ICPC to arraign former Federal Mortgage bank CEO, others over $65M fraud
The allegations pertain to violations of the Public Enterprises Regulatory Commission Act and Section 19 of the Money Laundering (Prevention and Prohibition) Act, 2022.
ICPC to arraign former Federal Mortgage bank CEO, others over $65M fraud
The Independent Corrupt Practices and Other Related Offences Commission (ICPC) is set to arraign former Chief Executive Officer of the Federal Mortgage Bank of Nigeria (FMBN), Mr Gimba Kumo Yau, along with others, for allegedly awarding a $65 million real estate contract to an incompetent firm, Good Earth Power Nigeria Limited, in 2012.
According to the ICPC’s charge sheet, marked FHC/ABJ/CR/333/24 and filed on 9 July 2024 by Dr Osuobeni Ekoi Akponimisingha, Assistant Chief Legal Officer, Yau, Bola Ogunsola, Mr Tarry Rufus, Good Earth Power Nigeria Limited, and T.Brend Fortunes Limited are facing charges before the Federal High Court in Abuja.
The allegations pertain to violations of the Public Enterprises Regulatory Commission Act and Section 19 of the Money Laundering (Prevention and Prohibition) Act, 2022.
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The ICPC accuses Yau of making a payment of N3.785 billion to Good Earth Power Nigeria Limited out of the total contract sum of $65 million for the development of 962 residential housing units in Kubwa, Abuja, named “Goodluck Jonathan Legacy City.”
The agency maintains that the firm was incapable of completing the project, leading to economic adversity for the bank and contravening legal standards.
Additional allegations involve the misappropriation of funds, with the accused allegedly securing a N14 billion loan from Ecobank Nigeria PLC for the project, which remains incomplete to date.
The ICPC claims that Yau and other defendants converted N991.399 million into $3.55 million in cash and handed it over to one Jason Rosamond, who is currently at large.
Mr Gimba Kumo Yau’s lawyer, Barrister Okpara Orji, has denied the allegations, attributing them to a political witch hunt. He asserted that previous investigations by anti-graft agencies, including the EFCC, had found no evidence against his client.
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The ICPC has not yet scheduled a date for the arraignment, and the defendants remain presumed innocent until proven guilty in court.
Proofreading, editing by Sakinat Musa Abubakar and Maryam Sulaiman, Editor and Journalist at Neptune Prime.