Alleged N76bn, $31.5m fraud: Kuru’s trial continues as AMCON calls first witness
By Onyewuchi Ojinnaka
Further trial of former Managing Director of Assets Management Corporation of Nigeria (AMCON), Ahmed Kuru and four others for allegedly defrauding Arik Airline N76 billion and $31.5 million respectively, continues on March 19 before a Lagos Special Offences Court sitting at Ikeja.
The trial judge Justice Mojisola Dada fixed the date after hearing the testimony of first prosecution witness (PW1), Mr Peter Omokaro, a former Assistant General Manager with Union Bank Plc.
Led-in-evidence by the prosecution counsel, Dr Wahab Shittu (SAN), the witness said he worked with the bank from 1980 to 2015 before he resigned.
He narrated to the court that he was invited by EFCC to make a statement in relation to the alleged fraud case.
The witness said Arik Air approached the bank for a purchase of aircraft.
According to him, Union Bank only guaranteed facilities secured by the airline from two foreign banks, HSBC Bank and US EXIM Bank, to facilitate the acquisition of aircraft from Airbus and Boeing.
He said: “Union Bank in turn collected indemnity from Arik air and the aircrafts were delivered. At no point did we disburse cash for the acquisition of the aircraft and in August 2009, Central Bank of Nigeria sent a team to take over the bank and there was American guideline that talk on eligible assets to buy non-performing loans and commercial papers.
“Thereafter the executive management of Union Bank went ahead to sell the guarantee to AMCON.
“This happened before the end of December 2010 and in early 2011 then, Union Bank discovered the error and tried to see how to legalise the wrong, a meeting took place in London between AMCON, Union Bank, HSBC Bank and US EXIM Bank with the exclusion of the main obligor, which was Arik Air.”
Omokaro further told the court that it was from the minutes of the meeting recorded that Union Bank wanted to step in as obligor to take over the responsibility of Arik Air.
He added that the foreign credit agencies did not call in the guarantee neither did Union Bank return call in indemnity.
The witness was therefore cross examined by the counsel to the first and third defendants, Prof. Taiwo Osipitan (SAN).
He confirmed to the court that first and third defendants were not part of the transaction.
“The first and third defendants were not part of the transaction. I myself was not at the London meeting” Omokaro said.
Responding to the questions from Mr Olasupo Shasore (SAN), counsel to Kuru and Mr Olalekan Ojo (SAN), counsel to Union Bank, the witness said that the transaction took place in 2010 and that the third defendant was not the MD of AMCON as at that time.
The witness also told court that he is seeing the second defendant for the first time.
” The account of the Arik Air is domicile in Ikeja. I was not in corporate banking department as at that time. The export credit agencies are US finance, 35 percent parent export agencies.
Ojo therefore tendered the statement of the witness in the course of investigation in evidence.
The judge subsequently adjourned to March 19, 2025 for continuation of trial.
