EFCC hands over recovered N802.4m to First Bank after system glitch fraud

The Economic and Financial Crimes Commission (EFCC) says it has handed over N802.42 million recovered from a fraud suspect to First Bank Nigeria Plc, following an investigation into the unlawful diversion of the bank’s funds.

The funds were handed over by the EFCC’s Benin Zonal Directorate on Monday, in bank drafts, according to a statement sent to PREMIUM TIMES on Tuesday by the commission’s spokesperson, Dele Oyewale

First Bank had petitioned the EFCC, alleging that a system glitch led to the erroneous crediting of over N1.3 billion into the account of one of its customers, Ojo Kingsley.

Investigations by the commission showed that upon receiving the funds, Mr Kingsley transferred substantial amounts into the bank accounts of his mother, Itohan Ojo, and his sister, Edith Osaretin.

The commission also found that part of the money was used to complete a personal building project and to fund what it described as a “new flamboyant lifestyle.”

Following the tracing of the funds across multiple accounts, the commission recovered N802.42 million, which was subsequently returned to the bank.

Action in line with EFCCs mandate

While handing over the recovered sum, the acting director of the EFCC’s Benin Zonal Directorate, Sa’ad Hanafi Sa’ad, a deputy commander, said the action was in line with the commission’s statutory responsibilities.

“The EFCC Establishment Act empowers us to trace and recover proceeds of crime and restitute the victim. In this case, First Bank was the victim and that is exactly what we have done,” Mr Sa’ad said.

“We will continue to discharge our duties to ensure that fraudsters do not benefit from fraud and that economic and financial crimes are nipped in the bud.”

Bank commends EFCC

Receiving the drafts on behalf of the bank, Olalere Ajayi, business manager of First Bank in Benin, commended the commission for what he described as its swift and professional handling of the matter.

Mr Ajayi expressed the bank’s gratitude and described the EFCC as “one of Nigeria’s most effective and reliable institutions.”

The EFCC said Mr Kingsley and other suspects connected to the case have been charged to court for stealing.

Background

PREMIUM TIMES last year reported how the EFCC’s asset recovery efforts, including cases involving bank-related frauds and court-ordered forfeitures yielded results.

This newspaper has also reported how the commission said it recovered hundreds of billions of naira and millions of dollars in proceeds of crime under its current leadership, while also securing convictions and restituting victims.

The commission has maintained that restitution remains a core objective of its enforcement strategy, particularly in financial crimes involving banks and corporate institutions.