Justice Mojisola Dada of the Special Offences Court sitting in Ikeja, Lagos, on Monday, adjourned till Tuesday, further hearing in the trial of Ahmed Kuru, a former Managing Director of Assets Management Corporation of Nigeria, AMCON, and four others, over an alleged N76bn and $31.5m fraud.
Mr Kuru , alongside Capt. Roy Ilegbodu, Managing Director of Arik Air, Kamilu Omokide, Receiver Manager of Arik Air, Union Bank Nigeria Plc and Super Bravo Limited, are facing trial on a six-count charge bordering on conspiracy, stealing, and abuse of office.
At the resumed siting today, the third prosecution witness, Muhammed Abbas Jega, a former Executive Director, Credits, Asset Management Corporation of Nigeria (AMCON), who resumed his cross-examination said Arik’s debt with AMCON fell within the category of non-performing loans as categorised by the regulatory agencies in the country.
At the last adjourned sitting, Mr Jega had testified that the Arik loan, which AMCON purchased at the first phase of the Eligible Bank Asset (EBA), was performing.
But during further cross examination, on Monday, he retracted his earlier testimonies to the court when he told the court that the AMCON leadership, which he was part of as an Executive Director, purchased from Union Bank and Bank PHB a N85billion Arik debt.
He told the court that AMCON also extended an additional N11bn loan as working capital to Arik.
According to him, despite the funds injected by AMCON as well as the Bank Of Industry’s intervention funds injected into Arik, which AMCON also guaranteed, Arik was not able to service its obligations with AMCON up until the time he left AMCON.
“ Though I served as Executive Director, Credits, AMCON, and carried out all my actions with Board’s approval, I never sighted the Loan Purchase Agreement, which chronicled the number and credit details regarding the embattled Arik loan, especially from Union Bank.
“ As at the time I left AMCON in 2015, the Arik loan was non-performing,” he said.
Mr Jega, who also maintained that Union Bank deceived AMCON, stated that it was after the “so-called London meeting between the obligor and the Executive Management of AMCON that it became clear that there were issues with the purchase.”
He, however, failed to explain why he could not escalate the matter to both the Board of AMCON and the Central Bank of Nigeria.
He also admitted that aside the guarantees, Arik Air Limited and its promoter had other loans with AMCON.
Under further cross-examination, he admitted that apart from Union Bank, none of the defendants in the criminal trials, was part of the acquisition or restructuring of the Arik loan.
The matter was adjourned till July 1, 2025 for continuation of trial.Alleged N76bn, $31.5m Fraud: Court Adjourns Ex-AMCON MD, Kuru, Others’ Trial Till July 1
Justice Mojisola Dada of the Special Offences Court sitting in Ikeja, Lagos, on Monday, adjourned till Tuesday, further hearing in the trial of Ahmed Kuru, a former Managing Director of Assets Management Corporation of Nigeria, AMCON, and four others, over an alleged N76bn and $31.5m fraud.
Mr Kuru , alongside Capt. Roy Ilegbodu, Managing Director of Arik Air, Kamilu Omokide, Receiver Manager of Arik Air, Union Bank Nigeria Plc and Super Bravo Limited, are facing trial on a six-count charge bordering on conspiracy, stealing, and abuse of office.
At the resumed siting today, the third prosecution witness, Muhammed Abbas Jega, a former Executive Director, Credits, Asset Management Corporation of Nigeria (AMCON), who resumed his cross-examination said Arik’s debt with AMCON fell within the category of non-performing loans as categorised by the regulatory agencies in the country.
At the last adjourned sitting, Mr Jega had testified that the Arik loan, which AMCON purchased at the first phase of the Eligible Bank Asset (EBA), was performing.
But during further cross examination, on Monday, he retracted his earlier testimonies to the court when he told the court that the AMCON leadership, which he was part of as an Executive Director, purchased from Union Bank and Bank PHB a N85billion Arik debt.
He told the court that AMCON also extended an additional N11bn loan as working capital to Arik.
According to him, despite the funds injected by AMCON as well as the Bank Of Industry’s intervention funds injected into Arik, which AMCON also guaranteed, Arik was not able to service its obligations with AMCON up until the time he left AMCON.
“ Though I served as Executive Director, Credits, AMCON, and carried out all my actions with Board’s approval, I never sighted the Loan Purchase Agreement, which chronicled the number and credit details regarding the embattled Arik loan, especially from Union Bank.
“ As at the time I left AMCON in 2015, the Arik loan was non-performing,” he said.
Mr Jega, who also maintained that Union Bank deceived AMCON, stated that it was after the “so-called London meeting between the obligor and the Executive Management of AMCON that it became clear that there were issues with the purchase.”
He, however, failed to explain why he could not escalate the matter to both the Board of AMCON and the Central Bank of Nigeria.
He also admitted that aside the guarantees, Arik Air Limited and its promoter had other loans with AMCON.
Under further cross-examination, he admitted that apart from Union Bank, none of the defendants in the criminal trials, was part of the acquisition or restructuring of the Arik loan.
The matter was adjourned till July 1, 2025 for continuation of trial.
