Matilda Omonaiye/
A prosecution witness on Wednesday told a Special Offences Court sitting in Ikeja, Lagos, that former Managing Director of the Asset Management Corporation of Nigeria (AMCON), Ahmed Lawan Kuru, allegedly diverted funds belonging to Arik Air to offset insurance liabilities owed by Umza Airline.
The witness, Bawal Usman Kaltungo, an Assistant Director with the Economic and Financial Crimes Commission (EFCC), made the disclosure while being led in evidence by the Commission’s prosecutor, Dr. Wahab Shittu, before Justice Mojisola Dada.
Kuru, alongside other defendants, is standing trial over an alleged fraud involving N76 billion and $31.5 million. The defendants are facing charges bordering on conspiracy, stealing, abuse of office and making false statements in connection with the alleged fraudulent conversion of assets belonging to the defunct Arik Air Limited.
Other defendants in the matter include Kamilu Alaba Omokide, Receiver Manager of Arik Air; Captain Roy Ilegbodu, Managing Director of Arik Air; Union Bank of Nigeria; and Super Bravo Limited.
Testifying before the court, Kaltungo said investigations by the EFCC revealed that Arik Air’s funds were used to pay insurance obligations of Umza Airline.
“In the course of investigation, we discovered that Arik Air’s money was used to pay the insurance of Umza Airline. We invited Umza Airline, which confirmed the development. We also found that Umza Aviation Services had commenced repayment, but had not concluded it as at the time of investigation,” the witness said.
Kaltungo further told the court that investigators discovered that AMCON opened several accounts for Arik Air and assigned an account officer to manage the airline’s loan portfolio.
According to him, the account officer was invited and subsequently provided a statement of the loan account, signed by himself and one Justin Akune, which was submitted to the Commission with a covering letter.
He said the EFCC sought to determine whether the Receiver Manager was effectively performing the role for which he was appointed but discovered that he was not.
The witness also disclosed that during the course of investigation, the first defendant, Omokide, petitioned the Attorney-General, alleging harassment and seeking a halt to the probe.
He stated that the petition contained 39 attachments and was accompanied by a legal opinion reportedly written by the Attorney-General and signed by the Solicitor-General.
“My head of the investigative team received copies of the petition. It was essentially requesting that the investigation be stopped,” Kaltungo told the court.
Counsel to the defence indicated that they would reserve their objections until the address stage.
Justice Dada subsequently adjourned further hearing in the matter until today.
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