SunTrust Bank CEO Halima Buba, Director Under Probe Over Alleged $12m Money Laundering

SunTrust Bank CEO Halima Buba and Director are currently under probe by EFCC over alleged $12m money laundering.

NaijaOnPoint Nigeria reports that the Managing Director/CEO of SunTrust Bank Nigeria Limited, Halima Buba, and the bank’s Executive Director and Chief Compliance Officer, Innocent Mbagwu, are facing serious legal troubles as the Economic and Financial Crimes Commission (EFCC) moves to prosecute them for allegedly laundering $12 million.

Their arraignment before Justice Emeka Nwite of the Federal High Court in Abuja, initially scheduled for Tuesday, May 28, 2025, was postponed due to their absence in court, despite their legal representatives being present. The EFCC is accusing the duo of conspiracy and unlawful facilitation of cash transactions far exceeding the legal threshold, without routing the payments through regulated financial channels.

Allegations of Illegal Cash Transactions

According to the EFCC, Buba and Mbagwu allegedly orchestrated multiple cash payments amounting to $12 million, in direct contravention of provisions of the Money Laundering (Prevention and Prohibition) Act, 2022. One of the charges specifies that on March 20, 2025, the executives conspired to pay $2 million in cash to a private individual, Sani S. Ali Fagge, an associate of Suleiman Muhammed Chiroma, without using a financial institution.

The offenses, as outlined in the six-count charge, are said to violate Sections 21(a), 2(1), and 9(1)(d) of the Act and are punishable under Section 19(2)(b).

Legal Dispute Over Service of Charges

At the hearing, EFCC lead counsel, Ekele Iheanacho, SAN, informed the court that despite repeated attempts, the Commission had not successfully served the defendants with the charge sheet. He acknowledged, however, that the defense counsel was present in court and had offered to accept the documents on their clients’ behalf.

Rather than serve the charges in open court, the EFCC opted to pursue a formal ex parte application for substituted service, citing the need to comply with Section 382(5) of the Administration of Criminal Justice Act (ACJA).

“We prefer to follow due process to avoid complications that may jeopardize the case,” Iheanacho stated.

Defence Pushes Back

Defense counsel, J.J. Usman, SAN, criticized the EFCC’s approach, noting that his clients only learned about the case through online reports and voluntarily instructed him to appear. He argued that the EFCC’s refusal to serve the charges in court raises suspicion.

“Our clients are not evading justice. We made ourselves available and undertook to accept service. The EFCC’s refusal to serve us, despite our willingness, appears to be setting the stage for media drama and potential arrests,” Usman said, urging the court to prevent any misuse of power.

He warned against unnecessary harassment and public embarrassment of the defendants, emphasizing their readiness to attend the next hearing if proper procedure is followed.

Court’s Ruling

In a brief ruling, Justice Emeka Nwite noted that nothing barred the EFCC from serving court documents through defense counsel, especially when direct service has failed. He ordered the prosecution to file its application for substituted service by Thursday, May 29, 2025, and adjourned the case to June 4, 2025, for arraignment.

Background on SunTrust Bank

SunTrust Bank, headquartered in Victoria Island, Lagos, is a relatively young entrant into Nigeria’s financial sector. The bank is chaired by Olanrewaju Shittu, a former director at the Central Bank of Nigeria (CBN), and has positioned itself as a digital-first bank with a focus on innovation and technology.

This high-profile case, however, may cast a shadow over its corporate image as it navigates the fallout of the ongoing money laundering allegations against its top executives.