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Tag: EFCC

  • Fayose diverted N680m bailout funds to a fixed deposit account – EFCC

    The Economic and Financial Crimes Commission, EFCC, has accused Governor Ayodele Fayose of Ekiti State of diverting the N680 million bailout funds meant for the payment of salaries and pension of civil servants in the state.

    The amount has been traced to a fixed account which the EFCC claims yields N6 million monthly.

    The discoveries informed the arrest of the state’s commissioner of finance and the accountant general by the commission.

    Both officials, who were released on Wednesday, have made commitment to “assist the commission with relevant documents before they were granted administrative bail and ordered to report back in two weeks.”

    According to a top source in the commission, many facts came to light in the course of investigating alleged misapplication of the bailout funds by the Fayose administration.

    One of such disclosures is the N1.7billion contract awarded to a Lebanese Company. The company moved part of the money to allegedly purchase properties for the governor.

    The source added: “Investigators stumbled on evidence of diversion of funds meant for payment of state and local government employees in Ekiti State including pensioners.

    “Specifically, over N600million was diverted on 25 January 2016. The funds comprising N200million from the Ekiti State Local Government Salary Account, N300million from the Ekiti State Pension Account and N180million from the Ekiti State FAAC Account were first credited into the Consolidated Revenue Account in Zenith Bank on 25 January 2016 and later transferred the same day into an account called 2015 MDG-CGS state project account domiciled in Zenith Bank.

    “The analysis of the bank statement revealed that the money was later placed in a fixed deposit where it was yielding monthly interest of about N6million, at a time pensioners and workers in Ekiti State are owed months of unpaid entitlements.”

    The source said that EFCC investigators are poring over documents to uncover the beneficiaries of the monthly interest on the fixed deposit.

    Apart from the bailout funds, the EFCC had recently also uncovered alleged diversion of over N59.6million meant for projects under the Millennium Development Goals (MDGs) in Ekiti State by one Abiodun Agbele, who is an associate of the state governor, Mr. Ayodele Fayose.

    According to EFCC investigators, the MDGs’ funds were transferred from an account in the First Bank of Nigeria(titled MDGs-CGS Local Govt) to BYKD Consult Limited which is purportedly owned by Agbele.

    Documents indicated that the funds were transferred in four tranches as follows: February 18, 2015(N18, 159, 050; N15, 319,850; N11, 218, 500; and March 30, 2015—N15, 704, 325.

    Upon the receipt of the funds through his account 0059177132 in Diamond Bank, Bodija, Agbele allegedly diverted these for the payment of choice vehicles from Affordable Motors.

    Agbele, who is presently on trial was said to have been used as a front to launder N1.299billion for Fayose through his company called De-Privateer.

    But as the EFCC operatives were probing more clues on slush funds and payment of kickback by contractors in the state, they uncovered alleged diversion of MDGs’ funds.

    The Presidency had released N713.7billion as Special intervention funds to states.

    The bailout was part of a three-pronged relief package to end the workers plight in most of the 36 states.

    While N413.7billion represented special intervention funds, the balance of about N250billion to N300billion was a soft loan to states.

    Also, following protest by states against over deductions for external debt service between 1995 and 2002, President Muhammadu Buhari had approved the release of N522.74 billion (first tranche) to states as refunds pending reconciliation of records.

    Each state was entitled to a cap of N14.5 billion being 25% of the amounts claimed.

    The second tranche of N243, 795,465,195.20 was also disbursed to states in July.

     

  • We’ve recovered over N30bn looted funds through whistle blowing policy – EFCC

    We’ve recovered over N30bn looted funds through whistle blowing policy – EFCC

    The Economic and Financial Crimes Commission, EFCC on Thursday confirmed recovering over N30 billion through the whistle-blowing policy of the Federal Government.

    This was revealed by the Acting Chairman of the Commission, Ibrahim Magu at the launch of the whistle-blower support project in Abuja.

    In his words: “Since the commencement of the whistle-blower policy, we have received hundreds of actionable tips that led to the following cash recoveries: N527, 643,500; $53,222,747; GBP 21,222,890 and Euro 547,730.

    “Tagged ‘Corruption Anonymous’ (CORA), the project is being organised by the African Centre for Media and Information Literacy, AFRICMIL, in partnership with the MacArthur Foundation.

    In a speech at the event, Mr. Magu said the EFCC has created an environment for those with information to approach the Commission, confident that the information they give would be put into effective use.

    TheNewsGuru.com reports that Magu had earlier stated that the tip-offs passed to anti-graft detectives by whistle blowers were leading nowhere.

    The EFCC chief, however, explained his stance at the event.

    “I am glad to report that Nigerians have so far been very responsive. We have always treated every tip referred to us with strict sense of responsibility bearing in mind that such undertaking on the part of the whistle-blower is usually a matter of trust and even risk.

    “At the same time, we have been careful not to be used by mischief makers who would want to abuse this process.

    “Let me reiterate that just as there is consequence for corruption, there will be consequence for those who want to take advantage of this noble initiative in the fight against corruption to create mischief. We have responded to this possibility by developing a water-tight mechanism of both reporting and cross-checking information.”

    He commended the initiators of the project, adding that “through this window, we have seen many Nigerians whose motivation was not just to benefit from the recoveries, as promised by the federal government, but the satisfaction of having to see that what was ill-gotten has been recovered for the good of all.

    “Those in this category were motivated by their sense of justice and overriding national interest, not the financial reward. We urge more Nigerians to borrow a leaf from these patriotic individuals.

    “President Muhammadu Buhari during his October 1 national broadcast highlighted the Whistle-Blower Policy as one of the administration’s new institutional reforms to eradicate corruption in Nigeria,” Mr. Magu said.

    In his speech, Chido Onumah, Co-ordinator of AFRICMIL, said the anti-graft war has recorded a huge success through the whistle blowing policy.

    Mr. Onumah said going by figures from the Presidential advisory Committee Against Corruption, PACAC, 2,150 tips had been received by the Ministry of Finance.

    Despite the success recorded, Mr. Onumah said the policy still lacks proper awareness among Nigerians.

    “Take a walk around town and ask Nigerians, chances are that nine out of ten would not have heard about the policy much less have any idea of how to submit tips.

    “The second thing is the glaring absence of commitment to the safety and protection of whistle blowers. Most of those who are reported are often left to walk free and never invited for questioning, much less suspended from office as the public service rules recommended.”

    While urging Nigerians to key into the whistle blowing policy, he said the CORA project is geared towards creating awareness and ensuring maximum protection for whistle blowers.

    TheNewsGuru.com reports that President Buhari announced the policy in December 2016. It encourages citizens to inform law enforcement authorities about suspicious activities of public treasury looters.

    The Federal Government also earmarked a maximum five per cent of the recovered sum as reward for the whistle blower as part of the policy. In June, government announced payouts of N375.8 million to 20 whistle blowers.

  • Senate summons Magu, seven bank MDs over freezing of Patience Jonathan’s account

    The Senate Committee on Ethics, Privileges and Public Petitions on Monday summoned acting Chairman of Economic and Financial Crimes Commission, EFCC, Ibrahim Magu and the Managing Directors of seven banks over the freezing of the accounts of former First Lady, Dame Patience Jonathan.

    The Senate is inviting seven banks Managing Directors at a time when the case is also being considered in the House of Representatives by the same committee.

    Those banks summoned by the Senate panel are Zenith Bank, First Bank, Ecobank, Fidelity Bank, Stanbic-IBTC, Diamond Bank and Skye Banks.

    The committee, headed by Senator Sam Anyanwu, issued the summons at the hearing of a petition by the former First Lady.

    According to the petition submitted for consideration on behalf of Jonathan by Granville Abibo (SAN), the former first lady complained that both the Economic and Financial Crimes Commission and the National Drug Law Enforcement Agency have at different times “unleashed terror, dehumanizing, degrading and despicable treatment” on herself and her blood relations without justification.

    The accounts in question in which the former first lady’s funds are trapped include that of companies Pluto Property and Investment Company Limited, Seagate Property Development Investment Company and Transocean Property and Investment Limited.

    Also, the account of her NON-Governmental Organisation, The Women for Change Development Initiative, and A. Aruera Foundation as well as Finchley Top Homes Limited and the former Fist Lady’s salary account were frozen, the Senators were told.

    “The accounts of her siblings, Innocent Nyegerefaka, Mohammed Oba and Esther Oba have all been frozen by EFCC without an court order, all because they are blood relations of Dame Patience Jonathan,” the petition further reads.
    Anyanwu, who issued the summons, insisted that the Managing Directors must appear in person as no representative would be accepted.

    But the Acting Chairman of the EFCC, Ibrahim Magu, was absent from the hearing.
    In a letter sent to the committee, the agency said Magu was out of the country and would be returning on Tuesday (today).

    The committee therefore set Wednesday for Magu’s appearance.

    This was even as Patience Jonathan’s counsel informed the committee that they have resolved their differences with the NDLEA and hence would like to strike its name off the petition before the Senate.

    But the counsel to Patience Jonathan, Charles Ogboli, while speaking before the committee said the former first lady’s accounts and that of her relatives were frozen without any court order by the EFCC, adding that this culminated in the death of Lazarus Eware, a brother to Mrs. Jonathan.

    Ogboli said: “The immediate elder brother to Patience Jonathan, Mr. Lazarus Eware, died as a result of unfortunate maltreatment of him by Economic and Financial Crimes Commission as he could no longer cope in the face of this repeated humiliation terror attack and financial handicap.

    “He could no longer meet up with the responsibilities of his family, including children’s school fees and medical bills.

    “As we speak, his lifeless is still lying in a mortuary yet to be buried.

    “The only offence said to have been committed by him is that he is the elder brother to Dame Patience Jonathan.”

  • EFCC operatives forced me to admit taking N30m from Diezani – INEC official

    An ex-Administrative Secretary with the Independent National Electoral Commission, INEC, Mr. Christian Nwosu, on Thursday alleged that operatives of the Economic and Financial Crimes Commission, EFCC forced him to admit receiving a N30m bribe from the former embattled Minister of Petroleum, Mrs. Diezani Allinson-Maduekwe to compromise results of the 2015 general elections.

    Nwosu, who is being prosecuted before the Federal High Court in Lagos for the alleged bribery, claimed that the three confessional statements he made to the Commission on December 28, 2016 and March 15 and 22, 2017 were not done voluntarily.

    He claimed to have been threatened and cajoled to make the confessional statements, adding that he was not given the opportunity to consult his lawyer before he made the statements.

    He, however, admitted that he signed for and collected N30m from Fidelity Bank.

    Nwosu stated this on Thursday while being led in evidence by his lawyer, Mr. Victor Opara, during a trial-within-trial ordered by Justice Mohammed Idris to test the voluntariness of three confessional statements he made to the EFCC.

    The EFCC accused him of conspiring with two other INEC officials to take a total bribe of N264.88m from Diezani to compromise the election.

    He had earlier pleaded guilty to the charges and opted for a plea bargain, after which the EFCC told the court that it had already recovered N5m cash and a landed property worth N25m from him.

    But Nwosu later abandoned the plea bargain after Justice Idris rejected the N500,000 fine proposed for him as punishment by the EFCC.

    Justice Idris had held that by virtue of Section 16(2)(b) of the Money Laundering (Prohibition) Act, under which Nwosu was charged, he was supposed to pay a fine of N10m or go to jail for two years.

    At his resumed trial on Thursday, he maintained that he never voluntarily entered into a plea bargain with the EFCC but was cajoled to do so.

     

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  • Patience Jonathan: ‘You are not above the law’, Reps tell Magu, threaten arrest

    The House of Representatives on Wednesday threatened to issue arrest warrant against the acting Chairman of the Economic and Financial Crimes Commission (EFCC), Ibrahim Magu, for shunning the invitation to address its committee on a petition filed by former First Lady, Patience Jonathan.

    The Uzoma Nkem-Abonta led House Committee on Public Petition said warrant of arrest would be issued to compel Magu’s appearance on November 7.

    TheNewsGuru.com reports that the ex-first lady had petitioned the House over harassment and restriction on her bank accounts and that of her relatives by the Economic and Financial Crimes Commission (EFCC).

    However, following Magu’s failure to appear at the continued hearing on Wednesday, the Committee said his disregard of the invitation was disrespectful to the parliament.

    “There is a need to say that people should work within the confines of the law because nobody is above the law

    “EFCC has consistently absented itself from this hearing. If it were here, perhaps we would have dispensed with this investigation.

    “What the EFCC is doing is not only unfair but disrespectful to the parliament,” Nkem-Abonta said.

    In addition, the Committee ordered five out of six banks where Jonathan and her relations have accounts to furnish her lawyers with details and relevant document on the restriction from the anti-graft agency and the courts.

    Earlier Jonathan’s representative had complained that only two banks complied with the Committee’s directive on lifting of the restriction.

    According to her counsel, Charles Ogboli, the former first lady was unable to access her accounts despite the Committee’s directive and the vacationing of the restriction order by the Appeal Court.

  • N30trn revenue scam: Senate notifies EFCC, to hand erring firms over

    The Senate Wednesday said that arrangements have been made to hand over companies found culpable in its investigation of alleged N30 trillion revenue scam in the import and export value chain to Economic and Financial Crimes Commission, EFCC for prosecution.

    Chairman of the Senate Joint Committee on Customs, Excise and Tariff and Marine Transport, Senator Hope Uzodinma, stated this in Abuja while briefing reporters on the activities of his committee.

    Uzodinma noted that companies to be handed over to the EFCC were “those discovered to have manipulated the foreign exchange procedure and others involved in money laundering, round tripping and abuse of foreign exchange manual.”

    He said the committee would pass all established evidence against the companies to the EFCC for immediate prosecution.

    Uzodinma said that companies with established cases of infractions of import, export value chain would be referred to the Nigeria Customs Service for blacklisting.

    He said, “We have also established another department for investigation, which is abuse of fiscal policies in the Federal Ministry of Finance.

    “Most of these companies that have applied and received approval as manufacturers of different products, assemblers of various products but import finished goods in the name of CKD will be charged for an economic crime.

    “We are going to follow up the prosecution with all shreds of evidence available to us.

    “As we are about concluding our investigation on the 60 selected companies being currently investigated, it is very clear that so many collectible revenues are still hanging.

    “These are monies that government would have used to ease governance and provide necessary infrastructure and amenities to the citizenry.

    “So, this committee will not sit back and allow the economy to crumble. This is just 60 selected companies. We are visiting over 1000 companies.’’

    Uzodinma noted that the 60 companies in its first phase of the investigation, the committee had been able to interact with 50 while 10 of the companies refused to appear.

    He insisted that the committee would ensure that the companies were fished out by the relevant security agencies to face justice.

    On the funds recovered so far, he said a significant amount of money had been returned by some companies.

    He said “Many of those companies have paid partially. I know that with the evidences we have against them we are confident that these companies are now aware that we caught them.

    “We cannot let go of what belongs to the government.”

    He added that the committee took time to carry out the preliminary investigation because it needed to establish the necessary benchmark.

    He said, “Now that we have all that and the modus operandi has been established we will put it on autopilot and it will be faster.’’

  • Former Nigeria Air Force chief, Amosu diverted N21bn, bought properties in UK – EFCC

    The Economic and Financial Crimes Commission, EFCC said it uncovered two properties belonging to former Chief of Air Staff, Air Vice Marshall Adesola Amosu (retd.), which he allegedly acquired in the United Kingdom, UK with funds that he allegedly diverted from the coffers of the Nigerian Air Force.

    The anti-graft agency told the Federal High Court in Lagos on yesterday that investigation by its operatives revealed that Amosu purchased the foreign properties with the help of a Bureau De Change company, Right Option Oil and Gas.

    The former NAF helmsman, according to the EFCC, removed over N600m from NAF’s operations account and sent it to Right Option Oil and Gas, which in turn converted it to $3m to purchase two properties for Amosu in the UK.

    The EFCC claimed that this was apart from the N2.1bn, which Amosu allegedly stole from NAF and used to purchase diagnostic equipment for a hospital, Solomon Health Care Ltd., personally owned by him.

    An operative of the EFCC, Tosin Owobo, stated this at the resumed trial of Amosu and 10 others for an alleged fraud of N22.8bn perpetrated within NAF between March 2014 and April 2015.

    The defendants are being tried before Justice Mohammed Idris, where they were arraigned on June 29, 2016 on 26 charges bordering on theft and money laundering.

    Those standing trial alongside Amosu are a former Chief of Accounts and Budgeting at the Nigerian Air Force, Air Vice Marshal Jacob Adigun; and a former Director of Finance and Budget, Air Commodore Olugbenga Gbadebo.

    The EFCC alleged that the defendants diverted N22.8bn, belonging to the NAF, using a number of companies.

    The said companies were also joined as defendants in the charge.

    They are Delfina Oil and Gas Ltd., McAllan Oil And Gas Ltd., Hebron Housing and Properties Company Ltd., Trapezites BDC, Fonds and Pricey Ltd., Deegee Oil and Gas Ltd., Timsegg Investment Ltd., and Solomon Health Care Ltd.

    While being led in evidence by the prosecuting counsel for the EFCC, Mr. Rotimi Oyedepo, Owobo, who was the second prosecution witness, narrated to Justice Idris how the trio of Amosu, Adigun and Gbadebo, allegedly moved funds from NAF’s operations accounts for their personal use.

    Owobo said investigation by his team revealed that N5.9bn was transferred from NAF accounts to a BDC company, Delfina Oil and Gas, which was owned by Adigun.

    He said N6.1bn and N3.6bn were traced to Mcallan Oil and Gas Trapezites BDC respectively, whose accounts were managed by Adigun.

    He said N800m was traced to each of Deegee Oil and Gas and Timsegg, stressing that the companies neither had any Memorandum of Understanding nor rendered any services to NAF to warrant the transfer of the funds to them from NAF’s operations accounts.

    He added, “These companies were not into oil and gas. N21bn was moved from various NAF accounts without appropriation.”

    Owobo, however, said the EFCC had recovered some of the properties which the defendants allegedly purchased fraudulently while some funds were also recovered.

    He said, “Members of our team visited properties in Nigeria upon which markings were placed and most of the properties have officers of the EFCC stationed there. They were handed over to the Asset Management Department of the EFCC.

    “The properties have been attached by the legal department of the EFCC which obtained interim forfeiture orders of those properties,” the witness said.

    Owobo told Justice Idris that Amosu had returned up to N2bn to the Federal Government.

    Further proceedings in the case were adjourned till Thursday, October 5.

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  • Arrest of top government officials by EFCC is executive lawlessness – Ekiti Govt

    The Ekiti State Government has said the arrest of its Commissioner for Finance, Mr. Toyin Ojo and Accountant General, Yemisi Owolabi by operatives of the Economic and Financial Crimes Commission (EFCC) is unconstitutional and a show of executive lawlessness.

    TheNewsGuru.com reports that the two state officials were arrested last Thursday for alleged misappropriation of state resources.

    Addressing reporters on Monday in Abuja, the Attorney General and Commissioner of Justice in the state, Mr. Kolapo Kolade said the action of the EFCC breached a subsisting order issued against the commission by a Federal High Court in 2016.

    According to him, the court barred the commission from arresting, detaining or investigating any state official or officials – whether past or present – without any report of indictment by the House of Assembly.

    Kolade said the government had approached the court to challenge the serial arrests of its officials by the EFCC on issues outside the purview of the anti-graft agency.

    The commissioner said the court order was duly served on EFCC on November 27, 2016, adding that it had not been vacated by the court or any other superior court.

    He said: “Following the Interim Order, the EFCC wrote a petition to the chief judge of the Federal High Court for the transfer of the case to another Federal High Court judge. The case was subsequently transferred to the Akure Judicial Division of the Federal High Court.

    “The Akure Judicial Division of the Federal High Court sat over the case on January 24 and restated the earlier order by the Ado Ekiti Judicial Division of the Federal High Court.

    “The case was adjourned till February 15 for hearing. But the judge referred the matter back to the Chief Judge of the Federal High Court to have a second look at transferring the case to the Akure Judicial Division of the Federal High Court.

    “The order of the Federal High Court has not been vacated till date. In other words, the issue of the arrest and or detention of the Ekiti State government officials is still subjudice.

    “The EFCC is not above the law and the agency is bound to obey lawful orders made by courts, as in this case.

    “The actions of the EFCC are, to say the least, unlawful and show executive lawlessness.”