Court admits exhibits against ex-Afribank CEO

An Ikeja High Court on Friday admitted 20 documents as exhibits in the trial of Sebastine Adigwe, a former Managing Director of the defunct Afribank Plc.(now Mainstreet Bank), over alleged stealing.

Adigwe is facing trial over the alleged theft of N87.5 billion belonging to the bank.

Standing trial alongside him are five other former directors of the bank — Osa Osunde, Isa Zailani, Chinedu Onyia, Henry Arogunde and Peter Ololo.

The six defendants are being prosecuted by the Economic and Financial Crimes Commission (EFCC).

The documents admitted as exhibits were tendered by EFCC counsel, Mr Abubakar Mahmud (SAN).

Justice Olabisi Akinlade admitted the documents as Exhibits P1 to P20.

Mahmud had told the court that the documents detailed a loan facility of N15 billion granted by Afribank to a stock brokering firm, Rehoboth Assets Management Ltd. in September, 2008.

The counsel, then, called the prosecution’s first witness, Mr Ndubuisi Osakwe, a staff of Mainstreet Bank, to testify about the transaction which took place while he was the Head of Special Project of Afribank.

Osakwe, who is currently the Group Head, Energy Department of Mainstreet Bank, said that the loan was granted to Rehoboth for the purchase of Afribank shares from the capital market.

He testified that the purpose of the transaction was to protect the bank from hostile attacks by some investors who were planning to take over its management.

The witness said: “The first defendant (Adigwe) told me that Bank PHB and Access Bank were trying to acquire Afribank by buying large quantities of the bank’s shares.”

Osakwe said that he was introduced to the Managing Director of Rehoboth Assets Management Ltd., Mr Chidi Ajiegbu, at a meeting held in Adigwe’s office.

The witness said that, following the discussions, the bank proceeded to grant Rehoboth the N15 billion loan which was paid into the company’s account with Afribank on Oct.15, 2008.

Osakwe said that he was surprised that Rehoboth, on Oct.16, 2008, issued two Afribank cheques of N7.2 billion and N6.1 billion in favour of Afribank Securities Ltd, a subsidiary of the bank.

According to him, Afribank Securities Ltd., on the same date, transferred the money into the account of Assets Management Nominees (ASEMAN) Ltd., another company owned by the bank.

The trial will continue on 12 December.