TheNewsGuru

Tag: fraud

  • Alleged N5bn fraud: Stella Oduah to be arraigned Oct. 12

    Alleged N5bn fraud: Stella Oduah to be arraigned Oct. 12

    A Federal High Court, Abuja, on Tuesday has fixed Oct. 12 for the arraignment of former Aviation Minster, Stella Oduah and others by the Economic and Financial Crimes Commission (EFCC).

    Justice Inyang Ekwo fixed the date following a letter from the office of the Attorney-General of the Federation (AGF) in response to a petition. written by counsel to the 8th defendant in the suit, Ogbu James, SAN.

    Thenewsguru.com reports that Onoja had, on Nov. 22, 2021, raised objection to the defendants taking their plea, informing that a petition had already been written to the AGF, complaining that the defendants were just been persecuted as against prosecution.

    The development prompted the court to adjourn to await a response from the AGF.

    Justice Ekwo also, on Feb. 10, fixed today for report on the petition written to the AGF after the case was stalled.

    Upon resumption of the matter, counsel to the EFCC, Hassan Liman, SAN, informed that the AGF had responded to the petition and given a nod for the matter to proceed.

    “The charge was filed on Dec. 16, 2020. Since then, the plea of the defendants has not been taken,” he said.

    Liman reminded that Onoja in one of the sittings drew the attention of the court to a petition he wrote to the AGF.

    He said on Feb. 10 when the matter came up, he undertook to produce a letter from the AGF in response to the petition.

    “I confirm that the AGF has acknowledged the receipt of their letter and he has asked the court to proceed on the trial.

    “In view of the response by the AGF, may I apply for a plea of the defendants to be taken,” he said.

    But counsel to all the defendants, including Onoja, said they were unaware of the AGF’s response.

    The judge, who said he was also yet to see the letter, then directed Liman to avail the defence and the court with copies of the AGF letter.

    After copies of the letter were given to all, Justice Ekwo said he was unsatisfied with Paragraph 2 of the AGF letter.

    “I am not satisfied with the second paragraph of the letter,” he said.

    Ekwo, who said he would adjourn the matter so that the prosecution could resolve the issue completely with the AGF, said this would help the court to know whether the trial could go on or be stopped.

    He then fixes Oct. 12 and Oct. 13 for the trial.

    Newsmen reports that Paragraph two of the letter dated May 6 and addressed to the EFCC chairman reads: “I am further directed to inform you that the Honourable Attorney General of the Federation is reviewing the case file and a decision will be communicated in due course.

    “Meanwhile, you are to proceed with the prosecution of the case in court pending the decision of the Honourable Attorney General of the Federation.”

    Oduah, who currently represents Anambra North Senatorial District at the National Assembly, was expected to be arraigned by the EFCC on alleged N5 billion fraud and financial misappropriation

    other defendants in the charge, marked: FHC/ABJ/CR/316/2020, are Gloria Odita, Nwosu Emmanuel Nnamdi and Chukwuma Irene Chinyere.

    They also include Global Offshore and Marine Ltd, Tip Top Global Resources Ltd, Crystal Television Ltd, Sobora International Ltd and China Civil Engineering Construction Corporation (CCECC) Nigeria Ltd.

    They are being charged with conspiracy, money laundering and maintaining anonymous bank accounts with a commercial bank.

    They will be arraigned on 25-count charge.

  • N33m: EFCC arrests 30-year-old man for allegedly defrauding Emir in Kwara

    N33m: EFCC arrests 30-year-old man for allegedly defrauding Emir in Kwara

    The Economic and Financial Crimes Commission (EFCC), Ilorin Zonal Command, has arrested a 30-year-old man who allegedly defrauded the Emir of Okuta in Kwara of N33, 399, 999.

    Alhaji Idris Abubakar, the Emir of Okuta in Baruten Local Government Area of Kwara, was a former member of the House of Representatives

    A statement signed by the Spokesman of EFCC, Wilson Uwujaren, made available to journalists on Monday in Ilorin, said that that the suspect, a native of Stwue in Konshisha LGA of Benue conspired with others at large to defraud the Emir.

    Uwujaren said that the suspect deceived the traditional ruler into believing that he had a container of goods meant to be used for the development of the community.

    He said that the container needed to be cleared at Nnamdi Azikwe International Airport in Abuja.

    “In a petition dated November 30, 2021, the Emir alleged that a group of fraudsters, who operate as syndicate called him on phone sometime in 2020 that they had a container to clear in Abuja.

    “The caller requested for the said amount of money to clear his container at the airport.

    “He provided different accounts for the Emir to pay the money into, one of which included that of Fidelis Poor,” he said.

    Uwujaren said that the people later called the Emir and directed him to call one Evangelist Rose Marry Oni (JP) for handing over of the container.

    He said that all efforts made by the Emir to collect the goods or get his money back had proved futile.

    “The Commission upon the receipt of the petition commenced discrete investigation into the matter, which led to the suspect’s arrest,” he said.

    Uwujaren said that the suspect would be arraigned at the conclusion of investigations, adding that other members of the syndicate would soon be arrested.

  • ROMANCE SCAM: American Celvin Freeman convicted of laundering millions of dollars from elderly victims with Ghanaian syndicate

    ROMANCE SCAM: American Celvin Freeman convicted of laundering millions of dollars from elderly victims with Ghanaian syndicate

    A New Jersey man, Freeman Cevin, (a.k.a Celvin Freeman) has been convicted by a U.S. District Judge, Jed S. Rakoff, of fraud and laundering millions of dollars from elderly victims, through a criminal based enterprise in Ghana.

     

    Disclosing this, Damian Williams, the United States Attorney for the Southern District of New York, said: “Freeman Cevin, (a.k.a Celvin Freeman) was convicted today of all seven criminal counts he was charged with for his participation in a fraud and money laundering conspiracy based in the Republic of Ghana (“Ghana”) involving the theft of millions of dollars.”

     

    Celvin was convicted after a trial that lasted approximately one week.

     

    He was arrested on February 17, 2021 and has been detained since his arrest.

     

    “As today’s jury verdict reflects, Freeman Celvin used an auto business in New Jersey as a front to launder millions of dollars in fraud proceeds to online scam artists in Ghana.

     

    “The online scams perpetrated by Celvin’s partners in Ghana were lucrative and callous, as they targeted vulnerable, elderly men and women and tricked them into transferring their life savings to the defendant, who then took his laundering fee and sent the money abroad.

     

    “Together with our law enforcement partners, we will continue to zealously prosecute online scammers abroad and the U.S.-based money launderers they work in order to protect American victims from these scams.”

     

    As reflected in the Indictment, public filings, and the evidence presented at trial: ” From in or about 2014 through in or about February 2021, a criminal enterprise (the “Enterprise”) based in Ghana committed a series of business email compromises and romance scams against individuals and businesses located across the United States, including in the Southern District of New York. First, the objective of the Enterprise’s business email compromise fraud scheme was to trick and deceive businesses into wiring funds into accounts controlled by the Enterprise through the use of email accounts that “spoofed” or impersonated employees of a victim company or third parties engaged in business with a victim company. Second, the Enterprise conducted the romance scams by using electronic messages sent via email, text messaging, or online dating websites that deluded victims, many of whom were vulnerable older men and women who lived alone, into believing the victim was in a romantic relationship with a fake identity assumed by members of the Enterprise.

     

    “Once members of the Enterprise had gained the trust of the victims using the fake identity, they used false pretenses to cause the victims to wire money to bank accounts the victims believed were controlled by their romantic interests, when in fact the bank accounts were controlled by members of the Enterprise like CELVIN.

     

    “Celvin, received fraud proceeds from victims of the Enterprise in personal bank accounts as well as business bank accounts for his company Freeman Autos LLC, a company purportedly involved in, among other things, automobile sales. The defendant also received fraud proceeds from other U.S.-based members of the Enterprise either by wire transfer or cash deliveries. Once CELVIN received fraud proceeds, he took out a percentage fee and then withdrew, transported, and laundered those fraud proceeds to other members of the Enterprise abroad in Ghana. The defendant primarily laundered the fraud proceeds by using the proceeds to purchase automobiles and other goods and shipping those products to Ghana and elsewhere.

     

    “The defendant’s transactions had the appearance of legitimate business transactions when, in fact, the products had been purchased using the proceeds of fraud schemes. This trade-based money laundering scheme was designed to obscure the origin of the fraud proceeds as well as the identity of the ultimate beneficiaries of these schemes.

    “From in or about 2016 through in or about 2021, CELVIN controlled more than eight bank accounts that had deposits that totaled over approximately $5.7 million during that time period. A vast majority of the deposits consisted of large wire transfers and check or cash deposits from U.S.-based individuals and entities that were victims of fraud schemes of the Enterprise.

     

    “Celvin, 48, of East Orange, New Jersey, was convicted by a jury of one count of conspiracy to commit wire fraud, one count of wire fraud, and one count of conspiracy to commit money laundering, which each carry a maximum sentence of 20 years in prison; one count of receipt of stolen money, which carries a maximum sentence of 10 years in prison; one count of conspiracy to receive stolen money, one count of conspiracy to operate an unlicensed money transmitting business, and one count of operating an unlicensed money transmitting business, each of which carries a maximum sentence of five years in prison.

     

    “CELVIN is scheduled to be sentenced before Judge Rakoff on July 20, 2022 at 4:00 p.m.

     

    “The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.”

     

    Mr. Williams praised the outstanding investigative work of the FBI.

     

    The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Sagar K. Ravi, Katherine C. Reilly, and Mitzi Steiner are in charge of the prosecution.

  • How PAYCOM Nigeria Limited removed money from journalist’s Access Bank account after declined transaction

    How PAYCOM Nigeria Limited removed money from journalist’s Access Bank account after declined transaction

    In recent times, financial service providers and customers alike have been faced with the persistent problem of e-banking fraud.

     

    This was as a Nigerian journalist, Bartholomew Madukwe, called on the Central Bank of Nigeria (CBN) to sanction financial service providers who fail to add value to money debited from people’s accounts.

     

    As technology has evolved, society has become more sophisticated, and fraudsters have gained more dexterity in the act of swindling people of their hard-earned money.

     

    Madukwe explained that on April 1, 2022, he went to a POS at Ilogbo area of Oko-Afo, Lagos State, for withdrawal of N30,400 (N400 as service charge). Unfortunately, the transaction was declined and the operator with GSM 07013789853 returned only his Access Bank ATM card, saying the transaction was declined.

    POS DECLINED MESSAGE

    From skimming to phishing and card swapping, fraudsters have acquired many tactics to cleverly divest unsuspecting customers of their funds.

     

    Madukwe explained that he received an alert indicating that the said N30,400 has been debited from his Access bank account.

     

    “I approached the POS Operator for the N30,400 and he declined, saying the transaction failed.

     

    Below is a copy of the debit alert:

    Access Bank N30,400 debit alert

     

    “On 5th April, 2022 (4 days later), having not seen a reverse of the N30,400 that was withdrawn from my Access bank account while POS transaction was declined, I went to the nearest Access bank branch at Agbara (near PHCN office at Bank road) to officially register my complaint. I was given a complaint form to fill and return, which I did.

     

    “At 4:35PM, I received a message from Access bank saying, “Dear NWABUISI MADUKWE, your complaint has been received. An update will be sent to you on 4/12/2022 3:30:00 PM. Case number: CAS-11379471-L5Y2H1”.

    Complaint at Access Bank

    The journalist asserted that on the 14th April, 2022, he went back to Access Bank at Agbara and after over three hours of waiting in the bank, the Customer Care attendant said the financial service providers (PAYCOM NIGERIA LIMITED) could not log in to ascertain his claim.

     

    According to him, the Relationship Manager, Victor Nwachukwu, pleaded with him to be more patient since the N30,400 is not in the bank’s possession.

     

    Speaking with Nwachukwu on the development, he pointed out that financial service providers, such as POS have always been causing such issues between account owners and banks.

     

    “If it were a transaction that was done in the bank or through a bank’s ATM, that would have been resolved in no waste of time. But now, we have to wait for the PAYCOM NIGERIA LIMITED to return the money and we will now reverse it to the account it was debited from.

     

    “I know that it will be reversed but I do not know when. Such issues are best dealt with if it were from one bank to another bank, but certainly not POS providers.”

     

    As of the time of publication, Madukwe’s N30,400 was yet to be reversed and PAYCOM NIGERIA LIMITED, through its agent, has requested for another 72hours to enable them to verify his claim.

  • EFCC speaks on arresting Ebele Obiano

    EFCC speaks on arresting Ebele Obiano

    The Economic and Financial Crimes Commission, (EFCC(, has denied rumours making the rounds that it has arrested the immediate past First Lady of Anambra State, Eberechukwu Obiano.

    The rumour mill was awashed with speculations that she has been arrested and detained for allegedly involving in fraudulent activities.

    Reacting to the report, spokesman of EFCC, Wilson Uwajaren, dismissed such claims.

    “Eberechukwu not in EFCC’s custody,” he said.

    Recall that Obiano was arrested shortly after he handed over to his successor, Charles Soludo.

    The immediate past governor was arrested at the Murtala Muhammed International Airport, Lagos, about a month ago.

    Meanwhile, the former First Lady had signified her interest to run for the Anambra North Senatorial District, under the platform of the All Progressives Grand Alliance, APGA.

    Although Ebele Obiano was involved in a melodrama with Bianca Ojukwu at Charles Soludo’s inauguration as Anambra state governor, she has since tendered her apology and declared interest in running for a senatorial position in the state.

  • Just In: EFCC nabs ex-Gov Obiano’s wife over alleged fraud

    Just In: EFCC nabs ex-Gov Obiano’s wife over alleged fraud

    Former First Lady of Anambra State, Mrs Ebele Obiano was arrested by officials of the Economic and Financial Crimes Commission, EFCC on Thursday over alleged fraud.

    It was gathered that she was first invited by the officials of the Anti-graft agency before she was brought into its facility. The details of her arrest were still sketchy as at Thursday night.

    It was, however, gathered that she was being quizzed by operatives of the agency as at press time.

    Her arrest comes exactly four weeks after she was slapped by Bianca Ojukwu during the handover ceremony to Prof Charles Soludo on March 17, 2022.

    That same night her husband was apprehended at the departure lounge of the Murtala Mohammed International Airport while preparing to depart for the United States at the end of his stewardship as governor of Anambra State.

    Also recently she was seen in a party where she was sparing money.

  • FACTCHECK: Did Hushpuppi commit fresh $400,000 fraud from US prison?

    FACTCHECK: Did Hushpuppi commit fresh $400,000 fraud from US prison?

    Nigerian Abbas Ramon arrested for fraud by the FBI in 2020.

    The media was awash with news on Thursday that a popular Nigerian Instagram celebrity Abbas Ramon, also known as Hushpuppi, who is currently in US detention over fraud charges had laundered over $400k from prison.

    The circulated document had claimed that the Federal Bureau of Investigation through its agent Andrew John Innocenti, presented documents before the United States District Court of California on Wednesday with fresh evidence indicting Hushpuppi for fraud.

    It accused the celebrity of committing fraud and money laundering of Economic Impact Payment (EIP) debit cards fraudulently obtained from stolen data of US citizens and residents while in detention.

    The document further said that US prosecutors informed the court that inmates were allowed limited access to phone calls, video calls, the internet and computers without monitoring, adding that Hushpuppi also enjoyed this privilege like other inmates.

    HOW TRUE IS THIS CLAIM?

    There is no legal prohibition against restricting inmates’ telephone privileges and federal courts have held that inmates have a First Amendment right to some level of telephone access.

    The court of appeals for the ninth circuit held that pre-trial detainees and prisoners retain no statutory or constitutional right to privacy in their outgoing phone calls.

    Companies such as JPay and Securtech install and maintain phones and kiosks in prisons for the inmates to use, but these systems are monitored. According to law, the only one type of communication exempted from monitoring are those with an attorney (attorney client privilege).

    Although, the content of the document on Thursday claims to have “new information involving Abbas”, the U.S. Attorney’s Office in Los Angeles, which filed the initial fraud case against Abbas said it did not file any new charge.

    The Director of Media Relations, United States Attorney’s Office (Los Angles) Thom Mrozek, in an inquiry sent by PremiumTimes on Thursday, distanced both the attorney-general’s office and the Federal Bureau of Investigation (FBI) from the fresh allegations against the Instagram celebrity.

    In addition, an American cybercrime expert Gary Warner, said some scammers were behind the viral report which is a doctored version of a June 2020 affidavit, adding that the edited document was intended to get people to visit a scammer website.

    VERDICT

    The circulated document alleging fresh fraud case against Hushpuppi is fake and intended to draw traffic to a scammer EIP website.

  • JUST IN: Hushpuppi commits fresh fraud while in US prison

    JUST IN: Hushpuppi commits fresh fraud while in US prison

    Popular Instagram celebrity Hushpuppi has received fresh charges as US prosecutors submit court documents showing how he committed fraud and laundered over $400k from behind bars.

    US prosecutors presented documents before the United States District Court of California on Wednesday with fresh evidence indicting Hushpuppi of committing fraud and money laundering in US Federal correctional facility.

    The court documents stated that Hushpuppi, while in US Federal correctional facility, participated in the purchase and laundering of Economic Impact Payment (EIP) debit cards fraudulently obtained from stolen data of US citizens and residents.

    EIP are financial support offered by the US government to U.S residents according to the CARES Act. One of the ways eligible US residents receive their EIP is by debit cards. From the documents presented in court, it was found that hackers use data of US residents to file and obtain EIP debit cards. They sell off these EIP cards in underground marketplaces to other cyber criminals.

    In the court document, US prosecutors mentioned that inmates are allowed access to phone calls, video calls, the internet, and computers with limited usage but they are not monitored because inmates have right to their privacy. Hushpuppi also received this access like other inmates.

    However, between 28th Jan and 4th Mar 2022, security officers at the US Federal correctional facility, observed more usage of the internet by Hushpuppi. Knowing that Hushpuppi was arrested for internet related crimes, they obtained a warrant to record Hushpuppi activities. A dedicated system was setup for him and his activities were recorded for 7 days.

    It was found that Hushpuppi was actively buying EIP debit cards from an underground cyber criminal marketplace. While being recorded, Hushpuppi bought a total of 58 EIP debit cards with a total value of $429,800 on the site and laundered the money through one AJ.

    Source

  • Retract story linking Maj. Gen. Jafaru with asset forfeiture within 24hrs- Lawyer tells Daily Trust

    Retract story linking Maj. Gen. Jafaru with asset forfeiture within 24hrs- Lawyer tells Daily Trust

    A national daily (Daily Trust) has been given 24-hours to retract a story ‘accusing’ Major General Jafaru Mohammed of the Office of the National Security Adviser, ONSA, of perpetrating ‘fraud’ and corruption through acquisition of property to the tune of three (N3bn) billion naira.

     

    The ultimatum came from the lawyer to Major General, Dr. Onyechi Ikpeazu, a Senior Advocate of Nigeria, SAN.

    According to him, the tabloid in a story it published on 15 February 2022, damaged the reputation and good name of his client by wrong misquoting a judgement of a Federal High Court which absolved his client.

     

    In a letter to the Editor-in-Chief of the newspaper dated 3rd March 2022, Ikpeazu, described the story, which linked the forfeited property to Gen. Mohammed, as false and malicious.

     

    He warned that if the management of the media house fails to retract their story, they will be compelled to file a defamation suit in any appropriate court of law against the paper, and other identifiable cohorts.

     

    Part of the letter reads: “The content of the publication along with the pictorial representation conveys unfounded information that Late General Aminu Muade, Atlasfield Integrated Services Nigeria Limited, Marhaba Events Place, Aflac Plastics and Atlasfield Gas Plant Limited are proxies of our client, when in fact this allegation is not contained in the judgment or the Media Releases issued by Wilson Uwajere, the Public Relations Officer of the Economic and Financial Crimes Commission.

     

    “This false and malicious publication has caused serious damage to our client’s reputation and good name amongst his peers, family members, associates, and colleagues who revere and accord him great respect and hold him in very high esteem.

     

    “Your publication which is a faux pas is a bid to tarnish our client’s image by creating a cheap media sensation linking a serving Military General with corruption. It is consequent upon the foregoing that we make this clear and unequivocal demand thus;

     

    “That you are hereby given a 24-hours notice from the date of receipt of this letter to categorically retract your libelous statement made against our Client.

     

    “That the said retraction and a letter of apology be published in at least 5 print media circulated nationwide and 5 different renowned online media outfits across the globe including your own.”

     

    Justice Nkeonye Evelyn Maha of the Federal High Court had in her judgment noted that the EFCC in an ex-parte application alleged that one General Aminu Kano rtd and his proxies and associates acquired some assets and properties and that the properties are proceeds of unlawful activity.

     

    The Judge while absolving General Jafaru Mohammed said “I observed that the name of General Jafaru Mohammed was never mentioned in the originating ex-parte application and the respondent (EFCC) did not rebut this fact.”

     

    The judge further stated that ‘it is clear General Jafaru is not on trial here and the Court has not been asked to decide his guilt or innocence in this case.

  • How Fidelity Bank’s database was hacked with N870 million stolen in 3 days

    How Fidelity Bank’s database was hacked with N870 million stolen in 3 days

    Four staff of a commercial bank in Nigeria known as Fidelity Bank have compromised the database of the bank, stealing a total of N870 million in three (3) days.

    TheNewsGuru.com (TNG) reports a witness presented by the Economic and Financial Crimes Commission (EFCC) made this known in the prosecution of the four staff at the Special Offences Court sitting in Ikeja, Lagos on Wednesday.

    The four staff of Fidelity Bank Nigeria being prosecuted for the alleged N874m fraud before Justice Oluwatoyin Taiwo are Olusegun Babasola, Abisola Ahmed, Uchechukwu Uma and Jude Aphaeus, who are the defendants in the case.

    The defendants alongside one Omidiji Joseph are facing a two-count charge for their various roles in the hacking of the bank’s database and cloning of more than 22 ATM cards used to steal and divert to personal use about N874 million belonging to five corporate customers.

    TNG reports the five corporate customers are American International Insurance Company Limited (AIICO); Interswitch; OVH Energy Marketing Ltd.; Fidelity Bank Sinking Fund Account and FSL Securities Ltd.

    The fraud was allegedly perpetrated within three days, according to the second prosecution witness (PW2), Peter Ige, an Information System Auditor with Fidelity Bank.

    However, the defendants pleaded “not guilty” to the charges, prompting their full-blown trial.

    At Wednesday’s proceedings, Ige narrated how his Department had been called upon to investigate the “massive fraud”.

    Led in evidence by the prosecuting counsel, Nnaemeka Omewa, the witness identified the four staff of the bank in the dock and gave details of the findings of the internal investigation carried out by his team.

    “On 15 July, 2019, as a System Auditor, my team was called upon to look at an instant of ATM fraud reported to the Internal Audit and to investigate same,” Ige said.

    The witness further told the court that the team reviewed the systems, the affected accounts as well as those who must have carried out the activities on the accounts.

    He also told the court that “We observed that the accounts were linked to a set of ATM cards, with their daily withdrawal limits increased from N150,000 to about N150million.”

    He further told the court that the permitted frequency of withdrawal was also increased, adding that “This was very abnormal; and so, it aided the commission of the fraud.”

    The PW2 also stated that the investigation focused on the members of staff who had authorised privilege and login details to view the accounts of customers and also increase such frequency and limits on withdrawals.

    According to him, “Normally, there should be a request either from the customer or another department requesting the services.

    “In this case, from our investigation conducted, there was no evidence provided by the defendants to go into these accounts.”

    He told the court that after the investigation by his Department, an activity log was compiled, which formed part of the internal investigation.

    TNG reports the trial of the case continues today.