N6.9b fraud: Ex-NSA finance director tells court Fayose’s company collected N2.2b for job not done 

 

A prosecution witness Mr Shuaibu Salisu in the trial of former Ekiti State governor Mr Ayodele Fayose on Friday told a Federal High Court sitting in Lagos that the sum of N2.2 billion was paid to Sivan Macnamara for supply of security infrastructure but the supply was not made.

Shuaibu Salisu who testified as the Economic and Financial Crimes Commission (EFCC) 14th witness further stated before the trial judge Justice Chukwujekwu Aneke that the said sum of N2.2 billion which was supposed to be retired after the purpose for which the payment was made was not retired up till the time he left the office.

The witness who was a Director of Administration and Finance in the office of the National Security Adviser from 2011 to 2015 was led in evidence-in-chief by the prosecution counsel Rotimi Jacobs (SAN), in the continuation of trial of Fayose over alleged fraud and money laundering.

At the resumed trial of the matter, Rotimi Jacobs (SAN) announced appearance for the prosecution, Mr Ola Olanipekun (SAN) appeared for the 1st defendant while Olalekan Ojo (SAN) announced appearance for the 2nd defendant.

Testifying before the court, the witness said that all payments being made in the office of the National Security Adviser (NSA) were supposed to be security activities and security infrastructure.

He further told the court the process of expenditure in the office of the NSA.

” Once the NSA gives approval for payment, we process the payment immediately.

“The payments are mainly for operational activities which are meant for security of the entire country.

The witness stated that when the approval for payment is done for a purpose, it is expected that there would be retirement when the payment is made.

He told the court that payment of mandates were raised by him as Director of Administration and Finance but under the the instruction of NSA.

He said that the sum of N2.2 billion was paid into the account number of Sivan Macnamara in Diamond Bank which the NSA gave him.

The witness said that the NSA did not tell him the purpose for which the payment was made but from the mandate raised, the purpose stated therein was payment for physical security infrastructure.

“After I raised the payment mandate according to NSA instruction, I will sign my own part as signatory B, after my signature I send to NSA for final signature which is his approval, after which I take the mandate to accounts for payment.

In answer to what happened to the mandate before he left office, the witness said; ” the payment was made to my own knowledge to Sivan Macnamara.

“There was supposed to be a retirement after the purpose for which the payment was made was uplifted. It was supposed to be retired. Up till the time I left office it was not retired.

“For this particular contract, there was no supply of security infrastructure ” the witness said.

He identified exhibit S.1 dated June 13, 2014 as a payment made to Sivan Macnamara to the tune of N2billion.

In another question, the witness told the court that before he left office, he was not in a position to know whether the amount was retired after the payment. He added that only the NSA and the Permanent Secretary Special Secretary’s office (SSO)would be able to say whether the amount was returned or not.

Under cross-examination by Ola Olanipekun, on whether the amount was paid into the account of the beneficiaries, the witness said that the money was paid into the bank account of the beneficiaries.

When asked whose responsibility it was to determine the beneficiaries?

“It is the responsibility of the NSA to determine most of the beneficiaries.

Did the NSA informed you on what the N2.2 billion was for?

“No the NSA never informed me what the N200million and the N2billion were for.

“The NSA did not complain to me about these payments .

Under cross-examination by Olalekan Ojo, on the need for retirement of funds once they have been disbursed, the witness said; “In relation to the retirement of funds issued to the recipients, once money is disbursed to the recipient, he is expected to bring receipts of what he was asked to supply with memo attached to it while returning such amount ”

The witness stated that the financial regulations apply not only to public/civil servants but also to non civil servants.

“All payments made must be retired as others with the receipt of payment attached.

Meanwhile, Justice Aneke granted the application of Fayose seeking leave of the court to travel outside Nigeria for medical examination and /or treatment.

In the application, Fayose prayed for an order of the court granting him leave to travel outside Nigeria for medical examination and /or treatment at all times as the exigency of his health shall require without prejudice to the dates of his trial sessions before the court.

The application was not opposed by the prosecution.

The matter was subsequently adjourned to October 17 and 18 for continuation of trial.

Fayose is being prosecuted by the Economic and Financial Crimes Commission (EFCC) over N6.9billion fraud and money laundering charges.

He was first arraigned on October 22. 2018, before Justice Mojisola Olatoregun, alongside his company, Spotless Investment Ltd, on 11 counts charge bordering on fraud and money laundering offences.

He had pleaded not guilty to the charges and was granted bail on October 24, 2018, in the sum of N50 million with sureties in like sum.

According to the charge, on June 17, 2014, Fayose and one Abiodun Agbele were said to have taken possession of the sum of N1.2 billion, for purposes of funding his gubernatorial election campaign in Ekiti, which sum they reasonably ought to have known formed part of crime proceeds.

Fayose was alleged to have received a cash payment of the sum of five million dollars, from the then Minister of State for Defence, Sen. Musiliu Obanikoro, without going through any financial institution.

He was also alleged to have retained the sum of N300 million in his account and took control of the aggregate sums of about N622 million which sum he reasonably ought to have known formed part of crime proceeds.

Fayose was alleged to have procured De Privateer Ltd and Still Earth Ltd, to retain the aggregate sums of N851 million which they reasonably ought to have known formed part of proceeds of crime.

Besides, the defendant was alleged to have used the aggregate sums of about N1.6 billion to acquire properties in Lagos and Abuja, which sums he reasonably ought to have known formed part of crime proceeds.

He was also alleged to have used the sum of N200 million, to acquire a property in Abuja, in the name of his elder sister Moji Oladeji, which sum he ought to know also formed proceeds of crime

The offences contravene the provisions of Sections 15(1), 15 (2), 15 (3), 16(2)(b), 16 (d), and 18 (c) of the Money Laundering Prohibition Act 2011.