Alleged N4.6 Billion Fraud: ‘Obanikoro Had A Deal With Diamond Bank (Now Access Bank) To Deliver N1.2 Billion Cash To Fayose’ - EFCC

Roosevelt Ogbonna, Managing Director/Chief Executive Officer of Access Bank

Justice Chukwujekwu Aneke of a Federal High Court, Ikoyi, Lagos, was on Friday told that a former minister of state for defence, Musiliu Obanikoro, allegedly struck a deal with the defunct Diamond Bank (now Access Bank) to take a N19 million commission for the delivery of N1.2 billion cash to the former governor of Ekiti State, Ayodele Fayose.

According to the Economic and Financial Crimes Commission (EFCC), the said sum was part of funds belonging to the Federal Government of Nigeria (FGN) but was laundered by politicians.

The above development was made known by the anti-graft agency through one of its investigators, Mr Abubakar Madaki at the resumption of the trial of the former Ekiti governor over alleged involvement in fraud to the tune of N4.6 billion.

While being led in evidence by counsel for the anti-graft agency, Rotimi Jacobs (SAN), Madaki, said, “These funds came from the coffers of the National Security Adviser’s imprest account in the build-up to the Ekiti State governorship election in 2014.”

On being questioned as to how the N1.2 billion added up to N1.219 billion, the witness said: “My lord, as I have stated in my earlier testimony before this court that the then minister of state for defence, Senator Musiliu Obanikoro had an agreement with Diamond Bank to deliver the sum of N1.2 billion cash to Mr Ayodele Fayose who was the governorship candidate of the Peoples Democratic Party (PDP) in 2014 with agreed N19m service charge.”

But counsel for the former Ekiti governor, Mr Olalekan Ojo (SAN) objected, insisting that the witness was not there when any agreement was made if such existed at all; therefore, it was hearsay evidence which was not admissible in law.

Justice Aneke overruled the objection, saying it could be raised at the final written address stage.

Ayodele Fayose/Musiliu Obanikoro 

According to the judge, “I want to hear the story; the witness in the dock is the investigating officer who investigated as to what transpired. Let this story flow, I would like to hear the story. Objection overruled. Please go on, witness.” 

Madaki then continued thus: “My lord, our investigation revealed that the said agreement was executed, and the money was delivered in cash to the first defendant (Fayose) through one A. Agbele which our investigation further revealed to be Abiodun Agbele, an associate of the first defendant in Akure via helicopter.

“Investigation revealed that Obanikoro’s fees were deducted from the beneficiaries because we invited some of the bureau de change operators that were used in the transaction, and they did confirm that the N19 million was added to N1.2 billion which made it the total sum of 1.219bn.”

The judge adjourned the case until January 26, 2024, for the defence to cross-examine the witness.

It would be recalled that Fayose alongside his firm company were re-arraigned before Justice Aneke on 11 counts bordering on money laundering and non-declaration of assets, on November 24, 2021.

In the amended charge, Fayose and Agbele, who is also standing trial for money laundering offences before another division of the court, were alleged to have on June 17, 2014, taken possession of N1.219bn to fund the former’s 2014 gubernatorial campaign in Ekiti State.

The duo were accused of committing criminal breach of trust, theft, and stealing of public funds.

They were also alleged to have, on June 17, 2014, without going through financial institutions, received the sum of $5 million from Obanikoro.

The anti-graft agency also pointed accusing fingers at Fayose for retaining the sum of N300 million in his fixed deposit account number 9013074033 domiciled in Zenith Bank Plc.

The former governor and Spotless Limited were also alleged to have between June 17 and August 4, 2014, taken control of the sum of N317m and deposited the same in Zenith Bank Plc account number 1010170969.

The EFCC further accused Fayose of spending N270m and N1.1bn to acquire properties on Plot 1504 Yedsema Street, Maitama, Abuja, from one Rabi Kundili, and chalets 3, 4, 6 and 9 on Plot 100 Tiyamiyu Savage Street, Victoria Island, Lagos, in the name of JJ Technical Services.

The former governor was also alleged to have, between October 16 and December 31, 2018, failed to declare his assets and properties by not completing the declaration form during the investigation.

According to the EFCC, the offences are contrary to Sections 15(2)(d), 1 and 16(d) of the Money Laundering (Prohibition) Act, 2011 as amended, and punishable under Section 15(3)(4), 16(2)(b) of the same Act.

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