Connect with us

Banking Sector

Federal High Court Orders Forfeiture of $1.4M Linked to Ex-CBN Governor Emefiele

Published

on

Godwin Emefiele

On Wednesday, the Federal High Court in Lagos ordered the interim forfeiture of $1,426,175.14 linked to the former Governor of the Central Bank of Nigeria (CBN), Godwin Emefiele.

Justice Ayokunle Faji issued the order following an ex parte application by the Economic and Financial Crimes Commission (EFCC).

The EFCC, represented by counsel Bilikisu Buhari-Bala, argued that the funds were reasonably suspected to be proceeds of unlawful activities connected to Emefiele, who is currently facing multiple criminal trials.

Justice Faji directed the EFCC to publish the interim forfeiture order in a national newspaper, thereby inviting any interested parties to appear before the court within 14 days to contest the forfeiture.

According to the EFCC’s investigator, David Jayeoba, credible intelligence led to the discovery of the funds in a bank account.

Jayeoba’s affidavit detailed how, between 2021 and 2022, directors of Donatone Limited—Uzeobo Anthony and Adebanjo Olurotimi—allegedly collected bribes on behalf of Emefiele to facilitate foreign exchange approvals during a period of forex scarcity.

“Payments totaling $26,552,000 were made to Donatone’s accounts, with significant transactions recorded on specific dates in 2021 and 2022,” Jayeoba revealed.

The funds were reportedly laundered through a foreign account in Mauritius before being returned to Nigeria. The balance in the account, currently $1,426,175.14, is now subject to forfeiture.

The EFCC’s application cited Section 17 of the Advance Fee Fraud and Other Related Offences Act, 2006, which empowers the court to order the forfeiture of funds suspected to be proceeds of crime.

The EFCC contended that the funds should be forfeited to the Federal Government as proceeds of unlawful activities.

Justice Faji’s order for interim forfeiture is part of a broader crackdown on financial misconduct linked to Emefiele.

Just days earlier, Justice Yelim Bogoro of the same Federal High Court ordered the interim forfeiture of $4.7 million, N830 million, and properties also linked to the former CBN governor.

Emefiele is currently facing several charges, including procurement fraud, unauthorized redesign of the naira notes, and forgery of the former President Muhammadu Buhari’s signature to allegedly divert funds from the CBN.

The court’s decision underscores the Nigerian government’s intensified efforts to combat corruption and financial crimes.

The EFCC’s success in securing these interim forfeiture orders highlights its commitment to holding high-profile individuals accountable and recovering illicitly obtained assets.

The case is scheduled for a final forfeiture hearing on June 25, where further arguments will be presented, and interested parties will have the opportunity to contest the interim forfeiture order.

The outcome of this hearing could set a precedent for similar cases involving financial misconduct by public officials.

Is the CEO/Founder of Investors King Limited. A proven foreign exchange research analyst and a published author on Yahoo Finance, Businessinsider, Nasdaq, Entrepreneur.com, Investorplace, and many more. He has over two decades of experience in global financial markets.

Continue Reading
Comments

Banking Sector

Guaranty Trust Holding Plans N500 Billion Share Offering

Published

on

Guaranty Trust Holding Company Plc (GTCOPLC) has announced plans to raise up to N500 billion through a new share offering, according to a preliminary prospectus filed with the Securities and Exchange Commission (SEC).

This move aims to support the company’s ambitious growth and expansion strategy.

GTCOPLC’s proposed offering will involve the subscription of ordinary shares of 50 kobo each, although the exact number of shares and the price range are yet to be determined.

The offering includes a concurrent filing of a preliminary universal shelf registration statement, allowing the company to issue various types of securities, potentially raising up to $750 million in multiple currencies.

Purpose of the Offering

The funds raised from this offering will primarily be allocated towards:

  1. Business Growth and Expansion: GTCOPLC plans to invest significantly in technology infrastructure to enhance its current operations. Additionally, the company intends to establish new subsidiaries and make selective acquisitions of non-banking businesses.
  2. Recapitalization of Guaranty Trust Bank Limited: Part of the proceeds will be used to strengthen the capital base of its banking subsidiary.

Target Investors and Structure

The offering is structured to attract both institutional and retail investors. It will be divided into two main tranches:

  • Nigerian Tranche: An institutional and retail offering aimed at eligible investors within Nigeria.
  • International Tranche: A private placement targeting qualified institutional buyers outside Nigeria.

Listing and Trading

GTCOPLC has also filed an application with the Nigerian Exchange Limited (NGX) to list and admit the new ordinary shares for trading on the NGX Official List.

The company anticipates opening the offering by July 2024.

Financial Strategy

The universal shelf registration will enable GTCOPLC to issue a variety of securities over time, with a total value of up to $750 million (or its equivalent in Nigerian Naira).

This approach provides the company with flexibility to raise capital in different markets during the programme’s validity period. The current proposed offering will be the first issuance under this new programme.

Regulatory Compliance

GTCOPLC emphasized that this notice does not constitute an offer of securities for sale in the United States or to U.S. persons, as defined under Regulation S of the U.S. Securities Act of 1933.

The offered shares have not been, and will not be, registered under the U.S. Securities Act or any state securities laws, and cannot be sold in the United States without proper registration or an applicable exemption.

Continue Reading

Banking Sector

Fidelity Bank Launches N127.1bn Public Offer and Rights Issue on June 20

Published

on

fidelity bank - Investors King

Fidelity Bank Plc, Nigeria’s sixth-largest bank, is set to open its public offer and rights issue to investors on Thursday, June 20, 2024.

In preparation for this significant financial event, Fidelity Bank will host a “Facts Behind the Offer” presentation at the Nigerian Exchange Group (NGX) on the same day.

This presentation is expected to provide detailed insights into the bank’s strategy and the opportunities presented by the public offer and rights issue.

Under the rights issue, Fidelity Bank will offer 3.2 billion ordinary shares of 50 kobo each at N9.25 per share. These shares will be available to existing shareholders in the proportion of 1 new ordinary share for every 10 ordinary shares held as of January 5, 2024.

In addition to the rights issue, the bank will also offer 10 billion ordinary shares of 50 kobo each to the general investing public at N9.75 per share. This dual approach is part of the bank’s comprehensive strategy to raise a total of up to N127.1 billion.

The acceptance and application period for the rights issue and public offer will commence on Thursday, June 20, and close on Monday, July 29, 2024.

This timeline provides investors ample opportunity to participate in the bank’s capital expansion.

Fidelity Bank has engaged Stanbic IBTC Capital as the lead issuing house for the combined offer. The joint issuing houses include Iron Global Markets Limited, Cowry Asset Management Limited, Afrinvest Capital Limited, FSL Securities Limited, Futureview Financial Services Limited, Iroko Capital Market Advisory Limited, Kairos Capital Limited, and Planet Capital Limited.

These firms will play a crucial role in managing the offer and ensuring its success.

The bank’s initiative to raise N127.1 billion is seen as a strategic move to bolster its capital base and ensure compliance with the CBN’s revised capital requirements, which were introduced on March 28, 2024.

This capital raise is expected to enhance the bank’s capacity to support its growing customer base and expand its operations across Nigeria and beyond.

In recent years, Fidelity Bank has demonstrated robust financial performance and growth, positioning itself as a key player in Nigeria’s banking sector.

The successful completion of this public offer and rights issue will further solidify its standing and enable it to pursue new opportunities in the competitive financial landscape.

Investors and stakeholders are keenly anticipating the outcome of this capital-raising exercise, which is poised to mark a significant milestone in Fidelity Bank’s journey toward sustained growth and stability.

Continue Reading

Banking Sector

Fidelity Bank Plc Promotes 11% of Staff Following Record Financial Performance

Published

on

Leading financial institution, Fidelity Bank Plc has announced the promotion of 11% of its workforce, a testament to the exceptional performance and dedication of its employees.

This significant move follows the release of the bank’s 2023 full year Audited Financial Statements, which reported an impressive 131.5 percent growth in Profit Before Tax (PBT) to N124.26 billion.

The recent promotions span every level within the bank, reflecting Fidelity Bank Plc’s commitment to recognizing and rewarding excellence across its entire organization.

This strategic initiative has garnered positive reactions from staff members, who see it as a validation of their hard work and contribution to the bank’s remarkable financial achievements.

In addition to the promotions, Fidelity Bank Plc has also concluded arrangements to raise a total of N127.1 billion through a Rights Issue to existing shareholders and a Public Offer. This move is part of the bank’s broader strategy to strengthen its capital base, support future growth, and enhance shareholder value.

Fidelity Bank Plc’s impressive financial performance and the subsequent employee promotions highlight the bank’s robust operational strategy and its commitment to fostering a rewarding work environment. By investing in its people and ensuring their career growth, the bank continues to build a motivated and high-performing workforce.

Ranked as one of the best banks in Nigeria, Fidelity Bank Plc is a full-fledged customer commercial bank with over 8.5 million customers serviced across its 251 business offices in Nigeria and the United Kingdom as well as on digital banking channels.

The bank has won multiple local and international awards including the Export Finance Bank of the Year at the 2023 BusinessDay Banks and Other Financial Institutions (BAFI) Awards, the Best Payment Solution Provider Nigeria 2023 and Best SME Bank Nigeria 2022 by the Global Banking and Finance Awards; Best Bank for SMEs in Nigeria by the Euromoney Awards for Excellence 2023; and Best Domestic Private Bank in Nigeria by the Euromoney Global Private Banking Awards 2023.

Continue Reading
Advertisement




Advertisement
Advertisement
Advertisement

Trending