EFCC ARRAIGNS EX-AMCON MD, FOUR OTHERS OVER ALLEGED N76 BN FRAUD INVOLVING ARIK AIR

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The Economic and Financial Crimes Commission (EFCC) has arraigned five individuals, including the former Managing Director of the Asset Management Corporation of Nigeria (AMCON), Ahmed Kuru, in connection with a massive fraud case involving Arik Airline. The defendants stand accused of defrauding the airline of N76 billion and an additional $31.5 million.

The other four accused are: Kamilu Omokide, a former Receiver Manager of Arik Airline (first defendant), Captain Roy Ilegbodu, the airline’s Chief Executive Officer (third defendant), Union Bank Ltd. (fourth defendant), and Super Bravo Ltd. (fifth defendant).

The charges brought against the accused include theft, abuse of office, and stealing by dishonestly taking property belonging to another. Union Bank faces an additional count of making false statements to public officers.

At the arraignment, all the accused pleaded not guilty. Defense counsel for the first and third defendants, Taiwo Osipitan (SAN), sought bail on liberal terms, arguing that both defendants had complied with previous bail conditions and had shown no intention of fleeing the country. However, EFCC counsel Wahab Shittu (SAN) objected, citing the serious nature of the offences and the risk of the defendants absconding.

The counsel for Kuru, Olasupo Shasore (SAN), requested bail for his client on self-recognizance, stressing that Kuru had been granted administrative bail by the EFCC previously and had adhered to all conditions. Shittu opposed this, noting a previous incident where a bench warrant was issued against Kuru for absconding.

After hearing arguments from both sides, Justice Mojisola Dada granted bail to all defendants, setting the bail amount at N20 million each with one surety in like sum. The court also ordered the defendants to surrender their passports and remain in the custody of their respective counsel until the bail conditions are met.

The trial has been scheduled to begin on March 17, 2025.

The anti-graft agency alleged that sometime in 2011, Union Bank Nigeria with the intention of causing and/or inducing the unwarranted sale of Arik Air loans and bank guarantees, made false statements to the Assets Management Corporation of Nigeria regarding Arik Air Ltd’s performing loans ànd later transferred the sum of N71 billion to AMCON.

The commission also alleged that Kuru, Omokide, and Ilegbodu sometime in 2022, fraudulently converted to the use of NG Eagle Ltd the total sum of N4.9 billion.

The anti-graft agency also alleged that the CEO of Arik stole the sum of N22.5 million by fraudulently converting the same to the use of Magashi Ali Mohammed, a property of Arik Air Ltd.

The EFCC also alleged that the defendants obtained undue advantage for themselves and intentionally authorized the teardown and destruction of 5N-JEA with Serial No. 15058 valued at 31.5 million dollars, an arbitrary act, that was prejudicial to the economic stability of the Federal Republic of Nigeria and Arik Air Limited.

According to the prosecution, the alleged offences contravene Sections 73, 96, 278(1), and 278(6) of the Criminal Law of Lagos State 2015.