N33b Money Laundering: Court Grants Mompha N100m Bail
Justice Mohammed Liman of the Federal High Court in Lagos on Friday granted bail to an alleged fraudster, Ismail Mustapha, popularly called Mompha.
Justice Liman admitted Mompha, who is standing trial before him over allegations of laundered the sum of N33 billion, to bail in the sum of N100 million with one surety in like sum.
The judge also held that the surety must have a landed property within the Court’s jurisdiction and that its title documents must be verified by relevant Lands authority.
The court further directed that the surety is to be verified by the Court’s Deputy Chief Registrar (DCR).
As part of the conditions for the bail, Mompha is to deposit his passport with the Court’s Deputy Chief Registrar and must report to the EFCC’s Lagos office every 14 days.
The judge said the condition is to ensure that Mompha did not travel out of the country till the determination of the charge against him.
The anti-graft agency had alleged in the charge signed by one of its counsel, Rotimi Oyedepo, that Mompha laundered the funds through a firm, Ismalob Global Investment Ltd, between 2015 and 2018.
Islamob Global Investments is the second defendant in the charge.
The EFCC claimed that the funds were moved in tranches of N18,059,353,413 billion and N14,946,773,393.00 billion.
He is facing a 14-count-charge bordering on operating BDC without CBN authorisation, failure to comply with the guidelines of the Federal Ministry of Industry, Trade and Investment while carrying out unlawful negotiation of foreign exchanged.
The offences according to the EFCC contravened sections 18(c) and 15(2)(d) of the Money Laundering Prohibition Act,2011 as amended and punishable under section 15 (3) of the same Act.
He had pleaded not guilty to all the counts.
Earlier before the ruling, the Economic and Financial Crimes Commission (EFCC) had opened its case by calling three witnesses.
The witnesses are: Nnenna Ezekannegha, Senior Manager Customers Services, Trade and Exchange Department of Central Bank of Nigeria (CBN), a banker, Peter Ademola Adegoke and a businessman, Okafor Ikenna Ignatius.
In her evidence, the CBN official, told the court that the CBN has no record of licensing Ismalob Global Investment Limited as a Bureau de Change operator.
She said for the CBN to licence a firm as a BDC operator, such firm must show evidence of incorporation as a limited liability company by the Corporate Affairs Commission.
She explained that all licensed BDCs have a transaction limit of $5,000.
When the defence counsel, Oyewole (SAN) asked her whether it was unlawful for an individual who has foreign currency in his domiciliary account to give foreign currency to a friend in exchange for naira, the CBN official said it would not be unlawful if it was not a commercial transaction.
She said it becomes a commercial transaction if it involves making profit and it would be illegal.
Also testified in the case, Adegoke, a Compliance Oficer with a new generation bank, told Justice Liman that Ismalob Global Investment Limited has a bank account domiciled in his bank, which Mompha was the sole signatory to.
Reading from the firm’s statement of account, Adegoke, who was led in evidence by the Oyedepo, told the court that between 2015 and October 2019, there was a total inflow of N18.5 billion into the account, while a total of about N18bn moved out within the same period.
He said the account presently had a balance of N598,000.
Under cross-examination by Mompha’s counsel, Oyewole (SAN), Adegoke affirmed that his bank would not involve itself in anything unlawful.
Asked whether the bank at anytime reported transactions in the firm’s account as being suspicious, Adegoke said, “Yes, we reported to the NFIU (Nigeria Financial Intelligence Unit).”
Asked what the NFIU’s response was, the witness said, “They (NFIU) don’t need to respond to us.”
Asked if there was any sanction following the report to the NFIU, Adegoke said he would not know.
When Oyewole (SAN) insisted that as a Compliance Officer, who is responsible for the freezing of bank accounts at the requests of anti-graft agency, he should know if there was a sanction, Adegoke explained that the Bank has a desk that handles reports to the NFIU and “I can’t say I know about all sanctions”.
Also, an Edo State based BDC operator, Ikenna Okafor, who testified as the third prosecution witness, told the court that he did business with Ismalob Global Investment Limited through “one of its directors, Alhaji Ahmadu Mohammed.”
Okafor said Mohammed used to come to his base in Benin, Edo State, to buy Euro in the name of Ismalob Global Investment Limited.
“After negotiation with Ismalob Global Investment Limited through Alhaji Mohammed, he usually makes payment into my account through Ismalob,” Okafor said.
Under cross-examination by Oyewole, Okafor said he met Mompha for the first time three days ago at the EFCC office in Ikoyi.
The BDC operator said he was himself detained for seven days by the EFCC before being released on an administrative bail during the week.
Justice Liman adjourned further proceedings till January 8, 2020.
