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Tag: fraud

  • N11.5bn fraud: Court adjourns ruling on Alao-Akala’s application

    An Oyo State High Court sitting in Ibadan on Monday adjourned ruling on an application for stay of proceedings filed by a former governor of the state, Chief Adebayo Alao-Akala, and two others in an N11.5 billion fraud suit.

    Alao-Akala, Sen. Hosea Agboola, a former Commissioner for Local Government and Chieftaincy Matters in the state, and Mr Femi Babalola, an Ibadan-based businessman, are being prosecuted by the Economic and Financial Crimes Commission (EFCC).

    Justice Muniru Owolabi adjourned ruling on the application till June 4 after listening to the arguments of both the prosecution and the defence counsel.

    Alao-Akala’s counsel, Mr Hakeem Afolabi (SAN), had informed the court that there was a pending appeal on the suit before the Supreme Court.

    Afolabi said that if the appeal at the Supreme Court succeeds, it would automatically terminate the proceedings at the lower court.

    He also said that going ahead with the matter at the lower court would be oppressive and constitute an abuse of court process.

    Afolabi urged the court to allow stay of proceedings pending the determination of the matter at the Supreme Court.

    Babalola’s counsel, Mr Richard Ogunwole (SAN), aligned with the submission of Afolabi and urged the court to grant the application.

    But EFCC counsel, Mr Benedict Ubi, argued that allowing the application would violate the constitution and Section 40 of the EFCC Act, 2004.

    Ubi urged the court to refuse the application and allow proceedings to go on.

    The defendants are facing an 11-count charge of conspiracy, awarding contract without budgetary provision, obtaining by false pretence, acquiring property with money derived from illegal act and concealing the ownership of such property among others.

  • EFCC arrests, parades four yahoo-yahoo boys

    The Economic and Financial Crimes Commission (EFCC) has arrested four suspected Internet fraudsters aka yahoo-yahoo boys and recovered exotic cars and charms from them.

    The Lagos Zonal Head of the Commission, Akanninyene Ezima, made this known today, saying the diabolic Internet fraudsters were arrested in the Lekki area of Lagos State on Saturday.

    “It is to checkmate the activities of these undisciplined elements who want to reap where they did not sow.

    “By this action, we are also sending a red alert to the so-called yahoo-yahoo boys that engaging in fraudulent deeds, does not pay,” the Zonal Head said while speaking on the Commission’s renewed clampdown on Internet fraudsters

    TheNewsGuru reports the arrested suspects are: Ale Daniel, Tunde Badmus, Adams Tunde Adedeji and Ajiboye Gbenga.

    Photos of Ale Daniel, Tunde Badmus, Adams Tunde Adedeji and Ajiboye Gbenga arrested by EFCC
    Photos of Ale Daniel, Tunde Badmus, Adams Tunde Adedeji and Ajiboye Gbenga arrested by EFCC

    The quartet were arrested following intelligence report received by the Commission about their activities, alleging that they were living flamboyantly without known sources of income.

    Ezima urged landlords, particularly in gated communities, to always carry out background checks on their tenants so as not to unwittingly run afoul of Section 3 (Three) of the Advance Fee Fraud and Other Fraud Related Offences Act 2006.

    “A person who, being the occupier or is concerned in the management of any premises, causes or knowingly permits the premises to be used for any purpose which constitutes an offence under this Act commits an offence and is liable on conviction to imprisonment for a term of not more than 15 years and not less than five years without the option of a fine,” the Section read.

    According to the RFCC, the suspects will soon be charged to court as soon as investigations are concluded.

     

  • Alleged N650m fraud: Judge orders ex-minister’s trial-within-trial

    A Federal High Court in Lagos on Monday ordered a trial-within-trial in the ongoing prosecution of a former Minister of the Federal Capital Territory ( FCT ), Jumoke Akinjide, and others charged with N650 million fraud.

    Justice Muslim Hassan gave the order for the trial following objections raised by the defence counsel, who had argued that statements purportedly made by the accused were obtained under duress, threat and inducement.

    Akinjide is being prosecuted by the Economic and Financial Crimes Commission ( EFCC ) along with a former Minister of Petroleum Resources, Diezani Alison-Madueke, who is said to be “at large”.

    Also charged with them are a former Senator, Ayo Adeseun, and a Peoples Democratic Party ( PDP ) chieftain, Olarenwaju Otiti.

    They allegedly conspired to directly take possession of N650 million which they reasonably ought to have known formed part of proceeds of an unlawful act which did not go through a financial institution.

    During the trial on Monday, the EFCC Prosecutor, Mr Rotimi Oyedepo, had resumed examination of the second prosecution witness, Mr Usman Zakari, an investigating officer with the EFCC.

    In continuation of his evidence, the witness told the court that his investigations revealed that there were no banking instruments to justify the claims by the accused that the money came from the Peoples Democratic Party ( PDP ).

    Oyedepo asked: “You said that the first and second accused persons and one Mr Yinka Taiwo signed a receipt of payment for N650 million, what steps did you take as regards the signatories?

    In response, the witness told the court that the second accused was arrested, and then he confirmed that the details in the receipt were his and that he signed it for the payment of N650 million.

    The witness further said that the first accused, in the presence of her counsel, made statements in relation to the charge and also confirmed that she had signed for the payment of the N650 million.

    On how the confirmation was done, the witness said: “The confirmation by the first and second accused persons was made while their statements were taken”.

    He told the court that on Dec. 15, 2016, the first accused had provide a document stating how the N650 million was disbursed without the use of a financial institution.

    The witness said the first accused volunteered statements in his presence.

    Oyedepo then applied to the court to tender the said statement, having laid proper foundation for case.

    At this point, defence counsel raised objection and submitted that the statements were made under duress and inducement and requested for a trial-within-trial to determine how the statements were extracted.

    Counsel to the second accused, Mr Micheal Lana, told the court that the statement of the second accused was also made under duress and inducement.

    He urged the court to allow the prosecution to tender the statement of the second accused so that the trial-within-trial would be taken together.

    Mr Akinola Oladeji, counsel to the third accused, also agreed with the submission of Lana, adding that the third accused was even threatened with incarceration.

    In response, Oyedepo submitted that the counsel to the accused persons could not request for a trial-within-trial as the accused persons had denied every admission of guilt in their statements.

    He added that the statements were not confessional statements as the provision of the Evidence Act in relation to trial-within-trial was only for confessional statements.

    Justice Hassan, in a short ruling, ordered a trial-within-trial.

    He held that the court could not determine if the statements were confessional statements or not since they were not before it.

    Earlier, counsel to the first accused, Mr Bolaji Ayorinde ( SAN ), had raised an objection to the oral evidence of the second prosecution witness on the grounds that it was a hearsay evidence.

    The court, however, overruled the objection and held that the evidence was by no means a hearsay.

    “I do not want to be misunderstood; all that I am saying is that the evidence of PW2 is admissible only as to what he carried out in the course of his investigation.

    “The velocity or weight to be attached to that evidence can only be determined at the conclusion of the trial.”

    The case has been adjourned until April 23 and April 24 for continuation of trial.

  • Alleged $40m fraud: Jonathan’s cousin knows fate March 29

    Justice Nnamdi Dimgba of the Federal High Court, Abuja, will on March 29 decide whether or not Robert Azibaola, a cousin to former President Goodluck Jonathan, has case to answer in the 7-count charge of money laundering and criminal breach of trust preferred against him by the Economic and Financial Crimes Commission, EFCC.

    Mr. Azibaola is standing trial alongside his wife, Stella Azibaola, and their company, One Plus Holdings Nigeria Limited.

    The defendants were alleged to have diverted $40 million, money purportedly meant for the supply of Tactical Communication kits for Special Forces which was transferred from the Account of the Office of the National Security Adviser with the Central Bank of Nigeria to the domiciliary account of their company, One Plus Holdings.

    The prosecution has so far called 10 witnesses and tendered documents before closing its case on January 23 setting the stage for the defendants to open their defence.

    Rather than open defence, Mr. Azibaola through his counsel, Chris Uche, approached the court with a no-case submission in an application dated March 15 and filed March 19; urging the court to dismiss the charge in its entirety and acquit the defendants.

    Mr. Uche argued that “the prosecution had failed woefully to establish a prima-facie case against the defendants as the evidence presented shows no nexus with the defendants”.

    On the money laundering charge, the learned silk argued that “there has to be proof of its illicit or illegitimate origin” He noted that in the case at hand, there was no such proof of illegitimacy or dirtiness of the origin, rather what the prosecution showed are two funds ($40million and N650million) whose source were derived from an offspring of a “legitimate paternity”.

    He believed that the trial is more of a “political witch-hunt” and urged the court to hold that the prosecution had failed to establish a prima facie case against the defendants.

    In response, Francis Jirbo, counsel to the EFCC, urged the court to discountenance the arguments of the defence saying, the prosecution had proved the essential ingredients of the offence to warrant explanations by the defendants.

    He argued that “the prosecution has established a prima facie case as there is a document which talked about a contract for the supply of communication kits for special forces with nothing to show in ‘Exhibit 5’ (3rd defendant’s statement of account) that the kits were provided and supplied”.

    He added that there was no contract document showing any award of contact to the defendants and no evidence of competitive bidding for such a contract.

    Mr. Jirbo submitted that, having established a prima facie case of money laundering, it is only logical that the defendants step into the witness box to explain how $40 million was spent on the supply of tactical communication kits for Special Forces.

    “It is trite that when a court is giving consideration to a submission of no-case, it is not necessary at that stage of the trial for the court to determine if the evidence is sufficient to justify conviction, the trial court only has to be satisfied that there is a prima facie case requiring some explanation from the defendant”, Mr. Jirbo said.

  • Internet fraud: EFCC arraigns N10 million 419 suspect

    The Economic and Financial Crimes Commission (EFCC) on Monday arraigned a suspected Internet fraudster, Ogungbile Oluwaseun, before Justice O. A. Williams of the Lagos State High Court sitting in Ikeja.

    TheNewsGuru reports Oluwaseun was arraigned on a two-count charge bordering on unauthorized access to computer materials to the tune of Ten Million Naira (N10,000,000.00).

    According to the EFCC, the defendant allegedly defrauded a company, Cenoux Express Limited, of the money by sending fraudulent electronic messages to Guaranty Trust Bank, thereby facilitating the payment of the money into his own account.

    One of the counts reads: “That you, Ogungbile Oluwaseun (a.k.a Emmanuel Oluwaseun), on or about the 19th day of April, 2012, at Lagos, within the Ikeja Judicial Division, with intent to defraud, intentionally caused a computer to perform unauthorised access to a programmed data held by Guaranty Trust Bank, wherein you sent fraudulent electronic messages to Guaranty Trust Bank causing a fraudulent transfer of the sum of N5,000, 000. 00 (Five Million Naira) from account No. 5012272664110 belonging to Cenoux Express to your own account and committed an offence contrary to Section 385 of the Criminal Law of Lagos State 2011”.

    The defendant pleaded not guilty to the charge when it was read to him.

    In view of his plea, the prosecution counsel, Nkereuwem Anana, prayed the court for a trial date and asked that the defendant be remanded in prison custody.

    The defence counsel, J. J. Isijola, however, informed the court of an application for bail on behalf of his client.

    He also prayed for a short date for the hearing of the application.

    Consequently, Justice Williams adjourned the case to March 19, 2018 for hearing of the bail application and ordered that the defendant be returned to the EFCC custody.

     

  • Fraud cases by Nigerian bank staff rise by 39% in 2017

    Fraud cases by Nigerian bank staff rise by 39% in 2017

    The number of fraud cases attributed to internal abuse by staff of banks increased from 231 in 2016 to 320 in 2017, a 38.5% increase, according to the Nigeria Deposit Insurance Corporation (NDIC).

    Mr Mohammed Ibrahim, Head, Communications and Public Affairs of NDIC, said in a statement in Abuja on Sunday that the figure was in the organisation’s recent report on off-site supervision of the Deposit Money Banks (DMBs).

    “The report relied on a total of 286 responses received from 26 banks during the period and there were 22 NIL monthly responses from the banks as at year ended Dec. 31, 2017.

    “The 286 responses received from banks in 2017 cited 26,182 cases of fraud and forgeries which is 56.30 per cent higher compared to 16,751 cases reported in 2016.

    “Similarly, the amount involved in the fraudulent activities documented increased by N3.33 billion from the N8.68 billion reported in 2016 to N12.01 billion in 2017 or 38 per cent.

    “However, the expected/actual loss slightly-decreased by N24.42 million or 1.03 per cent from N2.39 billion in 2016 to N2.37 billion in 2017.”

    Ibrahim said Internet/Online-banking and ATM/Card-related fraud-types reported constituted 24,266 or 92.68 per cent of all the reported cases, resulting in N1.51 billion or 63.66 per cent of losses in the industry in 2017.

    He said the report also documented other miscellaneous crimes, such as fraudulent transfers/withdrawals, cash suppression, unauthorised credits and fraudulent conversion of cheques.

    Others are diversion of customer deposits, diversion of bank charges and presentation of forged or stolen-cheques.

    He said that 22 Licensed Commercial Banks and four Merchant banks rendered 286 returns on dismissed/terminated staff as a result of fraud and forgeries during the year under review.

    Ibrahim said out of the 26,182 fraud cases reported by the 26 Licensed Banks, 320 cases were attributable to internal collaboration by bank staff.

    “A total of 320 bank employees had their appointments either terminated or were summarily dismissed in 2017, as against 231 in 2016.

    “That represented an increase of 38.53 per cent in the total number of fraud cases reported in 2017.

    “However, the losses arising from the reported cases decreased from N760 million in 2016 to N682 million or about 11.43 per cent in 2017.”

    Ibrahim said that NDIC attributed the improvement to additional internal control measures adopted by the banks in the wake of the proactive corrective measures taken to ensure their compliance with good corporate governance principles.

    He said NDIC would investigate some banks for inadequate rendition of returns on instances of fraud, forgeries and cases involving members of staff dismissed or their appointments terminated on grounds of fraud.

    He said that NDIC made the decision in light of the increase the report revealed.

    He said that Section 35 and 36 of the NDIC Act No. 16 of 2006 (as amended) requires all DMBs to submit monthly information/returns on fraud and forgeries to the corporation.

    He said in spite of the Fidelity Insurance Cover taken by banks to address fraud perpetrated by staff, there was still need for the banks to further enhance their internal control and security measures.

    He said this was because of the rising trend of E-Channels (Online banking and Card-related) fraud and forgeries in the industry which remained a serious cause for concern to the organisation.

  • N650m fraud: Akinjide’s lawyer seeks Lagos court’s movement to Ibadan

    A frantic effort was made on Thursday by lawyers to get the Federal High Court in Lagos to move its sitting to Ibadan in the ongoing trial of former Minister of the Federal Capital Territory, Jumoke Akinjide for alleged N650 million fraud.

    The judge, however, ruled that trial would continue on March 9 in Lagos.

    Akinjide is being prosecuted by the Economic and Financial Crimes Commission (EFCC) along with a former Minister of Petroleum Resources, Diezani Alison-Madueke, who is said to be “at large”.

    Also charged with them are a former Senator, Ayo Adeseun, and a Peoples Democratic Party (PDP) chieftain, Olarenwaju Otiti.

    The accused are charged with conspiring to directly take possession of N650 million which they reasonably ought to have known formed part of proceeds of an unlawful act and without going through a financial institution.

    When continuation of trial resumed on Thursday, Counsel to the second accused, Mr Michael Lana, informed the court that a letter had already been written to the Chief Judge of the Federal High Court for the court’s sitting to be moved to the Ibadan Division.

    According to Lana, the second accused is charged with offences which consequently require the defence to produce witnesses in about 11 local governments areas of Ibadan, saying the defence has numerous witnesses to call.

    “We are not seeking a transfer of this case to another judge or court; we are only seeking a change of venue for My Lord, Justice Hassan, to seat in Ibadan via a fiat.”

    Besides, the defence counsel also told the court that he had also filed a motion dated March 7, seeking an order of the court, directing the complainant to supply those document referred to but not supplied in the proof of evidence.

    Citing a Supreme Court decision in the case of Okoye Vs C. O. P as well as the provisions of Sections 379 of the Administration of Criminal Justice Act 2015, he urged the court to hear his application before a further prosecution witness is called.

    In the same vein, the third defence counsel, Mr Akinola Oladeji, indicated that he had an application seeking that the charges against the third accused be quashed, or in the alternative, that the case be transferred to the Ibadan Division.

    According to him, the third accused intends to call at least 65 witnesses from nine council areas where she served, including party leaders, chairmen and other witnesses.

    “I respectfully urge the court to be mindful of the Latin maxim “hastina litin” which according to him, means “hasten slowly”.

    Olajide added that prosecution witnesses were intended to give evidences in connection with their investigations, adding that the defence was at a“complete loss”as to the document sought to be tendered, noting they were not attached to the proof of evidence.

    He urged the court to be mindful of the position of the law.

    In relation to defence’s application for supply of document to be relied on by prosecution witnesses, Counsel to the first accused, Chief Bolaji Ayorinde (SAN), also agreed with the submissions of other defence counsel.

    He urged the court to exhibit caution in looking at the application before it.

    Responding, the EFCC Prosecutor, Mr Rotimi Oyedepo, said he had yet to receive the motion referred to by the counsel to the second accused.

    He said he was not aware of the letter written to the Chief Judge as stated by second defence counsel, adding that the instant charge which began in Ibadan was transferred twice at the instance of the defence counsel.

    Oyedepo conceded that in line with Sections 379 of the ACJA 2015, the prosecution had duly complied with the provisions of the law by supplying the defence a summary of the statement of the proposed prosecution witnesses.

    He referred the court to go through the proof of evidence.

    In a short ruling, Justice Hassan held that the court had yet to see the application of the second accused or the letter, and so, could not make any pronouncement on same.

    Meanwhile, the court held that in its view, the prosecution had complied with the provisions of the law since the document sought to be relied on by the second prosecution witness was listed in the proof of evidence.

    The court then urged the prosecutor to call its second witness (PW2), who swore to the Holy Quran, and in his evidence-in-chief, he introduced himself as Mr Usman Zakari, an EFCC operative, who is saddled with investigations of economic and financial crimes.

    Oyedepo asked: Do you know the defendants?

    The witness replied in the affirmative and further explained that early 2015, the commission received a “Top classified category A intelligence”, stating that sometime in December 2014, there was a meeting at the residence of the then Minister of Petroleum Resources (Allison-Madueke).

    Before the witness could proceed further with his evidence, the second defence counsel, (Lana) raised an objection.

    “My Lord, what the witness has just said is completely not in the proof of evidence; there is no where it is mentioned in the proof of evidence.

    “You see, this is what we were saying all along.”

    The prosecutor urged the court to allow the witness to emphasize the “punch line” of his testimony before the defence’s objection.

    The defence counsel on the other hand, maintained that a copy of the intelligence report referred to by the witness “must first” be made available to the defence before the continuation of his evidence.

    Harping on his position, he cited Sections 36 (6) of the 1999 Constitution, insisting that the report should be produced.

    Other defence counsel also agreed with Lana’s submissions.

    In a short ruling, Justice Hassan adjourned the case until March 9 for continuation of trial and ordered the prosecution to supply the defence with all necessary documents.

    He urged the defence to avail the prosecution a list of the documents so sought.

  • Reps summon Maina, Okonjo Iweala, others over alleged pension fraud

    Reps summon Maina, Okonjo Iweala, others over alleged pension fraud

    A House of Representatives panel has summoned the former chairman of the Presidential Task Force on Pension Reforms, Abdulrasheed Maina, and former Minister of Finance, Oknonjo Iweala, over alleged fraud.

    The panel also summoned the head of civil service of the federation, Winifred Oyo-Ita, the central bank governor, Godwin Emiefele, chairman of the Economic and Financial Crimes Commission Ibrahim Magu, the Inspector General of Police, Ibrahim Idris, and the Independent and Corrupt Practices Commission and all members of the Presidential Task Force on Pension Reforms.

    Others are the former Head of Civil Service, Steve Orosanye, and the Minister of Justice and Attorney General of the federation, Abubakar Malami.

    They were invited over allegations of diversion of pension funds by the presidential task force on pension reforms from 2010.

    The panel invited the individuals to appear before it during its next siting on Monday, to explain their roles in the alleged diversion of pension fund.

    Earlier during her presentation, Sharon Ikeazor, Executive secretary of Pension Transitional Administration Directorate (PTAD), said the directorate did not receive any document from the task force when it was established.

    According to her, “only the liabilities were handed over to the directorate.”

    Anayo Nnebe, the chairman of the committee, said the committee’s work cannot be concluded without hearing from the parties involved.

    “We cannot conclude this investigation without hearing from the persons involved. We must bring all the culprits to book,” he said.

  • Alleged N3.2bn fraud: Court adjourns further proceedings in Kalu’s trial till March 6

    A Federal High Court, Lagos, has adjourned continuation of trial until March 6 in the N3.2 billion fraud charge slammed on former governor of Abia, Orji Uzor Kalu, by the Economic and Financial Crimes Commission (EFCC).

    The EFCC had on Oct. 31, 2016 preferred a 34-count charge bordering on N3.2 billion fraud against Kalu and his former Commissioner for Finance, Ude Udeogu and Kalu’s company — Slok Nigeria Ltd.

    All the accused had pleaded not guilty to the charges.

    At the resumed trial of the case on Monday, the EFCC Prosecutor, Mr Rotimi Jacobs (SAN), commenced the cross-examination of the second prosecution witness, an officer in First City Monument Bank.

    The witness, Olusegun Adesomoju, swore with the Holy Bible.

    Jacobs: What is your occupation ?

    Witness: I am a compliance officer in FCMB. I received a subpoena to appear in court and produce the statement of account of the third defendant (Slok ) in his bank.

    Jacob tendered the statement of account and the certificate of identification from the bank attached to it. The document was labeled Exhibit N to N 50.

    Counsel to the first defendant, Mr Awa Kalu (SAN), told the court that he did not object to the document, but that it was his first time of seeing it.

    Mr Joseph Ochu (SAN), counsel for the second defendant and Mr Kingsley Nwofo, counsel for the third defendant, both agreed to the submissions of Kalu.

    As Jacobs continued the examination-in-chief, the witness identified 95 cheques deposited in the bank account of the third defendant between Aug. 16, 2001 and Aug. 10, 2005.

    Jacobs: Where were you in 2005 ?

    Witness: I was doing my National Youth Service Corps.

    Jacobs: So why are you giving evidence for the bank ?

    Witness: It is part of my duties as a compliance officer.

    Jacobs: Which department of the bank has records of customers accounts ?

    Witness: Both the compliance department and the IT department.

    After the conclusion of the examination-in-chief, Kalu addressed the court that it was the first time the defence was seeing the document and they needed a “stand down” to go through it.

    In response, Jacobs told the court : “We have tendered this document since 2007, it is not a new document and I object to the stand down”.

    Justice Idris, in his ruling, said “in the interest of justice, let us come back tomorrow for cross-examination.”

    The court adjourned until March 6 for continuation of trial.

    Kalu was alleged to have utilised his company to retain in the account of a First Inland bank, now FCMB, the sum of N200 million.

    The sum is alleged to have formed part of funds illegally derived from the coffers of the Abia State Government.

    Slok Nigeria Ltd and a man, Emeka Abone, who is still at large, were also alleged to have retained in the company’s account the sum of N200 million on behalf of the first accused (Kalu).

    They allegedly used Manny Bank, (now Fidelity Bank Plc), Spring Bank Plc, the defunct Standard Trust Bank and Fin Land Bank, now First City Monument Bank (FCMB).

    The accused were alleged to have retained about N2.5 billion in different accounts which funds were said to belong to the Abia Government.

    Cumulatively, the accused were alleged to have diverted over N3.2 billion from the state government’s treasury during Kalu’s tenure as governor.

    The offences contravened the provisions of Sections 15(6), 16, and 21 of the Money Laundering (Prohibitions) Act, 2005.

    The offences also violated the Money Laundering Act of 1995 (as amended) Act No.9 of 2002 and Section 477 of the Criminal Code, Laws of the Federation, 1990.

  • Alleged N11.5bn fraud: EFCC re-arraigns ex-gov Alao-Akala, 2 others

    The Economic and Financial Crimes Commission (EFCC) on Monday re-arraigned a former governor of Oyo State, Adebayo Alao-Akala, and two others in an Oyo State High Court sitting in Ibadan over alleged N11.5 billion fraud.

    The other defendants are a former Oyo State Commissioner for Local Government and Chieftaincy Matters, Sen. Hosea Agboola, and an Ibadan-based businessman, Femi Babalola.

    The defendants are facing an 11-count charge of conspiracy, awarding contract without budgetary provision, obtaining by false pretence, acquiring property with money derived from illegal act and concealing the ownership of such property, among others.

    EFCC’s counsel, Dr B. Ubi, told the court that when Alao-Akala was the governor of Oyo State, he awarded a road contract worth N8.5 billion between 2007 and 2009 to Pentagon Engineering Services.

    Ubi alleged that the firm owned by Babalola handled the contract on behalf of the 33 local governments without budgetary provision.

    The counsel further claimed that Alao-Akala ordered the supply of drilling machines on behalf of the 33 local governments in the state to the tune of N3.5 billion.

    He also alleged that Alao-Akala conspired with Ayoola to withdraw N2.9 billion from Oyo State Local Government Joint Account.

    The prosecutor told the court that Alao-Akala also illegally acquired some property on Old Bodija road, off Rotimi Williams road, when he was the governor of the state.

    He said that the offences contravened Section 22 (4) of the Corrupt Practices and Other Related Offences Act and Section 1 (18) of the Advanced Fee Fraud Act.

    The defendants, however, pleaded not guilty to the charges.

    Mr Hakeem Afolabi, a Senior Advocate of Nigeria and counsel to Alao-Akala and Babaloa prayed the court to exercise its discretion in granting bail to the defendants.

    Afolabi said that the charge before the court was not a fresh one but a re-arraignment.

    He said the matter was first filed on Oct. 11, 2011, before Justice Moshood Abas and bail was granted after the defendants met the conditions.

    Recall that the defendants had also appeared before Justice Akintunde Boade and Justice Bayo Taiwo who was recently transferred out of Ibadan Division.

    Afolabi said that Alao-Akala was granted bail in the sum of N5 million with two sureties in like sum while the other defendants were granted bail in the sum of N3 million each with two sureties in like sum.

    Afolabi urged the court to allow the defendants to enjoy the earlier bail condition granted to the defendants.

    Mr Richard Ogunwole, another Senior Advocate of Nigeria and counsel to Ayoola, aligned with the submission of Alao-Akala’s counsel.

    The EFCC counsel said he would not oppose the bail applications.

    Justice Muniru Owolabi granted the defendants’ prayers and adjourned the case till April 16 for trial.