Friday, November 2, 2012

Bank Directors took two billion shares free  – witness


The ongoing trial of the defunct FinBank Managing Director, Okey Nwosu, and three others, continued on Thursday before Justice Lateefah Okunnu, of a Lagos High Court, sitting in Ikeja. 

The prosecution witness, Anafi Buba Mohammed told the court that none of the directors of Finbank Plc paid for about 2 billion units of shares allotted them.

The witness, who is a law enforcement officer in charge of compliance and Enforcement Department in the  Economic and Financial Crimes Commission (EFCC), also said there was no loan involved in the purchase of the shares by the directors of the bank.

EFCC had charged Okey Nwosu along three other former directors of the bank, Dayo Famoroti, 2nd defendant, Danjuma Ocholi, 3rd defendant and Mrs. Agnes Ebubedike, 4th defendant for an alleged theft of N10.9b belonging to the Bank.

According to Mohammed, who was being cross examined by Mr. O. A. Ogunlesi, the counsel to Mr. Danjuma Ocholi, the bank used customers' money to pay for the shares.

He said there was also no board approval for the shares that were allotted to the directors.

Mohammed explained that the share allotment which is the subject of the on-going litigation is different from the one for which the directors got back loan to purchase.

The Compass

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