The Inspector General of Police (IGP), Kayode Egbetokun informed the Federal High Court in Abuja on Monday that operatives have recovered properties worth N6 billion from suspected fraudsters as part of an ongoing investigation into a N21 billion alleged fraud and money laundering scheme involving 2,039 bank accounts.
Audu Garba Esq., Legal Officer of the Force Intelligence Department (FID), disclosed this to Justice Obiora Egwatu during his ex parte motion hearing.
Nairametrics reports that the IGP is investigating a case of large-scale fraud and money laundering amounting to N21.4 billion.
The alleged fraudsters, who reportedly own the implicated bank accounts, are accused of transferring significant sums across 56 financial institutions using the names of companies, enterprises, and cronies to disguise ownership and transaction origins.
IGP Investigation
The police stated in court documents that the accounts for which reliefs are sought are subject to investigation, inquiry, and examination by the Nigerian Police Force Investigation Division in Abuja.
- Recall that the court had, on March 4, 2025, granted a freezing order on the said bank accounts under Suit No: FHC/ABJ/CS/335/2025.
- The police argued that it is necessary to preserve the status quo of the accounts pending the conclusion of investigations and the determination of potential criminal charges against the suspects.
- The police further noted that the flow of funds into the accounts is being analyzed to identify additional individuals who may have unlawfully benefited from or collaborated in the fraudulent scheme.
“The Inspector General of Police has the powers under Section 4 and other extant laws to investigate and prosecute crimes in Nigeria,” the IGP stated.
What Transpired in Court
During the court session, Garba informed the judge that his motion, dated April 28, 2025, sought a 60-day extension of the earlier post-no-debit (freezing) order on the 2,039 accounts in 56 banks and financial institutions across Nigeria.
“An order of this Honourable Court granting a sixty (60) day extension of the order granted on March 4, 2025, in Suit No: FHC/ABJ/CS/335/2025, directing all the Banks and Financial Institutions listed as Respondents to freeze (place a Post No Debit) on all the Accounts listed in Appendix A and the accounts of the merchants listed in Appendix B—totaling 2,039 Account holders attached to the application—and arrest the account holders on sight,” part of the motion read.
- Garba explained that following the earlier freezing order, the Force Intelligence Department (FID) in Abuja launched discreet investigations across various states and arrested some suspects, “recovering properties worth N6 billion—part of the N21 billion suspected to be proceeds of unlawful activities linked to the account holders.”
- He added that the investigation remains ongoing, as some arrested suspects have made confessional statements implicating their accounts and others in the alleged crime.
- He emphasized that a substantial portion of the funds remains in the frozen accounts and others that are yet to be frozen, warning that suspects may attempt to liquidate the funds and evade justice if the accounts are unfrozen prematurely.
“Unfreezing the accounts at this stage would be premature, as the suspects may dissipate the funds and jeopardize further investigations, thereby rendering the police’s efforts and any subsequent court action futile,” he argued.
- Garba told the court that evidence against the suspects and others still at large is substantial and complex, and that more time is required to complete the investigation and ensure effective prosecution.
- Hence, the request for a 60-day extension of the freezing order.
What the Judge Said
- After reviewing the lawyer’s motion and affidavit, Justice Egwatu granted a 60-day extension of his earlier order freezing the implicated bank accounts.
What This Means
This development underscores ongoing efforts by law enforcement authorities, particularly the Nigerian Police, to curb financial crimes and enforce the provisions of the Money Laundering (Prevention and Prohibition) Act, 2022.
- A similar case occurred a few months ago, in which a freezing order was obtained on 21 bank accounts allegedly linked to money laundering and other unlawful activities.
- A police detective testified that the suspects’ actions were indicative of money laundering and designed to conceal the origin of the illicit funds.
The Money Laundering Act 2022 prescribes jail terms for offenses such as concealing the origin of funds, destruction of evidence, and fraud.
