EFCC freezes #8.6 billion in three accounts owned by billionaire business woman Bola Shagaya

 

The economic and economic crimes fee (efcc) has frozen over n8, 627,458,773.36 billion in 3 bills of billionaire businesswoman and an associate and buddy of former first woman, mrs. Endurance jonathan, bola shagaya, at harmony financial institution. Consistent with the country, the anti-graft corporation is currently investigating the hyperlink among hajia shagaya and approximately 10 companies/account.

The billionaire business girl who did not maintain any public appointment all through the administration of former president goodluck jonathan, has dragged solidarity bank to the excessive court docket of lagos kingdom for allowing the efcc to publish no debit (pnd) on her accounts with out a valid court docket order. In keeping with hajia shagaya, the action taken on her debts violates section34 (1) of the efcc act, 2004.

 According to documents which shagaya filed and deposed to at the court docket by means of her recommend, napoleon emeaso-nwachukwu, the withdrawal ban located on certainly one of her money owed has prevented her from defraying n514, 800,000 incurred as cumulative costs in the direction of an plane lease settlement of a bombardier jet

However, harmony bank says its hands are tied by means of the regulation in complying with the efcc’s directives to freeze shagaya’s bills.

The efcc in a letter to the team spirit financial institution dealing with director in appreciate of one of the frozen accounts stated: “the fee is investigating a case wherein the above-stated account featured. In view of the above, you're requested to kindly test the table under and offer us with certified real copies (ctc) of the subsequent records, which have to consist of but not confined to the following: (i) the deposit slips/telex copies (back and front) that conveyed the authority of the transactions; (ii) any funding made with the budget in any of your merchandise which should include constant/term deposit and their liquidation and the interest incurred, banks acceptance, industrial papers and some other applicable information on the subject of those".

The efcc indexed the transactions in the said account as “n300m(bola shagaya rtgs);  n300m (extra n300ftd at 15% tran); n500m (time deposit); n2,317,013,698.Sixty four (bng collaos for ftd-purchaser accol); n2.3billion (establishing a time deposit account); n292, 495, 029.Eighty two (withdrawal from time deposit); n292, 495, 029.Eighty two (tak asset mgt confined); n300m (time period loan booked for 356 days); and n2,1/2,455,half.08 (bng collaps of ftd client account.”

In a separate letter cr: 3000/efcc/ls/stf/ stf3mp/ vol.11/182 which shagaya made to be had to the courtroom, the efcc requested team spirit bank to publish no debit(pnd) on 10 bills linked together with her.  The account names are (i) first deep water discovery restricted; (ii) bola shagaya; (iii) faplins nigeria constrained (iv) lingo nigeria restricted; (v) buri barclays bdc; (vi) links worldwide synergy ltd; (vii) okioil nig. Ltd; (vii) jemarviz nig ltd; (ix) pj oil and fuel ltd; and (x) afdin ventures ltd.

The anti-graft commission stated: “the fee is investigating a case in which the above stated bills featured. You are requested to kindly location the account on publish no debit (pnd) category pending the conclusion of the investigation. This request is made pursuant to section 38(1) and (2) of the financial and financial crimes commission (establishment) act, 2004 and section 21 of money laundering (prohibition) act, 2011.”

Inside the third letter, the efcc stated it become searching into two other debts inclusive of voyage oil and gasoline and bola shagaya from 2008 to date.

It said: “the commission is investigating a case wherein the above cited accounts featured. In view of the above, you're asked to kindly provide us with certified real copies (ctc) of the subsequent facts which should encompass but no longer confined to the following: (i) the mandate card  and announcement(s) of all domiciliary and naira account(s) inside the above mentioned bills from 2008 so far with letter of certification in accordance with segment 84 of the proof act 2011; (ii) any funding made with the budget in any of your merchandise which need to include fixed/time period deposit and their liquidation and the hobby incurred, financial institution popularity, business papers and another applicable information associated with these. You're similarly asked to kindly region the account on publish no debit (pnd) category pending the realization of research.”

But shagaya accused unity financial institution of complicity on her travails following  the bank’s alleged failure to exercising the considered necessary due diligence.

She said the freezing of her bills did not observe phase 34(1) of the efcc act, 2004. She especially noted the financial institution’s refusal to permit her to make transactions on account 000326118 together with charge of n514, 800,000 to global apex air confined, thru heavywind included offerings, for the rent of a bombardier jet.

She stated the plane rent agreement among her and worldwide apex air constrained has been terminated along with her forfeiting us$1million.

In a testimony she deposed to the court, shagaya stated: “the respectable of the defendant (cohesion financial institution) whom my private assistant relayed the development to, informed him that on the third of november, 2016, the defendant received a letter from the efcc through their lagos workplace informing it that my account with it is under research and asked that the account be placed on “submit no debit” pending the outcome of the investigation for this reason the defendant’s incapacity to honour my charge guidance. First of all i laughed off the excuse as a ploy of the defendant to deter me from taking felony actions against it for dishonouring my payment instructions in particular that of the thirty first of october 2016 which in the long run led to the termination of the plane lease with international apex air ltd. And the lack of the sum of one million u.S.A. Greenbacks deposited with the lessor through me. On the 27th of january, 2017 the defendant replied to my solicitor’s letter. In its reaction, the defendant said that: “it determined that long earlier than your client forwarded her cheques and fee instruction to the bank as indicated for your letter beneath reference, the efcc had officially knowledgeable the financial institution that an investigation relating to your client’s account became ongoing and sought the cooperation on the bank as a consequence.” the defendant’s letter ended via pointing out that “based on our expertise and the truth that the financial institution changed into already aware that the law enforcement corporation had taken exact steps to comply with segment 34(1) of the efcc act, 2004, behoves the bank now not to permit the dissipation or removal finances on your purchaser’s account without appropriate clearance from the law enforcement employer or a judicial order directing the release of the price range to your consumer. I will additionally contend on the hearing of this fit that the defendant negligently and wrongfully failed to exercising the needful due diligence and through extension, the responsibility of care it owed me as my banker prior to complying with the alleged freezing education from the efcc. The defendant did no longer request and make certain it was obliged the freezing order from a court of able jurisdiction prior to complying with the coaching to freeze the claimant’s account. The defendant failed to honour the claimant’s fee instructions of the thirty first of october 2016 in addition to the ones of the first and second november 2016 which preceded the alleged practise from the efcc. The defendant failed to directly notify the claimant of the freezing different account. The freezing of the claimant’s account did no longer comply with phase 34(1) of the efcc act, 2004. Since the unlawful freezing of my account by the defendant, i've now not been able to transact with that account due to my inability to get admission to identical thereby causing enterprise losses and possibilities. Through motive the defendant’s action, i have suffered lack of recognition and damages and my person delivered to disrepute, public opprobrium and odium. The movements of the defendant which consist in unlawfully freezing my account without an order of a courtroom of able jurisdiction and failing to reveal equal to me promptly turned into unreasonable in addition to defamatory of me before my business associates who now see me as a crook and an untrustworthy fellow who is inside the habit of issuing due cheques and charge commands that she knew could now not be honoured".

She said she had misplaced a variety of business goodwill in view that her accounts had been frozen consisting of

-   the loss of $1,000,000 deposited with worldwide apex air ltd. Due to her in capacity to pay accumulated fees consistent with aircraft lease settlement which was occasioned with the aid of the failure of the defendant to oblige the claimant’s charge education to heavywind integrated offerings.

-    loss of enterprise opportunities and goodwill occasioned by way of her incapacity to perform her account domiciled with the defendant because of its freezing.

-    lack of popularity occasioned with the aid of the defendant’s wrongful dishonouring of her charge instructions to third parties.

“if now not pressured through this court docket, the defendant will not on its own volition unfreeze my account even if it's miles obvious the defendant had wrongfully breached the duty of care it owes complying with an unlawful preparation in freezing my account.”

However in a letter to shagaya’s suggest, cohesion financial institution stated it has a criminal and ethical duty to render assistance to regulation enforcement companies. The financial institution defined its constraints in a letter by means of its head, legal services branch, mr. Alaba williams and mr. Olusegun olukoya of the same department. A part of the financial institution's letter reads

“while the financial institution respects the contractual nature of the relationship with your purchaser, it's far without prejudice to the bank’s standing as a responsible law abiding company citizen. Regardless of the financial institution’s contractual relationship with your patron, that relationship is not with out a felony and ethical obligation to render help to law enforcement corporations while required of the financial institution. Thinking about the touchy nature of the research touching your patron’s account as recommended by using the efcc in october 2016, the financial institution needed to exercise caution when it comes to similarly transactions, specially debits, within the account of your patron underneath research. The want for the financial institution to exercise due caution inside the depend of the operation of your consumer’s account after receipt of notification of the continued research by the efcc changed into informed by our expertise of various current statutory provisions  relevant to the request of the efcc obtained via the financial institution. Based totally on our understanding and the fact that the bank turned into already aware that the regulation enforcement employer had taken particular steps to comply with section 34(1) the efcc act, 2004. It behoves the financial institution not to permit the dissipation or removal of the budget for your patron’s account underneath research, earlier than the courtroom order looking for to keep the budget was received. The contractual dating among your client and the bank does no longer permit us to pre-empt the research via the law enforcement employer and the related court docket proceedings which final results may want to lead to forfeiture of the finances in the same account. The financial institution can be taken into consideration an accent after the truth if it allowed the dissipation of the funds for your patron’s account with out suitable clearance from the law enforcement company or a judicial order directing the discharge of the finances on your patron. Consequently contrary to the allegation on your letter, the financial institution had a right justification for refusing the price instructions out of your client for funds to be eliminated from her account in trouble when there was an ongoing investigation by the efcc in appreciate of the said budget. The financial institution is consequently now not in breach of any contractual obligation to your consumer. The financial institution is also now not vulnerable to your purchaser for the sum of n700,000,000.00 (700 million naira) or any other sum that remember as damages claimed by way of you. Please, word that solidarity bank %. Is dedicated to conform with the extant laws and rules of all capable authorities and jurisdictions. In addition to adopting fine practices; ethical and criminal concerns constantly guide our commercial selections defensive the coolest name and the popularity of the bank stays the primary consideration in all movements taken with the aid of the financial institution. For that reason, the financial institution protects its products and services from being worried in allegation of illegal sports. Therefore we  will cooperate absolutely with all regulators and regulation enforcement companies. We are of the common-or-garden opinion that your purchaser must kindly solve any first rate issues with the regulation enforcement organisation and facilitate the removal of the “post no debit” on her account with the financial institution. Litigation against the bank will consequently no longer be important within the condition.”

Hearing of the problem is slated for september 28.