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Tag: U.S court

  • U.S court orders forfeiture of $125,000 in stolen assets from three Nigerians

    U.S court orders forfeiture of $125,000 in stolen assets from three Nigerians

    A United States (U.S.) District Court has ordered the forfeiture of $125,000 in cryptocurrency, recovered from three Nigerians.

    The money is said to have been stolen from an American victim.

    The judgment was delivered by the Eastern District of Tennessee in Chattanooga in the U.S. on April 30, following months of waiting for the Nigerians to come forward to claim the assets.

    The assets were seized from three Binance accounts linked to the Nigerian citizens – – Martins Eromosele Iyere, Moses Olumide Sokale, and Olawumi Stephen Adewale.

    The court’s ruling showed that the cryptocurrency assets were stolen in 2021 from a Tennessee resident, Matthew McNulty.

    The victim was reportedly tricked into entering his login information into a fraudulent website hosted in Nigeria. The scammers then quickly transferred his cryptocurrencies out of his wallet.

    FBI Agent Jordan Foreman said in an affidavit filed in support of the U.S. government’s request that he traced the stolen funds using “open-source methods”.

    The detective said he found out that the assets were converted to different types of cryptocurrencies and transferred to various wallets before ultimately ending up in the Binance accounts. “The pattern of withdrawals, transfers, and transactions is consistent with money laundering and attempts to conceal proceeds of fraud,” Foreman said.

    The court held that the government’s evidence established a clear link between the seized assets and the alleged wire fraud and money laundering.

    As no claims were filed disputing the government’s allegations, the judge, Travis McDonough, gave a summary judgment in favour of the U.S. government last month, paving the way for the forfeiture of the assets.

    Read Also: Court sentences two to death by hanging for armed robbery

    According to the government’s filings, Mr. McNulty, a resident of Cleveland, Tennessee, posted a query on a Telegram channel called AnySwap on February 12, 2021, asking for help with a cryptocurrency trading error.

    FBI Agent Foreman wrote in the affidavit accompanying the government’s filing, that an account impersonating a real Telegram community manager reached out to Mr. McNulty, offering to help.

    The scammer directed Mr. McNulty to enter his cryptocurrency login information into a website registered and hosted in Nigeria.

    Mr. Foreman said the website generated a QR code after Mr. McNulty entered his credentials. The scammer then asked Mr. McNulty to screenshot the QR code and send it to him. After the victim complied, the scammer swiftly transferred his cryptocurrencies out of his wallet.

    The stolen funds were subsequently laundered through various wallets and converted into different types of cryptocurrencies before being transferred to Binance accounts linked to Nigerian nationals, Messrs Iyere, Sokale, and Adewale, the U.S. detectives said.

    Binance is an online cryptocurrency exchange that allows users to buy and sell cryptocurrency.

    The crypto platform was popular among Nigerians dealing in cryptocurrency until it started having a run-in with the Nigerian government under the administration of President Bola Ahmed Tinubu in 2023.

  • U.S. court rules in NNPC’s favour in $2.7b suit

    The United States Southern District Court of New York has delivered a significant judgment in favour of the Nigerian National Petroleum Corporation (NNPC) against ESSO Exploration and Production Nigeria Limited and Shell Nigerian Exploration and Production Company Limited (collectively, ESSO).

    The court hearing was held on February 1, this year in the protracted litigation arising from the disputes between NNPC and ESSO regarding the implementation of the Production Sharing Contract dated May 21, 1993 covering OPL 209/OML 133. ESSO referred its claims to arbitration in Nigeria and obtained an Arbitral Award of $1.799 billion on October 24, 2011, with yearly interest running at LIBOR plus four per cent.

    NNPC promptly challenged the Award at the Federal High Court, Abuja, which in May 2012, ordered the set aside of the Arbitral Award.  Notwithstanding the decision of the Nigerian Court, ESSO applied to the United States District Court, Southern District of New York for the recognition and enforcement of the Arbitral Award.

    NNPC challenged ESSO’s application on ground that there was no award, which the U.S court could enforce as a competent court in Nigeria had since set aside the award.

    NNPC also contended that there was no legal basis for the U.S court to exercise jurisdiction over it as it had no presence in the United States, owned no property and does not conduct its businesses therein.

    ESSO contended that NNPC is the alter ego of the Federal Government of Nigeria, owned assets in the U.S including bank accounts and also conducts businesses in the U.S.

    Esso obtained the leave of Court to conduct Jurisdictional Discovery to ascertain if the U.S court can assert personal jurisdiction over NNPC.

    At the close of the Discovery Procedure, the Court ordered NNPC and ESSO to appear for oral hearing, which was held before Honourable Judge W. H. Pauley on February 1, 2019, for parties to canvass their respective positions.

    On September 4, this year, the US Court delivered its Judgment by which it upheld the Corporation’s Application to Dismiss ESSO’s Enforcement Application on ground that a competent Nigerian Court had set aside the underlying Award and directed the Clerk of the Court to terminate and discontinue all motions and processes filed by ESSO in this matter.

    By this development, NNPC has successfully secured the dismissal of ESSO’s application to secure recognition and enforcement of its Arbitral Award valued in excess of $2,699,405,616 plus interest.

    The effect is that ESSO, who had sought the Order of the US Court to enforce the said Award, has lost the right. While ESSO is at liberty to appeal this decision, NNPC is optimistic that its case on appeal is very strong.

    This is a significant decision in the history of this case as the US Court has not only discharged NNPC from any indebtedness to ESSO but also set the stage for NNPC’s pursuit of the challenge of three other outstanding Enforcement Applications filed in the US Court by other PSC Contractors.

    Also, this decision of the US Court would lend weight to the effort of NNPC and the PSC Contractors to explore amicable resolution of the underlying PSC disputes.

    NNPC was represented by the US law firm of Messrs. Chaffetz Lindsey LLP, and Nigerian law firm of Messrs. Streamsowers & Kohn

     

  • U.S. court orders ex-MFM pastor, others to return church’s assets

    A COURT in the United States (U.S.) has ordered a former Mountain of Fire and Miracles Ministries’ (MFM) resident pastor, Lawrence Adetunji, and 11 other former members to return a branch of the church located in the State of Maryland to its rightful owners, the MFM.

    Adetunji, and 11 other former members of the branch had hijacked, transferred and renamed the church as Christ the Truth Ministries.

    The verdict followed a suit filed by the MFM International, Lagos and MFM Nevada in September 2017 before the Circuit Court for Prince George’s County in Maryland, USA.

    The suit sought a declaratory judgment and damages against Adetunji, his wife and 11 other former members of the church in Bowie, Maryland.

    The suit centered around two properties acquired by the MFM in 2001 and 2004 located at 5503 & 5506, Church Road in Bowie as well as the money used in building the church.

    The parent church, MFM in Lagos, had argued that the purchase of the property housing the church was made exclusively through the contributions of MFM members in Bowie.

    But the defendants claimed that since there was no direct financial contribution from the MFM parent church in Lagos, the church and the proceeds should belong to them, who were operating the church.

    MFM also submitted that at the time Adetunji and his co-defendants quit the church in anger, they were legally required to hand over its properties and funds to the church, which they did not do.

    The court, in its ruling, held that Adetunji and his group illegally converted MFM’s Properties to their own personal use without authority from the MFM Ministries. It also held that the defendants, as local trustees of the church, acted illegally by changing the articles on which their status rested.

    The court held that  Adetunji did not notify the church of his resignation before setting up Christ the Truth Ministries with the breakaway members. The court declared that branches of the church do not operate independently outside the control of the parent church.

    It further established that Adetunji, having been trained by the MFM in Nigeria and having used the church’s logo and other paraphernalia, had an affiliation with the church.

    The court ordered the pastor and his group to surrender the Maryland church branch and its assets to MFM, the rightful owners.

    It also directed full refund to the MFM, all the money spent by Adetunji and his group.

  • Fed Govt denies report of $6.59b judgment by U.S. court

    THE Federal Government has faulted reports that a court in the United States (U.S.) has entered a default judgment affirming a $6.59 billion arbitral award against it in favour of a firm, Process & Industrial Development Limited (P&ID).

    Solicitor General of the Federation and Permanent Secretary, Federal Ministry of Justice Dayo Apata while speaking in Abuja yesterday, confirmed that the firm sued the Federal Government in a U.S. District Court, but said no judgment has been given yet.

    Apata said the Nigerian government has taken the necessary steps to engage lawyers to handle the case on its behalf.

    He was, however, silent on the details of the dispute and what informed the suit brought against Nigeria by the private firm.

    Apata, who spoke on behalf of the Minister of Justice and Attorney General of the Federation (AGF), Abubakar Malami, said: “No default judgment was entered against Nigeria in the enforcement proceedings by P&ID.

    “The Federal Government through its foreign solicitors, Messrs. Curtis, Mallet-Prevost, Colt & Mosle LLP, has commenced the process of challenging and defending the enforcement proceedings.

    “It needs be stated that what is being taunted as a default judgment was actually a default entry made by the Court Clerk. Under the Foreign Sovereign Immunities Act (FSIA), a defendant has up to 60 days period to answer to a petition filed against it.

    “Where no response is entered for the defendant, the Court Clerk upon application by the petitioner, makes a default entry, which in this case was made on June 5, 2018.

    “It is to be noted that under the FSIA, a default judgment cannot be entered against a foreign state like Nigeria unless the presiding judge determines so after the petitioner/claimant must have established its entitlement to a default judgment.”

    He added: “Based on the presumption of sovereign immunity, the U.S. District Court is still under obligation, despite default by a Foreign State, to determine whether the foreign state is immune from the jurisdiction of the U.S. Court under FSIA or whether the case before it falls within one of the recognised exceptions.

    “Even where the court determines that it has jurisdiction, a default judgment will not be granted automatically or as a routine matter to be handled by a court clerk as this can only be done after a formal trial.

    “On June 12, 2018, our foreign solicitors filed the necessary application to set aside the clerk’s default entry and to dismiss the entire case on grounds of defective service and lack of personal jurisdiction over Nigeria in line with the provisions of the FSIA.

    “We wish to re-assure the general public that there is no default judgment against Nigeria at the instance of P&ID.

    “We urge Nigeria’s foreign friends and investors to ignore the malicious reports.

    “The Federal Government is also making concerted efforts through legal and diplomatic channels to resolve the issues in contention between the parties in this matter.”

     

  • Attempt to arrest Kashamu is no abduction, says U.S. court

    Attempt to arrest Kashamu is no abduction, says U.S. court

    A United States (U.S.) Appeals Court has dismissed  Senator Buruji Kashamu’s complaint that U.S. agents’ attempt to arrest him in collaboration with the National Drug Law Enforcement Agency (NDLEA) would constitute “an attempted abduction”.

    A report in Washington Post yesterday said the ruling was given on Monday by the U.S. Seventh Circuit Court of Appeals.

    Kashamu, in April 2015, filed a suit asking a district court to prevent his “abduction abroad by U.S. authorities”.

    Chicago prosecutors accused Kashamu of heading a heroin trafficking ring in the 1990s. The senator argues that prosecutors want his dead brother instead.

    A dozen people long ago pleaded guilty in the case, including Piper Kerman, whose memoir was adapted for a Netflix hit show , “Orange is the New Black.”

    Kashamu, in a statement last night, said no fresh extradition proceedings could be brought against him.

    His statement reads: “It is most unfortunate that some mischievous elements are seeking to twist a suit I filed in the United States of America to stop my abduction and forcible transportation to face trial for a case two British courts had adjudicated upon and found that it was a case of mistaken identity.

    “I asked my lawyers in the U.S. to file the suit when I got wind of an evil plot to abduct me in 2015 which later happened between the 23rd and 28th of May, 2015, until there was a judicial intervention which ordered the U.S. officials and their local collaborators out of my Lagos residence.

    “It should be noted that there is no extradition proceedings against me anywhere in the world. The last one they purportedly brought after the siege to my residence was dismissed by the Federal High Court, Abuja, on the 1st of July, 2015.

    “So, the wicked interpretation that the latest ruling which was based on a suit I instituted against my abduction has set the tone for my extradition is totally unfounded, vexatious and malicious.

    “Besides, I had faced two extradition proceedings in the United Kingdom at the instance of the United States and the British court found that it was a case of mistaken identity after four rigorous years of trial.

    “The same U.S. Court of Appeals said, ‘Several months after the indictment came down, Kashamu showed up in England and was arrested at our government’s request. Justice Department lawyers, working with their English counterparts, sought his extradition to the United States to stand trial. There were two extradition proceedings, both unsuccessful, ending finally in January, 2003 when the Presiding Judge refused to order him extradited. He had been detained throughout the extradition proceedings. As soon as the judge ruled, Kashamu left England for Nigeria, where he remains.’

    “Realistically, no fresh extradition proceedings can be brought against me. Twice, I won the extradition proceedings against me in London where I was tried at the instance of the U.S. government and the one they brought here has been dismissed by the court, hence the case is dead. Any other purported extradition proceedings or abduction is illegal. I am not afraid of anything because I know my rights under the law.”

  • U.S court delays ruling on suit against MTN

    U.S court delays ruling on suit against MTN

    A United States court has delayed ruling on a $4.2 billion suit by Turkish mobile operator Turkcell against South African rival MTN Group, pending a Supreme Court decision on a separate case, the two companies said.

    Reuters says Turkey’s largest cell phone operator sued MTN in a U.S. federal court in March, alleging the Johannesburg-based company used bribery and attempted trafficking of political influence to win a mobile licence in Iran that was first awarded to Turkcell.

    MTN has asked for the case to be dismissed, saying the suit has no legal merit and a U.S. court does not have jurisdiction over the case.

    The court has put the suit on hold, the two companies said in separate statements late on Friday, to await a Supreme Court decision on a different case using the Alien Tort Statute – the human rights law on which Turkcell’s suit is based.

    This month the U.S. Supreme Court heard oral arguments in Kiobel vs Royal Dutch Shell, a high-profile case where 12 Nigerians accuse the Anglo-Dutch oil company of complicity in human rights abuses in the country.

    The Supreme Court will decide in the Kiobel case whether the Alien Tort Statute – an 18th century law that has usually been reserved for human rights abuses – can be used to sue foreign corporations in U.S. courts.

    Whether or not the Turkcell can proceed in its U.S. lawsuit is likely to be dependent on the ruling in the Kiobel case, legal experts have said.