ICPC: Corrupt persons using real estate for money laundering

Corrupt persons are now using real estate as an avenue to launder illicit funds, the Independent Corrupt Practices and other related offences Commission has said.

Chairman of the ICPC, Prof. Bolaji Owasanoye, stated this on Thursday when he spoke to the House of Representatives Ad-Hoc Committee investigating the activities of estate developers in the Federal Capital Territory (FCT).

According to him, the commission carried out a study between 2010 and 2011 that revealed the sharp practices in the sector including massive corruption and injection of illicit funds.

Owasanoye alleged that estate developers had formed the habit of selling allocated lands for mass housing in piecemeal to the highest bidders.

The ICPC chairman said where the houses were built, they were allegedly sold to the rich.

He added that the commission had in the process of its investigations and prosecution recovered 241 houses and 60 buildings from corrupt public officers.

Chairman, Economic and Financial Crimes Commission, Mohammed Bawa, who was represented by a director at the agency, Daniel Esei, also said developers were not complying with extant laws which aggravated the sharp practices in the sector.

According to him, developers break the laws by allowing third parties to make payments or buy houses, shortchanging the real subscribers.

He also said there was a need for more stringent laws to allow the application of sanctions on developers who go against the law.

Responding, President of the Real Estate Developers Association of Nigeria (REDAN), Aliyu Wamakko, said although what ICPC alleged might be happening, the developers involved were not members of the association.