Court Orders Reps Member To Refund N150m, Proceed From Contract Scam, To FG

 

By Ayodele Oni

The Economic and Financial Crimes Commission (EFCC) has secured final forfeiture of the sum of N150 million to the federal government being proceed from kickbacks.

This followed a Federal High Court, (FHC) sitting in Abuja ruling which granted the final forfeiture of N150 million linked to a member of the House of Representatives, Nicholas Mutu, to the Federal Government.

The order was granted, in an application by the EFCC through the agency’s legal team led by Ekele Iheanacho (SAN).

The application was brought pursuant to Section 44(2) of the Constitution of the Federal Republic of Nigeria, 1999 and Section 17 of the Advance Fee Fraud Related Offences Act, 2006.

The court had earlier granted an interim order and also directed the publication of the order in a national newspaper.

The EFCC stated that when the publication was made, no sufficient cause was shown why the funds under the interim forfeiture should not be finally forfeited to the federal government.

The presiding judge, Justice J.O Abdulmalik, after considering the application, the objections, and various affidavits filed by counsel to Mutu and his company, Airworld Technologies Limited, ordered the final forfeiture of the said funds to the federal government.

The EFCC had presented the findings of its investigation to the court which revealed that Mutu, the lawmaker representing Bomadi/Patani Federal Constituency of Delta State, had agreed and received kickbacks totalling N400,159,689.63 from an NDDC consultant (Starline Consultancy Services), while serving as the House of Representatives Chairman on NDDC.

The EFCC explained that the funds were received and laundered through the Heritage Bank accounts of Mutu’s companies, Airworld Technologies Limited and Oyien Homes Limited.

The anti-graft agency submitted: “Mutu is not just a director in these companies, he maintains the highest shares in the companies, while the other shareholders and directors are his wife and members of his immediate family.

The NDDC consultant had approached Mutu’s committee to assist them recover debts owed by oil and gas companies operating in the Niger Delta region.

“The consultant had sought the assistance of the House committee to use its powers to compel the oil and gas companies to pay up their debts.

Following the intervention of Mutu’s Committee, in this regard, the oil and gas companies were invited to the House where the consultants were able to meet with them and reconcile figures.

The Committee issued payment demands notices to the companies and eventually, over N100 billion, was recovered for NDDC.

“While the consultant received their fees, Mutu’s companies received part of the funds.

While the EFCC investigation was ongoing, Mutu procured the NDDC consultant to issue a subcontract letter to his company Airworld Technology Ltd so as to cover up the kickback payments he received.

“This was done to deceive the investigation and pervert the course of justice.”

The commission disclosed that Mutu returned the sum of N150 million, but later claimed he did not do so voluntarily.

The lawmaker was also said to have claimed that the funds received by his companies were based on lawful transactions relying on the purported sub contract documents prepared during investigation.

“This is even when the consultant that made the payment had clearly confirmed the sub contract was merely a ruse and that no work was done by Mutu’s companies.”

Delivering the judgement Justice Abdulmalik held that the N150 million refunded by Mutu constituted proceeds of unlawful activities and consequently forfeited it.