TheNewsGuru

Tag: Money laundering

  • N650m fraud: Ex-Minister Akinjide’s statement not under duress – EFCC

    A prosecution witness, Usman Zakari, in the ongoing trial of a former Minister of the Federal Capital Territory, FCT, Oloye Jumoke Akinjide, and others, on Wednesday, May 16, 2018, told Justice Muslim S. Hassan of the Federal High Court sitting in Ikoyi, Lagos that the former minister was not mandated to write down her statement upon her invitation to the Commission’s office.

    Akinjide alongside Senator Ayo Adeseun and a People’s Democratic Party (PDP) stalwart, Chief Olanrewaju Otiti, were re-arraigned on January 16, 2018, on an amended 24-count charge bordering on money laundering to the tune of N650m.

    They were alleged to have received the money from a former Minister of Petroleum Resources, Diezani Alison-Madueke, in the build-up to the 2015 general election. .

    The money was part of the $115million allegedly disbursed by Alison- Madueke to influence the outcome of the 2015 presidential election.

    The judge had, on April 9, 2018, ordered a trial within trial to determine the voluntariness of the statements, in view of the claim by the defendant that her statement was made under duress and inducement.

    However, at the resumed hearing today, Zakari, an investigator with the #EFCC, while being cross-examined by the counsel to the first defendant, Bolaji Ayoride, SAN, told the court that he did not specifically request her to make a statement, but that she volunteered to reduce the interview in writing.

    Zakari told the court that the first defendant reported to the EFCC office in company with her lawyer and husband on August 9, 2016, where she was interviewed. .

    “She volunteered her statement, and I supervised the writing of the statement after reading the cautionary words to her,” he added.

    When he was asked if there was a manual for interrogation of suspects, Zakari said he did not know of any, adding that “I relied on the training I got both internationally and locally as well as the experience gathered on the job over the years.

     

  • Money laundering: CBN goes tough; issues stiffer sanctions, warnings to banks

    The Central Bank of Nigeria (CBN) has warned money deposit banks and their directors against aiding money launderers to avoid facing sanctions from the apex bank.

    The new regime of sanctions as released by the regulatory bank stipulates huge fines against financial institutions found culpable of any of 48 money laundering infractions.

    The new regime was contained in a circular titled: “CBN Anti-Money Laundering and Combating the Financing of Terrorism (administrative sanctions) regulations, 2018” by the Director, Financial Policy & Regulations Department of the CBN, Kevin N. Amugo, to all banks and other financial institutions.

    Amugo said the regulations were developed to ensure Nigeria’s compliance with Financial Action Task Force (FATF) recommendation 35.

    The law expects countries to ensure there is a range of effective, proportionate and dissuasive sanctions, whether criminal, civil or administrative, available to deal with natural or legal persons.

    The regulations said failure to comply with the anti-money laundering and terrorism requirements attract sanctions, which should be applicable not only to financial institutions, but also to their directors and senior management.

    The CBN said banks and board members or chief compliance officers would all be sanctioned for 31 out of the 48 money laundering infractions listed in the new regime.

    For each of the 31 infractions, the new regime stipulates minimum fines, ranging from N500,000 to N1.2 million on board members, or chief compliance officers or the internal auditor, and fines ranging from N1 million to N20 million on the offending banks.

    Infractions and penalties stipulated under the new regime include N1 million on each member of the board and N20 million on the Deposit Money Banks (DMB) that fail to approve the AML/CFT policies and procedures -a minimum penalty.

    Details of the other fines include N750,000 on the Executive compliance officer and another N750,000 for each year the contravention continues, for failing to review/update the AML/CFT policies and procedures at least every three (3) years.

    About N500,000 was imposed on the Chief compliance officer in the first instance and N500,000 for each year the contravention continues, while the bank would pay N5 million in the first instance and N1 million for each year the contravention continues.

    Failure to communicate the AML/CFT programme of the organization to the employees would attract a minimum penalty of N750,000 on the Executive compliance officer, N500,000 on the Chief compliance officer and N10 million on the bank.

    For the board or its committee to fail to supervise and ensure the effective implementation of the anti-money laundering/financial terrorism programme, each member of the board of the bank would pay a minimum penalty of N500,000 each against N10 million by the bank.

    The fine for failure of the officer to generate periodic reports on AML/CFT issues to the board or its relevant committee, the circular said, was a minimum penalty of N750,000 on the Executive compliance officer, N500,000 on the Chief compliance officer and N5 million on the bank.

    Also, penalties are imposed for failure to classify money laundering and terrorism finance risks in the bank, or failure to put in place guidelines for risk assessment and profiling of customers in institutions, board approved programme and failure to carryout risk assessment and profiling of each account.

    The penalties include a minimum of N1 million on the Chief compliance officer of the bank, a minimum penalty of N3 million on the bank for failure to put in place guidelines for risk assessment and profiling of customers in money laundering and terrorism programme.

     

  • 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.

     

  • Why global money-laundering watchdog removed Libya from terror-financing watch list

    The international Financial Action Task Force (FATF) lifted Libya from the list of countries unable to fight money laundering and terrorism financing, the Central Bank of Libya said in a statement.

    “A major achievement was made with a decision issued by the FATF, after Libya was included in the list of states subject to follow-up with respect to ability to apply standards and obligations to combat money-laundering and terrorism financing crimes,” the bank said.

    The Bank stressed that this “achievement means FATF’s approval to Libya complying with all the requirements and obligations to combat money laundering and terrorism financing crimes, in accordance with international standards.

    “The approval also positively reflects the reputation of the Libyan state and enhances the confidence of international financial and economic institutions in the Libyan financial and banking institutions.”

    FATF is an intergovernmental organisation established in 1989 in France to develop policies to combat money laundering and terrorism financing internationally.

     

  • EFCC arraigns Jonathan’s former minister, two others for allegedly laundering N450m

    A former Minister of Water Resources under the Goodluck Jonathan’s administration, Sarah Ochekpe, and two others on Monday appeared before a Jos Federal High Court over alleged money laundering involving N450 million.

    Mrs. Ochekpe, who was arraigned by the EFCC, appeared along with Raymond Dabo, former PDP Chairman in Plateau, and Leo-Sunday Jatau, an evangelist and Coordinator of the President Goodluck Jonathan campaign in 2015.

    The trio appeared to answer a two-count charge of conspiracy and money laundering.

    When the charges were read to the accused standing trial before Justice Musa Kurya, they pleaded not guilty.

    The Prosecuting counsel, A. Y. Manchata, told the court that sometimes in 2015, the sum of N450 million was transferred from the account of then former Minister of Petroleum Resources, Alison Diezeni-Madueke, to the account of one of the defendants, who allegedly withdrew and laundered it.

    But the defence Counsel, Sunday Odey, who challenged the allegations of the EFCC, applied for the bail of the three accused persons, who he described as “people of high integrity.’’

    “My Lord, since my clients have pleaded not guilty to the two-count charge, I hereby apply for their bail on self-recognition.

    Responding, the EFCC Counsel objected to the bail application, insisting that the accused should be remanded in Prison considering the weight of the offence.

    Mr. Odey, however, countered Mr. Manchata’s position, and stated that he would stand as surety and produce the trio at the next adjourned date of the case.

    After listening to the arguments of the two lawyers, Kurya granted them bail on self-recognition and adjourned the case to Feb. 13 and 14 for hearing.

     

  • Money laundering: UK Court sentences Ontario Oil boss, Wagbatsoma to three years imprisonment

    A court in the United Kingdom has sentenced Chairman of Ontario Oil & Gas Limited, Mr Walter Wagbatsona, to three and half years in prison.

    Wagbatsoma, 47 was also disqualified from being a company director for six years.

    It was learnt that some fraudulently obtained funds in the UK were laundered through an account in Dubai, UAE under the control of a co-conspirator Oluwatoyin Allison, a UK national who was convicted in his absence at an earlier trial in April 2017 and sentenced to seven years imprisonment.

    The funds were then transferred to Wagbatsoma’s account in the UK.

    According to Lincolnshire Police, following a trial at Leicester Crown Court a thirteenth defendant has been convicted of conspiracy to launder money in an international fraud and money laundering investigation.

    This investigation was conducted by Lincolnshire Police Economic Crime Unit under ‘Operation Tarlac’, in which public bodies including hospital trusts, housing associations and councils around the UK were defrauded of over £12million.

    Wagbatsoma was originally detained on a European Arrest Warrant in June 2016 whilst travelling through Germany.

    He was extradited soon afterwards and charged with conspiring with others to launder the proceeds of fraud through his business interests in the UK.

    This is the third criminal trial for this operation and follows the successful conviction of 12 other defendants in the investigation which began with a complaint of fraud from Lincolnshire Partnership Foundation Trust in September 2011, in which £1.28m was fraudulently obtained by the gang.

    Subsequently, a further 20 linked offences was identified resulting in losses of £12.6m.

    After a four-year investigation, those convicted have received prison sentences in excess of 50-years and proceedings are underway to recover the gains of the conspiracy under the Proceeds of Crime Act.

    This is to make sure that victims can in some way be recompensed for what the Judge described as a “sophisticated and widespread fraud in its conception and execution.”

    Deputy Chief Constable Craig Naylor said: “For a small force, this investigation shows that officers in our Economic Crime department have shown real endeavour and determination in investigating what is a huge money laundering and fraud offence.

    “Operation Tarlac has now seen thirteen individuals given lengthy prison sentences for their part in an international offence, which has had a national impact on public bodies in the UK. As a force, we have achieved a significant impact against organised crime in this investigation and this shows the hard work by our officers.

    “Proceedings are now underway to recover a large amount of money, and I want to personally thank partners for their support and co-operation with us in this investigation and congratulate my officers and staff on a job well done.”

    On January 26, 2017, a Lagos High Court sitting in Ikeja had sentenced the exiled oil mogul and his staff Adaoha Ugo-Nnadi to 10 years in prison for fuel subsidy fraud.

    Justice Lateefat Okunnu, who said the sentence would start to count from January 13, 2016, also ordered restitution for Ontario Oil and Gas, and asked the company to refund N754 million being the amount it defrauded the Nigerian government.

    While Wagbatsoma was sentenced in absentia as he was under house arrest in the United Kingdom at the time, Ms. Ugo-Nnadi was present.

     

  • EFCC urges court not to reverse firms’ guilty plea to money laundering

    The Economic and Financial Crimes Commission (EFCC) has urged the Federal High Court in Lagos to refuse an application by four companies praying to reverse their guilty plea to laundering of $15,591,700.

    In its counter-affidavit signed by an investigating officer, Musbhau Yahaya, the Commission said the application was an abuse of court process and that the judge cannot be asked to overrule himself.

    The companies are praying for an order setting aside their conviction by Justice Babs Kuewumi on November 2, 2016 after they pleaded guilty through their representatives.

    According to them, their trial and conviction were done “in gross violation of their right to fair hearing.”

    The companies, in the application filed on their behalf by Chief Mike Ozekhome (SAN), said their conviction was a miscarriage of justice.

    EFCC, in the counter-affidavit, alleged that a former Special Adviser on Domestic Affairs to ex- President Goodluck Jonathan, Waripamo Dudafa, allegedly got part of the money from former National Security Adviser (NSA), Sambo Dasuki.

    EFCC said Dasuki withdrew the money from the Central Bank of Nigeria (CBN) and “handed it” over to Dudafa.

    The Commission said Dudafa laundered the money through the companies.

    He is currently being tried along with a lawyer, Amajuoyi Briggs and a banker, Adedamola Bolodeoku. They pleaded not guilty to money laundering charges.

    But, the four companies charged along with them pleaded guilty and were convicted.

    They are – Pluto Properties and Investment Company Limited, Seagate Property Development and Investment Limited, Trans Ocean Property and Investment Company Limited and Avalon Global Property Development Company Limited.

    Wife of former President Jonathan, Dame Patience, in a separate suit, is laying claims to the money.

     

     

  • Alleged $15.5m laundering: Court reserves ruling on motion to reverse Patience Jonathan’s guilty plea

    A Federal High Court in Lagos on Wednesday reserved ruling on a motion seeking to set aside the guilty plea of four firms allegedly used to launder 15.5 million dollars belonging to a former First Lady, Dame Patience Jonathan.

    The motion was filed by a lawyer, Amajuoyi Azubuike Briggs, who is standing trial alongside former aide to ex-President Goodluck Jonathan, Waripamo-Owei Dudafa, and Adedamola Bolodeoku.

    The trio is charged with concealing a total sum of 15.5 million dollars which is said to have formed part of the proceeds of an unlawful act through various banks in Nigeria.

    They were charged along four firms namely — Pluto Property and Investment Company Ltd, Seagate Property Development and Investment Company Ltd, Trans Ocean Property and Investment Company Ltd and Avalon Global Property Development Company.

    While the three accused pleaded not guilty to the charges, the four firms had pleaded guilty through their representatives — Friday Davies, Agbor Baro, Dioghowori Frederick and Taiwo Ebenezer.

    Justice Babs Kuewumi had convicted the firms on the alleged offence following a review of the facts of the case by prosecution after their plea.

    Dissatisfied, Dudafa and Briggs had filed separate applications seeking to reverse the plea before the court.

    The applications were, however, dismissed by Justice Kuewumi on the grounds that the same issues were being canvassed by the accused at the Court of Appeal.

    Meanwhile, the Court of Appeal in its judgement on June 15, had directed the lower court to hear Briggs’ motion seeking to reverse the firm’s plea.

    At the resumed hearing of the case on Wednesday, the EFCC prosecutor, Mr Rotimi Oyedepo, sought the court’s permission to continue with the examination-in-chief of the first prosecution witness.

    The request was, however, opposed by the defence lawyers.

    Briggs’ lawyer, Mr Ige Asemudara, drew the court’s attention to the Appeal Court’s judgement which ordered the hearing of his client’s motion challenging the guilty plea of the four firms.

    He also disclosed that he had filed another motion seeking to set aside the conviction of the four firms.

    In his own submissions, lawyer representing the four firms, Chief Mike Ozekhome (SAN) also notified the court of the existence of a motion he filed since May 8 seeking to set aside the guilty plea of the firms.

    According to him, the court cannot proceed to trial when the plea of the firms which are in joint trial with the other accused persons is in contention.

    Lawyers to the other accused, Gboyega Oyewole (SAN) and Joseph Okodieme, also aligned themselves with the submissions.

    Justice Kuewumi then opted to hear Briggs motion as directed by the Court of Appeal.

    Moving the motion, Asemudara, argued that the plea entered into by the firms where his client is secretary, did not comply with Sections 477 (3)and 478 of the Administration of Criminal Justice Act (ACJA) 2015.

    Ashemudara added that the prosecution had yet to file any counter-affidavit against the motion.

    In his response, EFCC’s lawyer, Oyedepo, urged the court to rely on its record with regards to the service of the charge on the directors of the firms as well as their appearances before the court.

    He added that in view of the firms’ plea which was made by the directors and upon the admission of the facts reviewed by the prosecution leading to the firms conviction, the motion is a violent abuse of court’s process.

    Oyedepo said that the applicant (Briggs) equally lacked the ‘locus standi’ to complain about the plea of his co-accused because the plea of an accused person is peculiar and personal to him or her.

    The court has fixed Nov. 22 for hearing of other pending applications in the case.

     

     

    NAN

  • Court rejects Fani-Kayode’s bid to transfer money laundering trial to Abuja

    A Federal High Court in Lagos on Tuesday, dismissed an application by a former Minister of Aviation, Femi Fani-Kayode, seeking transfer of a money laundering case against him.

    Fani-Kayode, who was also the Chairman of Media and Publicity Committee of the Peoples Democratic Party (PDP) Campaign Organisation during the 2015 general election, is standing trial alongside a former Minister of State for Finance, Nenadi Usman.

    Also joined as defendants are – former National Chairman of the Association of Local Government in Nigeria ( ALGON ), Yusuf Danjuma, and a company, Jointrust Dimensions Limited.

    The accused were arraigned by The Economic and Financial Crimes Commission ( EFCC ) on a 17- count charge of money laundering.

    Fani-Kayode and others allegedly laundered N4.6billion, according to the EFCC.

    The Commission alleged they committed the offences between January and March 2015.

    In counts one to seven, they were alleged to have unlawfully retained over N3.8 billion which they reasonably ought to have known formed part of proceeds of corruption.

    In counts eight to 14, the accused allegedly used over N970 million which they reasonably ought to have known formed part of an unlawful act of corruption.

    Meanwhile, in counts 15 to 17 Fani-Kayode and one Olubode Oke, who is said to be at large, allegedly made cash payments of about N30 million, in excess of the amount allowed by law, without going through a financial institution.

    Besides, Fani-Kayode allegedly made payments to one Paste Poster Co (PPC) of No 125 Lewis Street, Lagos, in excess of amounts allowed by law.

    EFCC alleged the offences contravened the provisions of sections 15 (3) (4), 16 (2) (b), and 16 (5) of the Money laundering (prohibition) (Amendment) Act, 2012 and punishable under same.

    The accused persons pleaded not guilty to the charges.

    The accused were first arraigned on June 28, 2016, before Justice Muslim Hassan of the same court, but the judge withdrew from the suit on March 16, this year following an application by Fani-Kayode, citing likely bias by the judge.

    The case was thereafter, re-assigned to Justice Mohammed Aikawa and the accused were re-arraigned on the same charges.

    At the last adjourned date on June 21, defence counsel, Mr Norrisson Quakers, SAN, had prayed the court to transfer the case to its Abuja division, arguing that the court lacked jurisdiction to adjudicate on the matter.

    Quakers argued that the facts of the case showed that all the transactions carried out by the accused as Director of Media and Publicity of the Goodluck Jonathan Campaign Organisation, took place in Abuja.

    Besides, he had argued that the accused resides in Abuja and had another ongoing trial at the Federal High Court in Abuja.

    But EFCC’s lawyer, Mr Rotimi Oyedepo, opposed the application and urged the court to refuse it on the grounds that the transactions as well as cheques and receipts in furtherance of same, were done in Lagos.

    Oyedepo thereafter urged the court to dismiss the application for transfer and described it as a mere waste of the court’s time.

    At the resumed hearing on Tuesday, Justice Aikawa, in his ruling, held that some of the authorities cited by defence counsel were delivered before the enactment of the Administration of Criminal Justice Act, 2015, which he noted had provided exceptions to the issues of venue of court.

    “In the case before me, the prosecution avers in its counter affidavit that “the sum of N30 million was paid to PW1 (Olusegun Idowu) of Paste Posters Company Ltd, who has his office in Lagos”.

    “This, in my view shows that all facts leading to the transaction were done in Lagos, and only evidence will prove otherwise.

    “In the light of all these, it is clear that the facts and circumstances of this case fall within the exceptions of the law regarding criminal trials.

    “There is no justification to warrant a transfer of this case to Abuja; the interest of justice requires that the trial of this case continues in this court.

    “This application hereby fails and is accordingly dismissed,” he ruled.

    The court also ruled on an application for objection raised by defence counsel on the last adjourned date, challenging the tendering of photocopies of payment receipts by PW1, who began giving testimony on June 7.

    Aikawa held that it was not the business of the court to concern itself with whether or not a document is original, so long as the document sought to be tendered, is duly certified.

    The court accordingly, dismissed the objections, admitted the receipts in evidence and marked same as exhibits 3 and 3A respectively.

    The court then called on the prosecution to continue with the examination of his first witness.

    Meanwhile, defence counsel, Quakers, sought for an adjournment to enable him to study the exhibits and prepare his cross-examination.

    The court granted the request and adjourned the case to Sept 27 for cross-examination and continuation of trial.

  • Court grants Bala, former minister’s son permission to travel for Hajj

    Court grants Bala, former minister’s son permission to travel for Hajj

    Under trial former FCT Minister’s son, Shamsudeen Bala, was on Wednesday granted permission to travel for lesser hajj by a Federal High Court, sitting in Abuja.

    At the resumed hearing, the defence counsel, Kanayo Okafor, prayed the court to release the international passport of the defendant to enable him travel for the lesser hajj.

    The prosecution counsel, Mr Ben Ikani, who opposed the application, stated that the defence was trying to delay the trial.

    After listening to both counsels the judge, Justice Nnamdi Dimgba, granted the defendant permission to travel for the hajj.

    Dimgba ruled that a member of the National Assembly shall write an undertaking to guarantee that the defendant would be back to the country.

    He ordered that the EFCC would verify the identity of the NASS member before releasing defendant’s international passport.

    The judge further ordered that the defendant must deposit his international passport to the registry of the court within 24 hours of his return to the country.

    He adjourned the matter until June 26 for continuation of trial.

    TheNewsGuru recalls that Shamsudeen was re-arraigned on May 30, on an amended 15-count charge bordering on money laundering.

    He was re-arraigned alongside four companies – Bird Trust Agro Allied Limited, Intertrans Global Logistic Limited, Diakin Telecommunications Limited and Bal-Vac Mining Nigeria Limited.