The Economic and Financial Crimes Commission (EFCC) has arraigned Prince Chibuike Echem, the CEO of Bondpay, and Danjuma Mohammed, the former National Coordinator of the Multi-Sectoral Crisis Recovery Project (MCRP) at the North East Development Commission (NEDC), over allegations of multi-billion naira contract fraud.
The two defendants were brought before the High Court of the Federal Capital Territory in Zuba on a 55-count charge that includes advance fee fraud and forgery. They pleaded not guilty to all charges.
The Fraud Scheme
The fraud allegedly began in 2023 when Echem, who had a close relationship with Kenneth Ifekudu, the chairman of Diamond Leeds Limited, introduced him to Mohammed.
Mohammed is accused of posing as a “power-broker” in the North, facilitating supposed contract deals with major government agencies.
Echem, who previously worked as a consultant for Diamond Leeds, reportedly abused his position and manipulated the relationship with Ifekudu.
Mohammed was allegedly the mastermind behind the fraudulent scheme, which saw Diamond Leeds Limited defrauded of billions of naira.
Despite receiving contract award letters, the company was never allowed to mobilize engineers or equipment to project sites, with Mohammed citing the insecurity in the North East as an excuse.
The fraud involved the creation of fake documents and the misrepresentation of contract opportunities, leading to the loss of over N2.28 billion by Diamond Leeds Limited. The EFCC alleges that Echem and Mohammed obtained this sum from Ifekudu and the company through false pretenses.
Court Proceedings
The EFCC prosecutor, Olarenwaju Adeola, requested that the defendants be remanded at Kuje Correctional Centre pending the resolution of the case. However, Justice Keziah Ogbonnaya ordered their remand at Suleja Correctional Centre due to its proximity to the court. The case has been adjourned to March 25 and April 7 for a bail application.
Additional Allegations
In a statement to the press after the proceedings, Beth Igwilo (SAN), the lead counsel for Diamond Leeds Limited, disclosed that the company would call seven witnesses to testify in the case.
Internal investigations by the company revealed that all the contract documents provided by Echem and Mohammed were forged.
The investigation also revealed that a Guaranty Trust Bank (GTB) account bearing the name NEDC was opened by the fraud syndicate. Part of the defrauded funds was allegedly funneled through this account to be returned to Diamond Leeds as “payment” for supplied equipment, despite the fraudulent nature of the transactions.
Consequences for the Defendants
The case has already led to significant consequences for Danjuma Mohammed, who was reportedly sacked from the NEDC following the revelations of his involvement in fraudulent activities. EFCC investigators continue to probe further links and activities tied to the defendants.
This case highlights ongoing efforts by the EFCC to tackle corruption and fraud in Nigeria, particularly within government-related contracts and dealings.