SAN FRANCISCO, May 11, (THEWILL) – The Economic and Financial Crimes Commission (EFCC) has claimed that a former governor of Oyo State, Chief Rashidi Ladoja, unilaterally gave instructions in 2007 for the sale of the state’s shares at a discounted rate of N6.6bn without an executive resolution.
According to the anti-graft agency, about N1.9bn out of the proceeds of the shares was not remitted to the state coffers but ended up partly in the pockets of Ladoja, his family members, allies and some stockbrokers.
An investigator with the EFCC, Abubakar Madaki, stated this on Thursday at the resumed trial of Ladoja for an alleged fraud of N4.7b where the former governor is answering eight charges alongside Waheed Akanbi, who served as the Oyo State Commissioner for Finance under him, before the Federal High Court in Lagos.
Led in evidence by the prosecutor, Olufemi Olabisi, Madaki tendered before the court the letter allegedly written by Ladoja to unilaterally approve the sale of the shares at a discounted rate.
According to the investigator, one Fountain Securities was the portfolio manager engaged by Ladoja to sell the shares at a discounted rate while one McLace Securities was one of the stockbrokerage firms which acquired shares from Fountain Securities.
“In the course of our investigation, about N500m was recovered from McLace Security, Fountain Securities and other stockbrokers, while the balance could not be recovered because some of those who purchased the shares were not even stockbrokers as highlighted by the report of the Nigerian Stock Exchange,” he alleged.
“Part of the proceeds was used to offset the four cars given to the first accused person which he confirmed. That too, the first accused person has not refunded the value of the cars neither did his family members and associates refund what was given to them; all these were part of the proceeds.
“I can name the cars for clarity. There is a jeep; there are a bus and two cars out of the cars supplied to members of the House of Assembly loyal to the first accused when he was governor.
“All these were paid for with the proceeds of the shares. The first accused person confirmed this in his statement; he promised to make a refund then but as of today, he has not done so.”
The trial judge, Justice Mohammed Idris, admitted the letter as an exhibit in evidence against Ladoja and adjourned
further proceedings till May 30 and 31, 2018.
