High-Stakes Fraud Trial: Ex-AMCON MD Kuru, Others Face N76bn, $31.5m Allegations; Key Witness Grilled

Lagos, Nigeria – The legal battle intensified on Wednesday, May 28, 2025, at the Special Offences Court in Ikeja, Lagos, as Justice Mojisola Dada adjourned the high-profile trial of Mallam Ahmed Kuru, former Managing Director of the Assets Management Corporation of Nigeria (AMCON), and four co-defendants, until June 4, 2025. They stand accused of an audacious N76 billion and $31.5 million fraud, involving conspiracy, stealing, and abuse of office.

Kuru is facing trial alongside Captain Roy Ilegbodu, Managing Director of Arik Air; Kamilu Omokide, Receiver Manager of Arik Air; Union Bank Nigeria Plc; and Super Bravo Limited. The Economic and Financial Crimes Commission (EFCC) has brought a six-count charge against the defendants, accusing them of various financial infractions.

At the resumed hearing, the second prosecution witness (PW2), Mr. Austine Obigwe, a former Group Executive Director of Union Bank Plc, continued his testimony. Obigwe revealed that his company, Staal, was owed $2.3 million by Arik Air in 2011, two years after he left Union Bank. Interestingly, he stated he had “written it off” upon discovering Arik Air’s financial distress, asserting he was “not interested in collecting it.”

Under rigorous cross-examination by defense counsel, including Olasupo Shasore, SAN (for the second defendant); Olalekan Ojo, SAN (for the fourth defendant); and Tayo Oyedepo, SAN (for the fifth defendant), Obigwe confirmed that he began consultancy engagements with Arik Air and other companies after his exit from Union Bank. He also admitted to a personal acquaintance with Johnson Arumemi-Ikhide, the founder of Arik Air, though he clarified that he currently holds no formal relationship with the airline.

Obigwe’s testimony further delved into Arik Air’s financial standing during his tenure at Union Bank. He recalled participating in a 2009 inspection of 26 Arik Air aircraft, which he found to be airworthy and in good condition based on Lufthansa’s assessments. He emphasized that the purpose of this inspection was to ensure the airline’s fleet was not depleted.

Crucially, the witness stated that during his time at Union Bank, there were no complaints from other financial institutions about Arik Air defaulting on its loan obligations, and that Arik Air was indeed servicing its loan with Union Bank. However, he claimed a letter dated April 23, 2009, allegedly from AMCON to Union Bank concerning a N46.11 billion debt owed by Arik Air, was never brought to his attention while he was still with the bank.

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When pressed on Arik Air’s character and management, Obigwe limited his assessment to his period at Union Bank, asserting that “When I was in Union Bank, Arik Air was one of the best companies.” He also explained the options available to lenders when a loan becomes non-performing, noting that a lender could transfer, reassign, or enforce the security tied to the loan, adding that “A lender is legally empowered to dispose of the security in the event of default by the borrower.”

The court adjourned the matter, setting the stage for further proceedings and potentially more revealing testimonies on June 4, 2025. The trial continues to draw significant public interest given the substantial sums involved and the prominent figures implicated.