Court Jails Five for N117.7m Chi Limited Fraud

​A Lagos State High Court sitting in Tapa has sentenced five individuals to seven years imprisonment each without an option of a fine for orchestrating a multi-million-naira scam against manufacturing giant Chi Limited.

​Justice K.A. Jose handed down the judgment following a protracted trial spearheaded by the Lagos Zonal Directorate 1 of the Economic and Financial Crimes Commission (EFCC).

​The convicts—Yinka Salawu, Joshua Oluremi Daramola, Raji Ahmed, Afolabi Israel Olusegun, and Muraina Olanrewaju Abdullahi—faced a six-count charge encompassing conspiracy, forgery, and obtaining money by false pretences.

​Court records revealed that the convicts, operating alongside others, swindled Chi Limited out of N81,359,922 in 2009. They had fraudulently claimed the funds were payment for commercial goods and services supposedly rendered to the company. Investigators established that the defendants neither fulfilled the supply contracts nor returned the funds.

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​During the intensive trial, prosecution counsel M.S. Owede presented 17 witnesses, including officials from the EFCC, the Nigeria Police Force, commercial banks, and the victimized corporate entity, alongside a barrage of documentary exhibits.

​At the close of proceedings, Justice Jose discharged and acquitted the 2nd, 3rd, and 8th defendants. However, the 1st, 4th, 5th, 6th, and 7th defendants were pronounced guilty on the first three counts.

​In addition to the custodial sentence, the court ruled that the time the convicts spent in detention during the trial will be deducted from their seven-year terms.

​Invoking Section 11 of the Advance Fee Fraud and Other Fraud Related Offences Act and Section 297 of the Administration of Criminal Justice Law, Justice Jose ordered the convicts to make full restitution of N117,755,061 to Chi Limited. The judge noted that any prior part-payments made by the defendants would be subtracted from the final restitution total. Furthermore, the court entertained prosecution prayers regarding the asset recovery of properties tied to the prime convict to offset the financial losses.