Categories: Banking Sector

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

Samed Olukoya

Is the CEO and Founder of Investors King Limited. He is a seasoned foreign exchange research analyst and a published author on Yahoo Finance, Business Insider, Nasdaq, Entrepreneur.com, Investorplace, and other prominent platforms. With over two decades of experience in global financial markets, Olukoya is well-recognized in the industry.

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