N100m Fraud Scandal Rocks Lagos Business Deal

EFCC Seeks Custody of Akintoye

The Economic and Financial Crimes Commission (EFCC) dragged Lateef Akintoye and Rufus Whyte Limited before Justice O.A. Okunuga in Ikeja, Lagos.

They face two charges of stealing and obtaining N100 million through false pretenses from Baklang Group of Companies.

Court documents reveal the defendants allegedly promised to secure a $500 million Standby Bank Letter of Credit in 2023.

They reportedly claimed extensive petroleum industry experience and demanded $150,000 as processing fees before vanishing with the money.

Baklang Group transferred N100 million in two installments for the financial instrument meant to facilitate fuel imports.

Investigators discovered the suspects never delivered the SBLC and became unreachable after receiving payment.

The charge sheet accuses Akintoye and his company of criminally converting client funds for personal use.

Consequently, prosecutors cited Section 285 of Lagos State’s 2011 Criminal Law, which prohibits dishonest appropriation of property.

Both defendants pleaded “not guilty” when the charges were read in court.

Their lawyer, Abayomi Seyidara, promptly requested bail, arguing that the allegations stemmed from a business dispute rather than violent crime.

Seyidara assured the court that his clients would attend all hearings and provide credible sureties.

Furthermore, he emphasized Akintoye’s clean record and his willingness to defend against what he termed contractual misunderstandings.

Prosecutor A.A. Usman strongly opposed bail, warning that the defendants might interfere with witnesses due to the staggering sum involved.

He stressed the necessity of preventing potential evidence tampering before the trial commenced.

Justice Okunuga ordered Akintoye to be remanded at Ikoyi prison while reserving judgment on bail until July 10.

This ruling will determine whether the businessman awaits trial in custody or under strict supervision.

This high-profile case highlights increasing concerns about sophisticated financial scams targeting Nigerian businesses.

Experts warn companies to thoroughly verify partners before transferring large payments for international deals.

The EFCC continues investigating similar fraud cases across commercial hubs like Lagos.

Anti-graft officials urge victims to report suspicious transactions promptly to curb economic crimes.

Banking analysts advise firms to use escrow services for high-value transactions.

They recommend verifying financial instruments directly with issuing banks to avoid falling for forged documents.

Legal observers note this prosecution reflects strengthened enforcement against white-collar crimes.

Recent amendments to fraud laws now carry stiffer penalties to deter potential offenders.

The adjourned date promises heated legal arguments as both sides prepare to substantiate their claims.

Courtroom observers anticipate intense scrutiny of the SBLC procurement process during trial.

Business groups have welcomed the EFCC’s intervention, saying such actions restore confidence in Nigeria’s commercial environment.

Many hope convictions will discourage similar schemes.

Petroleum marketers particularly applaud the case, having suffered numerous scams in fuel importation deals.

They call for tighter regulations on financial intermediaries in the sector.

As the legal battle unfolds, the business community watches closely.

The outcome may set important precedents for handling complex financial fraud cases in Nigeria’s evolving economy.

The court’s eventual decision on bail could signal how seriously judges view such allegations.

Legal experts say remand orders in high-value fraud cases have become increasingly common recently.

This development comes as Nigeria intensifies anti-corruption efforts amid economic challenges.

Authorities aim to reassure investors by demonstrating zero tolerance for financial crimes.

With N100 million at stake and reputations on the line, all eyes remain on the Ikeja High Court.

The July 10 ruling may determine whether the defendants fight the charges from home or behind bars.

For Diaspora Digital Media Updates click on Whatsapp, or Telegram. For eyewitness accounts/ reports/ articles, write to: citizenreports@diasporadigitalmedia.com. Follow us on X (Fomerly Twitter) or Facebook