The police Special Fraud Unit (SFU) Monday arrested a former bank director, Adekunle Johnson, for laundering about N7 billion.
Other charges against the suspect and several others who are currently at large, include conspiracy, forgery and stealing, which led to the liquidation of Gulf Bank Plc as reported by the Nigeria Deposit Insurance Corporation (NDIC).
Confirming the arrest, the Police Public Relations Officer, SFU, Ngozi Isintume-Agu, a Deputy Superintendent of Police (DSP), said the suspect was one of the executive members of the bank.
Agu said the enormous insider abuse carried out by the suspect and several others who are still at large, eroded the bank’s financial base.
“The suspect is one of the executive members of Gulf Bank Plc (In-Liquidation) who were involved in the insider abuses that led to the bank’s liquidation as reported by the NDIC.
“He is suspected to be the ringleader in the collapse of the bank and the fraud was characterised by manipulation of records and suppression of information.
“Others include criminal concealments, misrepresentations and forgeries of public documents all leading to colossal loss of the funds of the defunct bank,” she said.
The police waded into the case based on a petition by NDIC, which alleged that Johnson was a major shareholder and a director in the defunct bank.
According to the petition, the suspect was accused of using his position and through companies he has substantial interest in, to defraud the bank of over N2.5 billion.
“He did this by fraudulently structuring the credits obtained by him in such a way that their details were never disclosed to the board of the bank.
“In view of the above, SFU invited the suspect for interview which he avoided twice before he was apprehended at Yaba area,” the police said.