Umar Mohammed in a wheelchair | File photo
A federal high court on Lagos has ordered the final forfeiture of 245,568,137 shares, valued at over N5 billion, linked to Umar Mohammed, former group managing director of Nigerian Army Properties Limited (NAPL), and Kayode Filani, a businessman.
Delivering the ruling on Tuesday, Dehinde Dipeolu, the presiding judge, granted the request of the Economic and Financial Crimes Commission (EFCC), which claimed that the shares were purchased with proceeds of crime.
Hanatu Kofanaisa, counsel to the EFCC, told the court that Mohammed had been convicted by a special court martial on 14 out of 18 counts bordering on stealing and related offences.
She added that all statutory conditions for final forfeiture had been met, including the publication of the interim order in a national newspaper, with no objections filed against the application.
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After reviewing the motion, Dipeolu held that the EFCC’s case was meritorious and ordered the shares permanently forfeited to the federal government for the benefit of NAPL.
The application was filed under section 44(2)(b) of the 1999 Constitution and section 17 of the Advance Fee Fraud and Other Fraud Related Offences Act, 2006.
HOW THE SHARES WERE ACQUIRED
The forfeited assets were held in accounts operated by Rowet Capital Management Limited and Resort Securities & Trust Limited, under Awhua Resources Limited, a company linked to Mohammed.
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They include stakes in some of Nigeria’s biggest companies such as Cadbury Nigeria, Conoil, Dangote Sugar, Eterna, Flour Mills, Japaul Gold, NASCON, Oando, University Press, Vitafoam, NAHCO, PZ Cussons, Transcorp, Okomu Oil, May & Baker, Ecobank, Union Bank, and Unilever.
According to the EFCC, Mohammed abused his position as head of NAPL by selling properties belonging to the Nigerian Army, and diverting the proceeds into share acquisitions.
In an affidavit deposed by investigator Nwike Fortune, the commission said: “Preliminary investigations revealed that proceeds of the sales of the properties were used in the acquisition of shares in different companies now sought to be finally forfeited.”
“The stocks contained in the attached schedules were acquired with part of the funds fraudulently obtained by Maj. Gen. Mohammed’s unlawful activities whilst managing director of Nigerian Army Properties Limited.”
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To conceal the origin of the funds, the commission added that Mohammed used Awhua Resources to acquire the shares through accounts operated by Rowet Capital Management Limited and Resort Securities & Trust Limited.
Tuesday’s order comes after the EFCC secured the forfeiture of five properties linked to Mohammed, following his conviction by a court martial.
