$65m fraud: Ex-CEO of Federal Mortgage Bank gets N100m bail – Newstrends
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$65m fraud: Ex-CEO of Federal Mortgage Bank gets N100m bail

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$65m fraud: Ex-CEO of Federal Mortgage Bank gets N100m bail

The Federal High Court in Abuja has granted N100 million bail to a former Chief Executive Officer of the Federal Mortgage Bank of Nigeria (FMBN), Mr. Gimba Kumo Yau, who is accused of allegedly awarding a $65,000,000 real estate contract to an allegedly incompetent firm, Good Earth Power Nigeria Limited, in 2012.

Justice James Omotosho granted N100 million bail each to Yau and co-defendants Bola Ogunsola and Mr. Tarry Rufus on Wednesday, in the matter filed by the Independent Corrupt Practices and Other Related Offences Commission‘s (ICPC) lawyer, Dr. Osuobeni Ekoi Akponimisingha, in the charge sheet marked FHC/ABJ/CR/333/24.

Good Earth Power Nigeria Limited and T. Brend Fortunes Limited were also joined as defendants, having been sued for their alleged contravention of the Public Enterprises Regulatory Commission Act and Section 19 of the Money Laundering (Prevention and Prohibition) Act, 2022.

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Facts of the case 

  • In ICPC’s five-count charge, the anti-graft agency accused Yau of making payment to Good Earth Power Nigeria Limited in the sum of N3,785,000,000.00 out of the total contract sum of $65,000,000 for the development of 962 units of residential housing in Kubwa, Abuja, named “Goodluck Jonathan Legacy City,” contrary to accepted practice.
  • The ICPC maintained that the former bank CEO allegedly contributed to his organization’s failure at the time by approving $65,000,000 to a firm that could not carry out and complete the real estate project.
  • The allegations stated that Mr. Gimba Kumo Yau and Bola Ogunsola, in their roles as  chief executive officer and executive director of the bank in August 2012, had secured a loan of N14 billion from Ecobank Nigeria PLC on behalf of the bank.
  • This loan was said to be earmarked for the development and completion of 962 residential housing units in Kubwa, Abuja, named “Goodluck Jonathan Legacy City,” within 18 months.
  • ICPC further alleged that Mr. Gimba Kumo Yau, as the bank’s CEO, awarded the $65 million contract despite knowing that the company lacked the capacity to carry out the contract.
  • ICPC added that the project remains incomplete as of today, thereby amounting to “economic adversity” for the bank and in violation of Section 68(1) of the Public Enterprise Regulatory Commission Act, CAP P39, Laws of the Federation, 2004.
  • The other defendants were accused of giving and receiving $3,550,000.00 of the contract sum in cash in contravention of the Money Laundering Act.
  • When the charges were read out to the defendants in open court, they had pleaded not guilty.
  • Subsequently, their legal team applied for bail.

What transpired in court 

  • The defendants had argued that bail is at the discretion of the court and that the applicants are entitled to bail, being presumed innocent under the law.
  • They also assured that their clients would not jump bail when granted bail, as one of the defendant’s counsel also submitted that the charge against his client is not one punishable by death.
  • On the part of the ICPC counsel, he did not oppose the applications for bail.
  • Ruling on the bail applications on Wednesday, Omotosho held that bail is premised on the presumption of innocence, which an accused person enjoys until he is declared guilty by the court.
  • He also said that bail is at the discretion of the court.
  • Subsequently, he granted N100 million bail to each of the defendants with two sureties in like sum.
  • He ruled that each of the sureties must be owners of property worth N100 million and that they must swear to an affidavit of means and show evidence of tax payment for the past three years.

“The sureties and defendants shall submit their recent passport photographs and certified bank statements. 

“The Defendants shall submit their international passports to the registrar of this court,” the judge said.  

  • He also ordered that the registrar of the court shall verify these documents and issue a report while the defendants are remanded pending the perfection of the bail conditions.

$65m fraud: Ex-CEO of Federal Mortgage Bank gets N100m bail

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Why we jettisoned regional system, split Nigeria into 12 states – Gowon

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Former Nigeria’s Head of state and elder statesman, General Yakubu Gowon (retd)

Why we jettisoned regional system, split Nigeria into 12 states – Gowon

Former Nigeria’s Head of state and elder statesman, General Yakubu Gowon (retd), has revealed why he balkanized Nigeria into a 12-state federation.

At independence in 1960, Nigeria ran a regional system with the nation divided into three autonomous and relatively homogenous regions:  east, west and north.

The southern region was dominated by the yorubas, the east had Igbo as majority with other minority ethnic groups, while the north had the Hausa and Fulani as the dominant group with a cluster of different ethnicities in the Middle Belt.

The Mid-West region was later carved out of the Western region in 1964.

However, Gowon, after taking over and becoming the head of state in 1966 following a bloody coup that claimed the live of his predecessor and other top government officials, split the country into 12 states 1967 in the build up to the civil war.

Speaking on the balkanisation of the country, Gowon said that the move was aimed at dousing tension and removing the fear of northern hegemony by other federating unit.

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He disclosed this when a delegation of the Senator Ibrahim Shekarau-led League of Northern Democrats paid him a courtesy visit at the Yakubu Gowon Centre, in Abuja.

The elder statesman also urged Northern elites to build a consensus around issues that would better serve the greater interest of Nigeria as a whole.

He noted that Nigeria must take precedence over regional affiliation.

“I firmly believe, as I have always said, that the responsibility of maintaining Nigeria’s true democracy rests on the north, and Baba Tafawa Balewa embodied this ideal.

“Let me also say that I hope your visit is not just about returning to the old thinking where the north prioritises the north, the west prioritises the west, and the east prioritises the east-until, of course, the Mid-West emerged to think for itself.

“My position has always been that whatever the north does must serve the greater interest of Nigeria. From your speech, I understand that this is your intention-to ensure the north, in its current state, focuses on national unity.

“It was for this reason that I supported the creation of multiple states, to prevent any one region from becoming too powerful and threatening the country’s unity,” he said.

 

Why we jettisoned regional system, split Nigeria into 12 states – Gowon

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TCN spends N8.8bn to repair 128 vandalised transmission towers

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TCN spends N8.8bn to repair 128 vandalised transmission towers

The Transmission Company of Nigeria (TCN) has disclosed that it spent over ₦8.8 billion in the past 11 months to repair transmission towers destroyed by vandals and bandits across the country.

Sule Abdulaziz, TCN’s Chief Executive Officer, made this revelation during the quarterly power sector working group meeting held in Abuja on Wednesday.

Represented by Olugbenga Ajiboye, the Executive Director of Transmission Service Provider (TSO) at TCN, Abdulaziz highlighted the alarming scale of destruction.

He stated that between January 13 and the present date, a total of 128 transmission towers have been damaged nationwide. These attacks have significantly disrupted the nation’s power transmission infrastructure.

Abdulaziz also expressed frustration with the justice system, explaining that apprehended vandals were often granted bail and returned to commit the same crimes. He called for stricter enforcement and penalties to deter such destructive acts.

“Till date, we have spent about N8.8 billion, by our estimation, to put them back to full and functional use,” Abdulaziz said.

“It is so sad that each time the vandals were caught and taken to police for prosecution, police would incident them for theft, instead of vandalism and they will be bailed.

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“If they are charged for vandalism, they cannot be bailed, but this is where we are. So many of them have been arrested, but each time they will be bailed because police often incident their cases as that of theft.

“When the Shiroro-Mando-Kaduna towers were destroyed, we had to get the full military escorts for our contractors to get the transmission lines and towers restored and in some cases, they would tell us that we could only work for two hours in some days.

“In some instances, they would even tell us that it was not safe to move there. How do we get out of this? How can we deliver electricity to Nigerians under these terrible circumstances?

“These are part of the challenges we are facing in the power sector.”

’50 MILLION NIGERIANS TO HAVE ELECTRICITY BY 2030′

Responding to the challenges in the sector, Adebayo Adelabu, minister of power, said the federal government is collaborating with the World Bank and the African Development Bank (AfDB) to make electricity available to 50 million Nigerians by the year 2030.

Adelabu, who was represented by Adedayo Olowoniyi, chief technical adviser, said the power ministry is collaborating with its finance counterpart “to get this process achieved”.

“Mission 300 is being driven by the World Bank and the African Development Bank and it is a project that will provide electricity to 300 million Africans. Nigeria will benefit 50 million from this,” Adelabu said.

“Nigeria has a large population that is without electricity and this is a great opportunity for us to be part of this process.

“The Compact document will be signed by our President, Asiwaju Bola Ahmed Tinubu, in Tanzania in January 2025.

“We worked extensively with World Bank, the AfDB and the Ministry of Finance to develop the document with all the countries that will be participating in it.

“The most important thing is that we have to drive the process by ourselves through the private and public sector participation. We will do it through the solar form system, mini and micro grid, grid extension and connection.”

“The reality is that it is not actually feasible, based on the resources we have, to extend the grid to all Nigerians, one, from the funding point of view.

“Secondly, it may not be commercially viable to begin to talk of grid extension to those parts that are not viable, but that does not mean that we should not deliver electricity to them, which is their right and as part of the dividends of democracy.”

Adedablu the federal government would start with the home solar system in areas where the grid may not work.

 

TCN spends N8.8bn to repair 128 vandalised transmission towers

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UK opens Africa’s largest visa application centre in Lagos

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UK opens Africa's largest visa application centre in Lagos

UK opens Africa’s largest visa application centre in Lagos

The United Kingdom has inaugurated its largest visa application centre (VAC) in Africa, located in Lagos, through its commercial partner, VFS Global.

According to a statement from the UK High Commission in Nigeria, the new facility serves Nigerian residents travelling to the UK. Visa applicants can now book appointments at state-of-the-art VACs in Abuja, Ikeja, and Victoria Island, Lagos. These centres began operations on November 19, 2024.

British Deputy High Commissioner Jonny Baxter expressed his delight at the launch, emphasizing Nigeria’s importance as a UK partner. “This is the largest visa application centre in Africa. We look forward to VFS Global delivering even better services for UK visa applicants,” he said.

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Marc Owen, Director of Visa, Status, and Information Services at UK Visas and Immigration (UKVI), highlighted the milestone for UKVI and VFS Global. “This new VAC in Ikeja enhances our commitment to offering world-class visa services in Nigeria and across Africa,” he said.

In the 12 months to June 2024, the UK processed over 225,000 visas for Nigerian nationals, covering all categories. Nigeria is one of the largest sources of UK visa applications globally, accounting for 5% of the total.

The UK remains a popular destination for African travellers, and the new partnership with VFS Global aims to ensure visa services remain accessible, efficient, and tailored to applicants’ needs.

 

UK opens Africa’s largest visa application centre in Lagos

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