The glaring case
of the N11 billion falsification of accounts and capital market fraud leveled
against the current governor of Anambra State, Chief Willie Obiano who was
formally Fidelity Banks’ Director of Business Services, later executive
Director and his cohorts in the top management brass of the bank that included
Mr. Reginald Ihejiahi (former Managing Director of Fidelity), Mr. Sam Obijiaku
( former Director of Operational Services), Mr. Boye Ogunmolade ( Chief
Inspector), Mr. Ikemefuna Mbagwu (former Director of Shared Services) by Mr.
Frank Ogboko, a former employee in the banks’ Internal Audit and Cost Control
of the bank stands out.
The current governor of Anambra state,
Chief Willie Obiano later became the Executive Director at Fidelity Bank when
the fraud was carried out. If the agenda of Mr. President is anything to go by,
Chief Willie Obiano should vacate his seat as the governor since he was
involved in fraud before he became a governor.
The anti-corruption stance of the present
government of President Goodluck Jonathan will be nothing but a merry wild
goose chase if nothing is done to hold past, present and aspiring leaders
accountable for any form corrupt practices they committed, both in the
government and in the corporate field.
Mr. Ogboko’s quest to rectify this huge
financial anomaly orchestrated by the then Fidelity Bank top management landed
him into untold inhumane treatment meted to him by the powers that be in their
bid to stifle him and to make sure their corrupt deeds did see the light of
day.
He has deposited with us hundreds of pages
of the documents which heavily indicts the aforementioned former directors of
the bank to the tune of N6.3 billion in falsification of accounts and in the
N4.7 billion in the capital market fraud, in which the involved parties tried
to eliminate Mr. Frank Ogboko and if possibly shut him up for good.
According to Mr. Ogboko, who was alarmed
when he noticed the imbalance in the account books, brought it to the attention
of his immediate boss, Mr. Boye Ogunmolade, the former Chief Inspector. This
singular act which he did with good intentions turned the ire of the corrupt
management against him. His only crime was to report the questionable
transactions in the banks’ financial system.
“My appointment was terminated because I
discovered a huge fraud perpetrated by the top officers of Fidelity Bank”, Mr.
Ogboko said.
“When I discovered this fraud, I alerted
Mr. Ogunmolade. He took offence and reported the matter to the M.D (Mr.
Ihejiahi). They removed me from the unit and transferred me to the Bank’s
Corporate Services Unit. That was in January 2006.
“In November 17 2008, my appointment was
terminated.
“I didn’t bear grudges; I accepted it in
good faith.”
According to Mr. Ogboko, he thought that
the victimization culminating from that issue would end with his terminated
appointment as a staff of Fidelity bank, but he was dead wrong. The concerned
parties still pursued the issue in a bid to intimidate him into surrendering
the indicting documents involving them in the fraud.
“When I left, they started trailing me.
Sometime in 2009, the SSS (State Security Service) came to my house. They
invited me to see the O.C operations of the SSS at Magodo, Lagos.
“When I got there, he told me ‘Ehee, you
have information that will implicate Fidelity Bank, please give to me so that
everything will be over.’ I told him that I don’t have information that what I
have is my termination letter and the one they used in paying me my gratuity.
He said, ok, that the matter is over and that I should go.
“As I got home, I started having visits
from strange people, and people I don’t know hovering around my area. These
visits got to a point that in March 2010, I wrote a ‘Threat to Life and
Attempted Assassination’ petition to the CIB (Criminal Investigation Bureau).
“They invited the bank people and their
representative came. The CIB tried to make peace between us and that we should
consider the matter over. I said ok, in as much as they did not threaten my
life. But because they know I have proof regarding to the evil they did, they
did not relent. They continued sending people to me.
In March 2011, I wrote to the then
Inspector General of Police, Mr. Hafiz Ringim, they received and acknowledged
my petition. I took both papers (the N6.3 billion of falsified accounts and the
N4.7 billion of the capital market fraud). I have the acknowledged copies of my
petition to the IG.
“I thought the issue would be over at the
IGs’ place, but they referred it to the SFU (Special Fraud Unit). They even
invited the bank people at the SFU, but surprisingly, nothing came out of it.
“When i came back to Lagos on June 3rd
2011, I received a phone call and the caller said they were calling from SFU in
Lagos that the matter reported to the headquarters is now with them. I went to
answer them.
“When I got there, they told me, ‘Francis,
you are under arrest.’ I asked them what for? They said it was for blackmailing
Fidelity Bank. I tendered the documents I had to them. I told that if a fraud
is committed in an organisation, even if you work for them or not, you can
prosecute them whether you are a shareholder or not. I am a shareholder of
Fidelity bank. I told them I have the locus standi to prosecute them.
“I showed them some documents and they
said I should go. One of the officers there suggested that I should take the
matter to the EFCC.
“On June 22, I wrote a petition to the
EFCC and they acknowledged it. They started working on the matter. I was even
assisting them in their investigations. Sometimes they would call me to comeand
give them information and I went.
“Surprisingly in August 11 2011, one Mr.
Muazu at the EFCC called me that I should come and explain thing to him. I
went, not knowing that he already kept some policemen in his office. I got
there and he said to me, ‘Francis, SFU people have been looking for you.’ I was
surprised, I asked him if it wasn’t him that called me that I should come and
explain some things to him. He said, ‘No no no, go and answer them.’
“Before I knew it the policemen came out
from inside a room and arrested me. They took me to the Magistrate Court at
Tinubu. It became very obvious that a lot of money had exchanged hands in the
bank’s management bid to silence me.
“There at the court, they didn’t even
allow me to say anything because there was no lawyer. My lawyer was not there.
“They court later gave me bail conditions
that we could not fulfill in even in two months.
“I stayed in Ikoyi prisons for almost a
year. They wanted to start the case and hear it on October 17, 18, 19 and 20
and finish it. The day the case was mentioned at the court, there was no other
case listed for that day. When I got to the court, I debriefed the lawyer we
were using there because I saw that he was compromised.
“I got another lawyer in the court there.
I asked them to give the lawyer time to study the case, but he Magistrate said
no, he gave us 30 minutes insisting that we must continue the trial that day. I
declared my lack of confidence in the magistrate’s ability to try the matter. I
opted for the case to be tried at the High Court. That was how the case stopped
there.
“I stayed at the Ikoyi Prisons until my lawyer
went to the High Court and got my bail and I came out.”
Mr. Ogboko like every other average
Nigerian cannot help but wonder at the level of impunity in the system. One
move to do the right thing is met with unwarranted hostilities and wickedness
from people who refuse to adhere to stipulated corporate laws and guidance.
Citizens who report crimes in Nigeria
often do so at the expense of their lives and that of their families. They are
threatened and sometimes maimed or silenced forever. According to Mr. Frank
Ogboko, getting bail was just the beginning as the aggrieved parties continued
threatening him and sending people to do him harm.
“Even though I was released on bail, they
sent assassins to my house, to come and look for me, but thank God I was not in
the house that day. After that I had to relocate with my family.”
It is disheartening to note that a huge
fraud (ELEVEN BILLION NAIRA) perpetrated to achieve material gains was
discovered and reported to appropriate regulatory bodies but no action was
taken. Rather, the good citizen was detained unjustly at Ikoyi Prison for
nearly one year.
It is on record that the present
administration led by Dr. Ebere Azikiwe Jonathan is working tirelessly to
ensure that Nigeria is free from corruption but some of the people in his
Economic Management Team are involved in one fraudulent activity or the other.
Mr. Peter Obi, the former governor of Anambra state and a member of the
Economic Management Team was the Chairman of Fidelity Bank when the fraud was
carried out by the Senior Management of the Bank. Ogboko said he has evidences
that some cash were paid into the account of Next International Ltd which has
Peter Obi as the Chairman of the company then. This cash deposit was used by
the company to buy Fidelity Bank Shares.
The Nigerian Police Force and the Economic
and Financial Crimes Commission should live up to expectations. There are no
sacred cows in the system. All individuals are equal before the Almighty God.
Justice should prevail in all matters. The idea of not carrying out any
investigation considering the huge amount involved in the fraud by both the
Nigerian Police Force and EFCC is worrisome.
We know that Mr. President will not
condone someone involved in fraud in his Economic Management Team. Also, Chief
Willie Obiano should vacate his seat honourably.
The N4.7 billion
Fidelity Bank Fraud under Governor Willie Obiano
Last week, we made public the glaring case
of falsification of accounts and capital market fraud to the tune of N11
billion leveled against the Fidelity Bank. Those implicated in the scam
includes the current governor of Anambra State, Chief Willie Obiano who was
then Fidelity Banks’ Director of Business Services and later Executive Director
and his cohorts in the top management brass of the bank that included Mr.
Reginald Ihejiahi (former Managing Director of Fidelity), Mr. Sam Obijiaku (
former Director of Operational Services), Mr. Boye Ogunmolade ( Chief
Inspector), Mr. Ikemefuna Mbagwu (former Director of Shared Services).
Two arms of the fraud stands out:
1. Deceit (Fraud) By Officials Of Fidelity
Bank Plc During The Bank Private Placement Offer Of 2004 And The Initial Public
Offer Of 2005 To The Tune Of N4.7billion.
2. Bank Fraud Perpetrated By To Management Of
Fidelity Bank Plc To The Tune Of N6.3billion [This happened when Obiano was the
executive director of the bank]
These facts was revealed to us by a
whistle-blower, Mr. Frank Ogboko, a former employee in the banks’ Internal
Audit and Cost Control of the bank whose quest to rectify this huge financial
anomaly orchestrated by the then Fidelity Bank top management landed him into
untold inhumane treatment meted to him by the powers that be in their bid to
stifle him and to make sure their corrupt deeds did not see the light of day.
Today we publish copy of a petition
written by Mr Ogboko to the Inspector General of Police during his
incarceration and persecution for telling the truth and standing by his
conscience.
Unfortunately, the then IGP did nothing
about the matter.
Next week we will publish details of
another BANK FRAUD PERPETRATED BY TO MANAGEMENT OF FIDELITY BANK PLC TO THE
TUNE OF N6.3billion around 2005.
But today, Please read the petition to the
IGP below. Note that enclosed with the petition were Appendixes which copies we
have seen detailing the fraud. The appendixes show how how fraudulent deposits
were made to some beneficiary accounts.
TO:
THE INSPECTOR GENERAL OF POLICE POLICE
HEADQUARTERS
ABUJA.
Dear Sir,
DECEIT (FRAUD) BY OFFICIALS OF FIDELITY
BANK PLC DURING THE BANK PRIVATE PLACEMENT OFFER OF 2004 AND THE INITIAL PUBLIC
OFFER OF 2005 TO THE TUNE OF N4.7billion.
It is worthy to mention that the feat
achieved by Fidelity Bank PLC during Bank’s Private Placement Offer in 2004 and
the Initial Public Offer of 2005 were done through fraudulent practices. As a
result of this, the public perceived Fidelity Bank as sound when the reverse is
the case.
In the two offers mentioned above, the
bank (through some designated officers) used depositors cash from the vault or
cash collected from other banks via cheque exchange and would pay same into the
account of a named beneficiary in another bank. That named beneficiary will
then use the money deposited in his favour to buy Fidelity Bank Shares.
The Branch of Fidelity Bank that paid the
cash into another bank will make entries as follows:
Debit: HEAD OFFICE BRANCH CUSTOMER ACCOUNT
Credit: BRANCH VAULT ACCOUNT.
At the Head Office, at the end of every
day, some officers will review the HEAD OFFICE BRANCH CUSTOMER ACCOUNT and make
the following entries:
Debit: BENEFICIARY’S LOAN ACCOUNT
Credit: HEAD OFFICE BRANCH CUSTOMER
ACCOUNT’
This will nil out the entry passed into
the Head Office Branch Customer Account.
A loan account has been created for an
individual/company who never applied for loan and whose loan was granted
without passing through the due process of Loan approval.
This is a forced loan and might not be
repaid since there is no credit analysis, no collateral and considering the
downward trend in share price, the shares when eventually sold might not be
able to settle the exposure.
The Head Office Branch Customer Account,
Account Number160370033, is an account opened to receive/monitor cash deposits
by Fidelity Bank Branches into accounts of a named beneficiary in another bank
during the Private Placement and Initial Public Offer Period. It is an account
created for fraudulent purpose.
APPENDIX 1 shows the instruction given by
the Divisional Head, Operations, Mr Sam Obijiaku, to Heads of Operations in the
regions. He instructed them to source for cash from their various regions and
pay into the account of some beneficiaries. The beneficiaries will in turn use
the cash deposited in their favour to buy Fidelity Bank shares.
The Heads of Operations in the regions
are:
-Henry Asiegbu for Onitsha Region
-Henry Ojiokpota for Abuja Region
-Theophilus Amadi for Port Harcourt Region
-Yomi Agbetola for Kano Region
These officers acted in line with the
instruction from their boss and the result is what is in
APPENDIX 2 — HEAD OFFICE BRANCH CUSTOMER
ACCOUNT. All the figures in this account are cash paid by various branches of
Fidelity Bank into accounts of named beneficiaries in other banks to enable the
beneficiaries buy Fidelity Bank Shares.
APPENDIX 3 shows a summary of cash
lodgements into accounts of beneficiaries to buy Fidelity Bank shares during
the Private Placement Offer in 2004 by Garki Branch, Abuja.
APPENDIX 4 shows some examples of cash
lodgements by various branches into accounts of beneficiaries to buy Fidelity
Bank Shares during the Initial Public Offer (IPO) of 2005. The reference is
linked to entries in the Head Office Branch Customer Account.
FRANCIS OGBOKO (Shareholder)
FRANCIS OGBOKO 26, Imala Street
Idimu – Lagos. 29 March, 2011
====
According to Mr. Ogboko, who was alarmed
when he noticed the imbalance in the account books, he brought it to the
attention of his immediate boss, Mr. Boye Ogunmolade, the former Chief
Inspector. This singular act which he did with good intentions turned the ire
of the corrupt management against him. His only crime was to report the
questionable transactions in the banks’ financial system.
“My appointment was terminated because I
discovered a huge fraud perpetrated by the top officers of Fidelity Bank”, Mr.
Ogboko said.
My Igboko stayed in Ikoyi prison for
almost a year until he was finally granted bail. Now he demands justice.
No comments:
Post a Comment