Nwosu, ex-FinBank boss, others used fake customers’ names to acquire N18bn Shares

Okey Nwosu, former Managing Director of FinBank PLC

The leaders of the defunct FinBank are undergoing trial for corruption charges.
A former Managing Director of FinBank PLC (now part of First City Monument Bank), Okey Nwosu, and three other directors of the bank, used spurious names to purchase shares worth N18 billion from Springboard Limited, a prosecution witness has alleged.

The witness made this allegation, Tuesday, at the ongoing trial of the accused persons at the Lagos High Court sitting in Ikeja and presided over by Lateefat Okunnu.

The three other directors being prosecuted by the Economic and Financial Crimes Commission, EFCC, alongside Mr. Nwosu are Dayo Famoroti, Danjuma Ocholi and Agnes Ebubedike.

The witness, Sabo Yaro, an operative of the EFCC, told the court that the Federal government in 2009 set up a task force comprising the EFCC, Central Bank of Nigeria, State Security Service, Nigeria Deposit Insurance Corporation and the police to look into the management of some banks and discovered that the accused persons used their positions to  debit account of FinBank to the tune of N18 billion. The accused persons, the witness alleged, credited same to Springboard Limited to purchase shares for bank customers.

Led in evidence by EFCC counsel, Rotimi Jacobs, Mr. Yaro said it was discovered in the course of investigations that the customers for whom the shares were purportedly purchased for were not customers of the bank and that the addresses they gave as offices did not exist. He said they also got confirmation from the bank through a letter that the companies for which the shares were bought are not real customers of the bank.

Mr. Jacobs tendered a 225 page report of the CBN and NDIC to the court which was the findings of the team that investigated the bank.

The report was admitted as exhibit by the court.

Justice Okunnu adjourned the matter to Wednesday for continuation of hearing.


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