Court orders final forfeiture of N127m, $16,500 recovered from NIMASA contractor

The Federal High Court in Lagos has ordered the final forfeiture of $16,500 and N127 million fraudulently diverted from the treasury of the Nigerian Maritime Administration and Safety Agency (NIMASA).

The judge, Kehinde Ogundare, granted an application by the Economic and Financial Crimes Commission (EFCC) permanently forfeiting the funds to the federal government in a ruling on Tuesday.

The funds were recovered from a contractor with NIMASA, Uche Obilor, and his companies.

Mr Obilor and his firms received suspicious contract payments during the era of Patrick Akpobolokemi as the agency’s director-general.

EFCC’s Head of Media and Publicity, Dele Oyewale, said in a press statement on Tuesday that the commission initially on 23 May obtained an interim forfeiture of the funds suspected to be unlawfully diverted from NIMASA’s accounts.

Through its counsel, Suleiman Suleiman, the commission obtained the interim forfeiture of the funds relying on section 17 of the Advance Fee Fraud and Other Fraud Related Offences Act No. 14. 2006; and section 44 (2)(b) of the Nigerian constitution.

Granting the interim forfeiture order, the judge directed the EFCC to publish the interim forfeiture order in a national newspaper, asking interested parties to show cause why the funds should not be permanently forfeited to the federal government.

Despite the court-ordered newspaper publication inviting interested parties to oppose the final forfeiture of the funds, no one showed up in court on Tuesday.

“Pursuant to your lordship’s order made on 23 May 2024, the publication of the order was made on 6 June 2024 in Punch newspaper,” Mr Suleiman told the court on Tuesday.

He referenced a 22-paragraph affidavit filed supporting an application for final forfeiture of the funds. Oghare Ogbole, an EFCC investigator, swore to the affidavit.

“The application is accompanied by two exhibits: the interim order of the court and the Punch publication of 26 June 2024. We respectfully adopt the same and pray the court to grant all the reliefs sought,” the lawyer said.

Proceeds of crimes

In the affidavit filed in support of the application, the EFCC investigator said the funds sought to be forfeited “are reasonably suspected to be proceeds of unlawful acts of diversion of funds from the treasury of NIMASA, through Mr Uche Obilor, his companies and other cronies.”

“During the course of the investigation, the total sum of $16,500 cash was recovered by the commission, part of the funds diverted from the treasury of NIMASA. And that for using his companies as mentioned above, Mr Uche Obilor, upon invitation to the commission during the course of the investigation, agreed to return the sum of N118 million, admittedly received and retained by his companies from the funds fraudulently converted from the treasury of NIMASA,” the affidavit read.

Although not explicitly stated in the EFCC’s press statement, it appears the N118 million recovered from Mr Obilor added to other naira-denominated recoveries to make the N127 million.

After listening to EFCC’s lawyer, in the absence of any interested party to object, the judge granted the prayers sought by the commission.

How Obilor received funds from NIMASA

Mr Obilor, who apparently has been cooperating with the EFCC, had detailed how he received NIMASA payments for contracts he did not bid for.

EFCC launched a vast investigation into the finances of the maritime agency after the President Muhammadu Buhari administration came on board in 2015.

One of the cases that the EFCC filed following the investigation featured Mr Obilor as a prosecution witness at the Federal High Court in Lagos.

PUNCH reported that he testified in February 2016 against Mr Akpobolokemi, the then director-general of NIMASA and five others, including officials of the agency, who were standing trial for stealing and diverting about N2.6 billion belonging to the agency.

Mr Obilor told the court that he received an N905.8 million contract from NIMASA to implement International Ship and Port Facility Security without bidding.

He said the agency awarded the contract to his three companies – Seabulk Offshore Limited, Southern Offshore Limited, and Ace Prosthesis Limited – with the money fully paid.

He said NIMASA subsequently paid N437 million, N402 million and N66,800,000 into the bank accounts of Seabulk Offshore Limited, Southern Offshore Limited and Ace Prosthesis Limited, respectively, for the contract.

He said he subsequently received the contract award letter from the agency.

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However, he added that he was preparing to begin the execution when he received an instruction from Ezekiel Agaba, then an Executive Director with NIMASA and co-defendant in the trial, asking him to stay action on the contract.

He said the contract was eventually cancelled, and he was asked to transfer the money paid to his companies to specific individuals and companies.

He maintained that his companies did not bid for the contract.

He also disowned all documents allegedly issued by his companies requesting payment and the invoices issued in the name of the companies to NIMASA.