Gimba Kumo Ya’u, the former managing director of the Federal Mortgage Bank of Nigeria (FMBN), and two other individuals have been charged by the Independent Corrupt Practices and Other Related Offences Commission (ICPC) with embezzling $65 million intended for an Abuja housing project.
James Omotosho, a Justice of the Federal High Court in Abuja, presided over the arraignment on Tuesday.
Other defendants include Tarry Rufus, managing director of T-Brend Fortunes Nigeria Limited, and Bola Ogunsola, former bank executive director.
In a statement issued by ICPC spokesperson Demola Bakare, the Commission revealed that the money was intended for the “Goodluck Jonathan Legacy City” project, which would build 962 housing units in Abuja’s Kubwa District.
In a five-count complaint designated FHC/ABJ/CR/333/24, the ICPC charged the three with violating the Money Laundering (Prevention and Prohibition) Act of 2022 and the Public Enterprises Regulatory Commission Act.
Ya’u was accused of authorizing the payment of N3.78 billion to Good Earth Power Nigeria Limited, a contractor who, according to the ICPC, was allegedly unable to carry out the project.
The Commission further said that more than ten years later, the project is still unfinished, costing the bank a lot of money.
The ICPC also charged the defendants with mismanaging the N14 billion loan that Ecobank Nigeria PLC provided them for the project in 2012.
According to one of the allegations, the defendants allegedly turned N991 million into $3.55 million and gave it in cash to Jason Rosamond, a foreign partner who is supposedly still at large.
It was claimed that this action violated the Money Laundering Act.
All three defendants entered not-guilty pleas when the allegations were read in court.
After they pleaded, Omotosho postponed the trial to February 6, 2025, and granted them bail on lenient conditions.
According to the ICPC, it is still dedicated to guaranteeing accountability in the administration of public monies, particularly in vital areas like housing.
