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AMCON witness explains no EFCC report on Union Bank’s Arik loan

Published

2 months ago

October 16, 2025

Admin

A key prosecution witness in the ongoing trial involving former officials of the Asset Management Corporation of Nigeria (AMCON), Union Bank Plc, and others has explained why Union Bank was not reported to anti-graft agencies over its role in a controversial loan deal with Arik Air.

The witness, Mr. Muhammed Jega, a former Executive Director of Credits at AMCON, told the Lagos State Special Offences Court in Ikeja that although Union Bank misrepresented facts during a loan transaction involving Arik Air, AMCON did not escalate the matter to the Economic and Financial Crimes Commission (EFCC). Instead, the issue was reported to the Central Bank of Nigeria (CBN), the financial sector’s regulatory authority.

Jega made these statements under cross-examination before Justice Mojisola Dada.

He is testifying in the trial of former AMCON Managing Director Ahmed Kuru, former Receiver Manager of Arik Air Kamilu Omokide, Arik Air CEO Roy Ilegbodu, Union Bank Plc, and Super Bravo Limited.

They are facing a five-count charge brought by the EFCC, including allegations of theft, abuse of office, and fraudulent acquisition of property. Union Bank also faces an additional charge of making false statements to a public officer.

Jega stated that Union Bank’s actions were never formally reported to security agencies, as AMCON chose to inform the CBN for regulatory intervention and appropriate sanctions.

During his cross-examination by defence counsel, Olalekan Ojo (SAN), he confirmed there was no official complaint letter to any anti-corruption agency over the bank’s alleged misrepresentation.

The witness revealed that as of his exit from AMCON in 2015, the loan facility provided by Union Bank to Arik Air for aircraft acquisition had become non-performing.

He also disclosed that he had no knowledge of any specific directive issued by the CBN regarding the transaction before his departure.

He added that although Union Bank initially claimed Arik had repaid the loan, it was later discovered that the bank issued the facility without adequate collateral.

According to Jega, due diligence was conducted only after AMCON had already purchased the Arik loans from Union Bank.

“The loans were meant for the purchase of various aircraft, but Union Bank did not adhere to standard banking procedures during the sale of Arik’s loans to AMCON,” he testified.

Under questioning by another defence counsel, Tayo Oyetibo (SAN), Jega confirmed that Arik Air never submitted a formal protest over the transaction but had raised verbal concerns about AMCON’s involvement.

He admitted that he did not document these complaints or escalate them to the AMCON Board, although he verbally informed board members of his reservations.

He further noted that Arik Air had requested a loan restructuring, which he forwarded to AMCON management due to a “business need.”

In an earlier session on June 30, Jega told the court that the Arik loan was performing when AMCON acquired it. However, under renewed cross-examination by Prof. Taiwo Osipitan (SAN), he later clarified that by 2015, the loan had fallen into the non-performing category, according to regulatory standards.

He stated that AMCON had purchased a total of N85 billion worth of Arik Air’s debt from Union Bank and Bank PHB and later provided an additional N11 billion as working capital.

Despite these efforts, Arik failed to meet its repayment obligations.

While acknowledging that he was involved in approving the loan transactions, Jega said he never personally reviewed the full loan purchase agreement, particularly the section involving Union Bank.

He also noted that Union Bank had presented the loans as performing and supported their claim with minutes from a meeting held in London between Arik and AMCON officials.

However, he pointed out that the minutes were authored solely by Union Bank.

“It was only after AMCON had acquired the loan that the problems with the documentation became apparent,” Jega said.

He further testified that Arik Air and its promoters had several other outstanding obligations to AMCON beyond the loans currently under litigation.

During questioning by Mr. Olasupo Sasore (SAN), counsel to former AMCON MD Ahmed Kuru, Jega disclosed that Arik’s chairman had once offered him a consultancy position with the airline, which he declined based on professional advice.

“I maintained a strictly professional relationship with all AMCON clients,” he said.

Justice Mojisola Dada adjourned the matter to November 28, 2025, for the continuation of cross-examination and further hearing.

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PHOTOS: FCT Minister, Wike, inspects ongoing construction of Interchange Bridge, Road linking Maitama, Gishiri, Jahi with Gwarinpa today

Published

1 hour ago

December 5, 2025

ADMIN

The Minister of FCT today inspected ongoing construction of Interchange Bridge, Road linking Maitama, Gishiri, Jahi with Gwarinpa today

The Minister of FCT, Nyesom Wike today, Friday inspected ongoing construction of Interchange Bridge, Road linking Maitama, Gishiri, Jahi with Gwarinpa.

The project is titled; Full scope development of Arterial Road N16 (Shehu Shagari Way) from Ring Road II to Ring Road III with Two Interchange Bridges at N16/RRII and N16/RIII intersections.

The portion from RRI to Arterial Road N20 (Solomon Lar Way) within Katampe District was developed and commissioned by President Bola Ahmed Tinubu, to mark 2nd year Anniversary of his Administration.

The portion from N20 to RRII is being developed under Jahi District Infrastructure Project, leaving the undeveloped portion from RRIII to Arterial Road N40 to link the road that leads to the Renewed Hope Estate in Karsana Districts.

The portion of this Arterial Road N16 under reference traverses the Gwarimpa Housing Estate and this segment of the road when developed will provide access to the Gwarimpa Housing Estate located within Bunkoro and Wupa Districts as well as Sector Center E which is the hub of commercial and social activities comprising group of four districts namely; Gwarimpa II – C03, Kafe – C05, Wupa – C15 and Bunkoro – C18 Districts in Phase III of the Federal Capital City.

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“Why I dumped PDP for APC “- Rivers Speaker, Amaewhule

Published

2 hours ago

December 5, 2025

ADMIN

The Speaker of Rivers State House of Assembly, Hon Martin Amaewhule, on Friday gave reasons why he dumped the Peoples Democratic Party (PDP) for the All Progressives Congress (APC).

“The major reason for leaving the PDP is because of the division in the PDP,” Amaewhule, who represents Obio-Akpor I constituency, told the lawmakers on Friday.

He commended President Bola Tinubu for some programmes embarked upon by his administration that have benefited Nigerians, especially Rivers people.

According to the Speaker, his defection would enable him to partner with President Tinubu for the overall good of the Rivers people.

Amaewhule said, “Distinguished colleagues, let me happily announce to honourable members that your Speaker, Rt Hon Martin Chike Amaewhule, has decided and has indeed written to my Ward Chairman, Mr Osondo Orlu, of my decision to leave the Peoples Democratic Party.

“APC is my new party. I will do all that is needed to be done towards ensuring that the party card of the All Progressives Congress is issued to me in no time. I am happy to be a member of the APC so that we can join forces with Mr President. He is doing so much for this country.

“President Bola Ahmed Tinubu means well for Nigeria. He is tackling issues of security headlong. The President has shown love to Rivers State; he is helping Rivers people to be part of the governance of this country. I am so delighted to be part of the APC so we can support the President right inside the All Progressives Congress.”

Amaewhule defected along with 15 other members of the House on Friday.

Also included were Igwe Aforji (Eleme), Tekena Wellington (Asari-Toru 1), Looloo Opuende (Akuku-Toru 2), Peter Abbey (Degema), Arnold Dennis (Ogu/Bolo), Chimezie Nwankwo (Etche), and Ofiks Kabang (Andoni).

Since returning to civil rule in 1999, the PDP has maintained a tight grip on the oil-rich Rivers state, until the protracted crisis rocked the state, which pitched the lawmakers against Governor Siminalayi Fubara.

The crisis led to the partial demolition of the State Assembly complex by forces allegedly loyal to Fubara as well as the attempted moves to impeach the governor by the lawmakers loyal to the FCT Minister, Nyesom Wike.

Worried by the development, President Bola Tinubu waded in to douse the tensions and declared a state of emergency on March 18.

The emergency declaration led to the suspension of Governor Fubara and his deputy, Ngozi Odu and the lawmakers.

At the expiration of the exercise, he reinstated Fubara, his deputy and the lawmakers on September 17.

News

Finally Rivers Speaker, 15 Other Assembly Members Dump PDP , join APC

Published

4 hours ago

December 5, 2025

ADMIN

The Speaker of the Rivers State House of Assembly, Martin Amaewhule, defected along with 15 other members of the House on Friday.

Speaker of Rivers State House of Assembly, Martin Amaewhule

The Speaker of the Rivers State House of Assembly, Martin Amaewhule, defected to the All Progressives Congress.

Amaewhule defected along with 15 other members of the House on Friday.

The House of Assembly is currently in session with the defectors blaming their departure from the Peoples Democratic Party (PDP) on the crisis in the party.

Others who dumped the PDP were the Deputy Speaker, Dumle Maol (Gokana), Major Jack (Akuku-Toru), Linda Stewart (Okrika), Franklin Nwabochi (Ogba/Egbema/Ndoni), Azeru Opara (Port Harcourt 3), Smart Adoki (Port Harcourt 2), Enemi George (Asari-Toru 2), and Solomon Wami (Port Harcourt 1).
Also included were Igwe Aforji (Eleme), Tekena Wellington (Asari-Toru 1), Looloo Opuende (Akuku-Toru 2), Peter Abbey (Degema), Arnold Dennis (Ogu/Bolo), Chimezie Nwankwo (Etche), and Ofiks Kabang (Andoni).

Details shortly…