Nigeria, Poland, Canada, Mauritius, Indonesia, and Malaysia, and our state and local law enforcement partners for all of their hard work”.

    Since the Internet Crime Complaint Centre  (IC3) began keeping track of BEC and its variant, Email Account Compromise (EAC), as a complaint category, there has been a loss of over $3.7 billion reported to the IC3, FBI said.

    BEC, also known as “cyber-enabled financial fraud,” is a sophisticated scam often targeting employees with access to company finances and businesses working with foreign suppliers and/or businesses that regularly perform wire transfer payments.

    The same criminal organisations that perpetrate BEC also exploit individual victims, often real estate purchasers, the elderly, and others, by convincing them to make wire transfers to bank accounts controlled by the criminals.

    This is often accomplished by impersonating a key employee or business partner after obtaining access to that person’s email account or sometimes done through romance, lottery, employment opportunities, fraudulent online vehicle sales, and rental scams.

    The FBI provides a variety of resources relating to BEC through the IC3, which can be reached at www.ic3.gov and victims are encouraged to file a complaint online with the IC3 at bec.ic3.gov. (NAN)

  • Court declares Innoson wanted for fraud

    AN Ikeja Special Offences Court yesterday declared the Innoson Group of Companies Chairman, Chief Innocent Chukwuma, wanted.

    The decision followed an oral application filed by Economic and Financial Crimes Commission (EFCC) before Justice Mojisola Dada.

    Justice Dada had earlier issued a Bench Warrant against the defendant for not appearing in court despite several invitations.

    At resumed sitting of the court yesterday, Justice Dada declined to listen to any of the applications from the defence counsel.

    She insisted Innoson must appear before her in court.

    Addressing the court, EFCC lead counsel Anselem Ozioko informed the court that they were not able to execute the Court’s Bench Warrant.

    Ozioko insisted that it was disrespectful for the defendant to fail to appear in court for the fifth time.

    He added that the court and the law should not be disrespected by anybody; no matter how highly placed and standing in the society.

    Innoson’s counsel Chief George Uwechue (SAN) said even when the court does not want to listen to the application of a defendant, it was duty bound to do so when it borders on challenging its jurisdiction to hear the matter under consideration and make a formal ruling on it.

    The EFCC is accusing Innoson of obtaining containers of motorcycles spare parts by false pretences between 2009 and July 2011 in Lagos, ‘with intent to defraud.

    The goods, said to be property of GT Bank Plc, were allegedly obtained from Mitsui O.S.K Lines Limited in Apapa.

    The anti-graft agency claimed that Innocent Chukwuma and Charles Chukwuma, “with intent to defraud induced the staff of Mitsui O.S.K and Maersk Line Limited to deliver” to them through their clearing agents, the motorcycle spare parts, moulds of spare parts and steel structures and raw materials called polyvinlchlorid, imported from China.

    The charge said the accused falsely pretended that they were authorised by GTB to clear the goods and take delivery of them.

    Justice Dada has adjourned the matter till June 22.

     

     

     

     

  • N950m Fraud: Shekarau, Wali, other granted bail

    …as police disperses supporters with tear-gas and live bullets

     

    There was pandemonium Thursday around the Federal High Court Kano on Court road shortly after the former minister of Education,l Malam Ibrahim Shekarau, Ambassador Aminu Wali and the Director general of Ex-president Good Luck Jonathan Engr. Munsur Ahmad were granted bail during which scores were injured.

    Confusion started when supporters of Shekarau attempted to forcefully the security to gain entrance into the court premises, suddenly to a counter reaction from the police by shooting live bullets sporadically into the air to scare them.

    The rampaging security operatives later extended their counter attack by shooting canisters of tear gas into the court premises where lawyers, journalists and court staffs scampered for safety.

    The security men who did not stop at that further went berserk, beating up everyone on-sight with the butt of their gun as well as flogging anyone who challenges their decision of shooting tear gas into the court premises.

    Read Also: N950m Money Laundering: Shekarau, two others quizzed, released by EFCC

    In the submission of the counsel to the EFCC JA Ojogbane, before Justice Zainab Abubakar, opposed the bail application of the Defence counsel, insisted that the affidavit submitted for bail application was against section 155 of the evidence act noting that, there was no bail application before the court. Council to the accused, Ologunnorisa SAN who did not opposed the argument of the prosecution counsel to open trial however seek the leaf of the court for bail application.

    The defence counsel who relied on section 163’of the administrative of criminal justice act in a ten paragraph affidavit insisted that the offence is bailable.

    After listening to the arguments of both counsels, the presiding judge Justice Zainab Abubakar Kagi stood down the precedings for about 40 minutes before rulings.

    The Judge the recess granted the accused bail on six conditions and should be remanded at EFCC custody pending when they satisfactorily fulfill the bail conditions.

    The six conditions include, one hundred million naira each, two suretees one, with landed property within the jurisdiction of the court. The landed property must have a C of O and must be verified by the ministry of land and deposited with the court registrar. The second surety must be a civil servant not below the rank of a director. That the accused should submit their international passport with the registrar and two copies of recent passport sized photographs.

    The three accused persons, are standing trial for six count charges bordering on money laundering an offence committed contrary to section 18(a) of money laundering prohibition act of 2011 as amended.

    The accused however, pleaded not guilty to the six charges.

    The case has been adjourned to June 26

  • Fraud: eTranzact changes management

    The Managing Director, two executive directors, chief technology officer and head of operations at eTranzact International Plc have resigned following alleged use of the company’s interface with a bank by a merchant to perpetrate fraud.

    eTranzact stated that its Managing Director, Mr. Valentine Obi; Executive Directors, Mr. Sullivan Akala and Mr. Ike Eze; Chief Technology Officer,  Mr. Richard Omoniyi and Head of Operations, Mr. Kehinde Segun have stepped down voluntarily. The company clarified that the top management staff resigned honourably because the alleged fraud took place under their watch and not because of any indictment.

    The board of directors of the company has appointed Mr. Niyi Toluwalope as the acting Managing Director. Until this appointment, Toluwalope was the Chief Financial Officer of the company, a position he has held since 2011.

    The company stated that the management change was part of the decision to move forward, noting that it is working closely with the regulators, and all other relevant stakeholders to resolve any issue related to the change in management structure.

    In a regulatory filing at the Nigerian Stock Exchange (NSE), eTranzact stated that the changes in management were at the instance of the board of directors of the company and not any other party or investigations, denying any ongoing review of the accounts of the company.

    The payment solution company stated that there was no fraud at its facility but a merchant allegedly used the company’s interface with a bank to perpetrate fraud.

    According to the company, eTranzact executives resigned honourably because they have the responsibility for governance in the company. Also, there is no truth about PricewaterhouseCoopers (PwC) or Ernst & Young reviewing the accounts of the company. eTranzact retains PwC from time to time for various technology related assignments and none has to do with reviewing the company’s accounts.

    The company assured that its ISO certifications are testament to its focus in adopting and implementing global best practices to ensure effectiveness, efficiency, confidentiality and integrity in its day-to-day operations.

  • Two held in Enugu for ‘fraud’

    Enugu State Police Command has arrested two persons for allegedly using stolen SIM cards to defraud the owners.

    Spokesman Ebere Amaraizu said in a statement at the weekend the suspects were arrested on May 18.

    He said the police recovered 30 cards of telecommunications networks, belonging to victims.

    Amaraizu said the suspects were arrested by operatives of Central Police Station, Enugu, who acted on information.

    According to the statement, the suspects specialise in using victims’ SIM cards to access their bank details and withdraw their money. The suspects were identified as Abuchi Ogbu, 20 and Christian Mba, 21.

     

    Ogbu is from Ndiagu Akpugo in Nkanu West Local Government and lives at 17, New Jerusalem Coal Camp, Enugu, while Mba is from Amechi Idodo in Nkanu East Local Government, living at 23, New Jerusalem Coal Camp, Enugu.

    The suspects confessed to operate in three groups; one specialises in stealing phones, takes the SIM cards to Mba, who is a cybercafé operator, to access the BVN and other bank details of their victims and hack into their accounts.

    The other group, headed by Ogbu, is to generate the PIN code of victims through the information gathered on the SIM cards.

    The codes are passed to the person, who then accesses the victims’ accounts and withdraws the money.

    “They have wreaked havoc on victims; the swindled their latest victim of N250,000,’’ Amaraizu said.

    He said one of the suspects, Ogbu, pleaded for forgiveness and blamed the situation on peer group influence.

    “The command advises the public to be security-conscious and ensure their electronic cards are kept safe,’’ the spokesman added.

     

  • NECO registrar on indefinite suspension as probe into alleged N25b fraud begins

    MINISTER of Education Adamu Adamu yesterday confirmed that the Registrar, National Examination Council (NECO), Prof. Charles Uwakwe, has been suspended indefinitely.

    Uwakwe and directors of Finance and Procurement were suspended by the Federal Ministry of Education for allegedly awarding contracts to the tune of N25 billion without following due process.

    The letter suspending the council officials came from the ministry, the supervising ministry of the organisation, it was learnt.

    Adamu confirmed their suspension in a telephone interview with The Nation in Abuja

    He said their suspension would enable the ministry to investigate alleged financial mismanagement and corruption levelled against top officials.

    “Prof. Uwakwe and two other directors have been suspended indefinitely, pending the outcome of the investigation. It (their suspension) will last as long as the investigation last.

    “If they finish their investigation (in) one month, if they clear him, he will be recalled. But if they don’t recall him, probably some penalty will be applied.”

    He said the ministry didn’t receive any petition concerning the registrar and the two other officials of the council.

    According to him, the Federal Ministry of Education is investigating the council officials because it felt the officials had done something wrong.

    It is an investigation that the ministry feels that there is something wrong. That is why he was suspended so that he will not block investigation. Only the investigation will establish anything against him.

    At the moment it is just speculation,” the minister said.

    Prof. Uwakwe declined to comment when our reporter called him.

    He advised the reporter to allow the administrative process started by the ministry to complete its work.

    “I am sorry I cannot respond to you because the administrative process is on. But all you can do is to support us in prayers,” Prof. Uwakwe said.

    But more drama emerged from council on Monday as a civil society group under the auspices of Vanguard for Justice and Good Governance urged the Federal Government to suspend the Director of Human Resources, Alhaji Inuwa Audu Fuka for giving his wife and three children employment into NECO.

    In a statement, titled: “An attempt to manipulate Justice in NECO issued in Minna, the group said nobody should be spared in the allegations of financial mismanagement and irregular recruitment of staff.

     

     

     

     

     

     

     

  • Alleged N5. 7bn fraud: I’m Ready To Prove My Innocence says Ex Governor Shema

    As the Economic and Financial Crimes Commission (EFCC) prepares to ‎arraign former  Ibrahim Shehu Shema of Katsina state in a high court in the state on Monday, the former governor has said that he is ready to prove his innoccence.

    According to him, he is not afraid of a just, transparent and fair trial.

    The EFCC is set to arraign the former governor over alleged N5.7billion  Subsidy Re-Investment and Empowerment Programme   (SURE – P)‎ fund before a high court in the state.

    In a press statement made available to ‎journalists in Abuja  through
    Oluwabusola Olawale,
    Head, Media Team of former Governor Shema, the former governor accused his successor in office, Governor Aminu Bello Masari of masterminding and sponsoring his trial.

    He accused the state government of persecuting perceived political opponents.

    ‎Olawale said in the statement, “Our position remains the same since Governor Aminu Bello Masari started his persecution, intimidation and harassment of former Governor Ibrahim Shehu Shema, by setting up over 30 different Committees to probe Shema administration and granted over 200 media interviews to call him a thief and continue to sponsors media trial against him.

    “He also set up Commission of Inquiry,  sponsor petitions to EFCC and ICPC, using Katsina State Attorney General Fiat  to take Shema before Justice Maikaita Bako of Katsina State High Court while at the same time obtaining Fiat from the Attorney General of the Federation, curiously to take over Corruption case from ICPC before the same Justice Maikaita Bako to satisfy the interest of Governor Masari and his Co travellers”.

    He said the state government is already pressurizing EFCC to take Shema before Justice Gabriel Kolawole of Federal High Court, Abuja on allegations that are being adjudicated before another Court and now taking him before Justice Babagana Ahmed of Federal High Court Katsina on the same issues and allegations.

    “Former Governor Ibrahim Shehu Shema stands by his position that he is ready to defend himself in fair and just trial and therefore urging Nigerians and International Communities  to read between the lines what is the motive of Governor Aminu Bello Masari who is behind trial of Shema for this desperation.

    “And with the fresh suit before Justice Babagana Ahmed of Federal High Court Katsina, we urge Nigerians and International Communities to  monitor closely the planned arraignment of Shema on the slated date to understand the motive and agenda of the fresh suit.

    “We insist that Former Governor Ibrahim Shehu Shema is innocent and demands for  transparent, fair and just trail based on the rule of law with the absolute belief that the God we worship is a just God who abhors injustice”, he said.

  • Trader arraigned for over N328,000 fraud

    A 48-year-old trader, Dele Felix, was yesterday arraigned at an Okitipupa Magistrates’ Court in Ondo State for allegedly defrauding Cecelia Azubike of N328,000.

    The accused, of no fixed address, is standing trial on a one-count charge of advance fee fraud.

    Prosecutor Zedekiah Orogbemi told the court that the accused on February 19, about 10:30am, at 40B, Hospital Road, Okitipupa, collected N328,000 from the complainant, on the pretext of helping her to keep the money.

    He said the accused failed to return the money to the complainant on demand.

    Orogbemi said the offence contravened Section 419 of the Criminal Code, Cap.37, Vol.1, Law of Ondo State, 2006.

    The accused pleaded not guilty.

    Magistrate Banji Ayeomoni granted the accused bail at N500,000 and a surety.

    He said the surety must live in the court’s jurisdiction and present a year tax clearance.

    Ayeomoni adjourned the case till April 30 for further hearing.

  • EFCC arrests Obasuyi for N11.4b ‘fraud’

    The Economic and Financial Crimes Commission, Lagos Zonal office, has arrested Managing Director Platinum Multi-purpose Cooperative Society Limited   Michael Osasogie Obasuyi, for alleged offences bordering on conspiracy, cybercrime and money laundering  of N 11, 498,944,038.29.

    The Commission said it had so far recovered the sums of N2, 903,727,563.92, $37, 992.87 and €18,538.09 found in Obasuyi’s bank accounts.

    Head of Media and Publicity of EFCC Wilson Uwujaren, said the suspect had confessed to the alleged fraud.

    The statement said: “Obasuyi, who is also the Managing Director of Smartmicro Systems Limited, had written a petition in March 2018 to the commission against a company, a mobile and electronic payment provider.

    “However, in what may be described as a dramatic twist, the company had also written a counter-petition against Smartmicro and Obasuyi, thereby leading the commission to begin investigations into the activities of Obasuyi.

    “Smartmicro was alleged to have approached the company in 2012 for the deployment of bulk purchase solution called “Corporatepay” to facilitate payment of salaries of Delta State employees in microfinance banks.

    “It was also alleged that the company configured an additional outbound fund transfer solution called “Fundgate” in 2017, which required Smartmicro to maintain a pre-funded settlement account with a first generation bank for settlement of account it had initiated.

    “However, the company further alleged that the bank, sometime in March 2018, revealed that the settlement account was in debit of N11, 498,944,038.29.”

    The EFCC said N2, 903,727,563.92, $37, 992.87 and €18,538.09 found in Obasuyi’s accounts in various banks in the country had been seized.

    The statement added: “Obasuyi, in his statement to the commission, confessed to have committed the crime, stating that he created fraudulent and imaginary monies through the aid of Fundgate financial application from the company.

    “The Commission, in the course of investigation, has recovered a paper version of the programme called MicroSwitchServer1, which he allegedly used to create and post the imaginary monies.

    “He will soon be charged to court as soon as investigations are concluded.”

     

     

  • Prince arraigned for ‘fraud’

    A prince of Kweme land of Badagry, Semasa James, was yesterday arraigned before an Ikeja Special Offences Court for allegedly defrauding the estate of his father, late King  Afolabi James of N500million.

    He was arraigned on a two-count charge of forgery and stealing before Justice Oluwatoyin Taiwo.

    The prosecutor for the Special Fraud Unit (SFU) of the Nigerian Police Force, Mr Sunday Ekong said the offence was committed between 2000 and 2017.

    Ekong told the court that Prince James fraudulently converted N500million property belonging to the late king between 2000 and 2017.

    According to Ekong, the Prince had forged the resolution of a company called CAJ Industrial Enterprises dated November 28, 2011.

    He alleged that the defendant purported that the resolution was signed by his father, who was one of the directors of the company.

    He said the forged document was purportedly signed in 2011 by the king, nine years after his demise.

    The prosecutor also alleged that Prince James forged the resolution with the intent that it will be acted upon as genuine to the prejudice of any person.

    The defendant however pleaded not guilty to the two count charge of forgery and stealing preferred against him by the Police.

    Sequel to his not guilty plea, his counsel, Mr Martins Oyigbo, asked the court to grant his client bail.

    Oyigbo argued that his client is well known and has a street named after him in the community and that he has no previous criminal record.

    He assured the court that the defendant will not jump bail, explaining that this was why the reigning king, Olalekan James, one of the siblings of the defendant is in court and ready to be a surety to the defendant.

    “My Lord, my client has no criminal record and should be presumed innocent until contrary is proven,” Odigbo said.

    In his response, the prosecutor, in a written application, opposed the bail of the prince, saying, “We have a written address dated April 18, 2018 which is opposing the bail of the defendant.

    Ekong told the court that that the defendant jumped administrative bail and that was why his passport was seized by the Commissioner of Police.

    “We have with us evidence that the defendant jumped bail and that is why his passport is with us. Our intention is to make sure this matter goes on and we are afraid that if he is granted bail, he will jump bail again and delay trial,” he said.

    The prosecutor also told the court that 15 prosecution witnesses, mostly relatives have been lined up against the defendant and were ready to give evidence in the matter.

    Justice Oluwatoyin Taiwo granted the prince N20million bail with two sureties in the like sum.

    The trial judge ordered that one of the sureties must be a land owner, which should be proven with a Certificate of Occupancy.

    “The second surety should be a relative with a viable means of income. Both sureties must show evidence of payment of taxes of the last two years, the Certificate of Occupancy must be verified by the Registrar of Titles and the SFU,” Justice Taiwo said.

    The Judge ordered that Prince James Semasa be detained at the SFU till perfection of the bail conditions.

    The matter was adjourned till May 11, 14 and 15 for trial.