Four MFB Directors in N100m Fraud
- By Saka Khaliq
- Published March 7th, 2011
- News
- Unrated
AT least four directors of Havilah Microfinance Bank, a Lagos-based MFB have been arrested for allegedly defrauding Standard Organisation of Nigeria (Son), National Agency for Food and Drug Administration and Control (Nafdac) and Port Quarantine of about N100 million, BusinessWorld can now reveal.
Mr Ben Olu Obadan, Anthony Nnabuko Egbeogu, Alaba Thomas and Elder Jacob Kareem, all directors of Havilah MFB, were alleged to have conspired with others at large in defrauding the government agencies. The fraud, it was gathered, was committed through Havilah MFB account with Union Bank of Nigeria Plc, Old Ojo road, Mazamaza, Lagos.
A source said they were all arrested in Lagos and transferred to Abuja for further interrogation. “They were actually arrested in Lagos and transferred to Abuja and they all made statement to the Police in Abuja on Tuesday (last week),” our source revealed adding that they are all in police custody for further investigation.
They were said to have been engaged in importation of various kinds of goods in collaboration with some others, at large, who acted as agents to the government agencies. Investigations show that the collaborators have collected a number of cheques on behalf of the agencies but failed to remit it to the relevant bodies.
Mr Adebola Fashina, head, corporate affairs and communication of Son, however, denied any knowledge of such development. “I was not aware of the matter you have just raised,” he said. “I have not heard we are defrauded by any microfinance bank.”
Mr. Mathias Omeh, chairman, National Association of Microfinance Bank (Namb), expressed displeasure over the incidence especially at a time microfinance institutions are still battling with image problem.
Omeh said it is high time operators begin to imbibe good corporate governance and try to be professional in the discharge of their duties. Although, he said there is always element of fraud in every sector of the economy, he noted that the fact that there are over 800 microfinance banks in the country made it impossible to have fraud-free sub sector.
“My advice to managers of microfinance banks is to remain professional and avoid trying to cut corners in a bid to make quick returns,” he said. “A fraud is a fraud and we as an association condemn such act and will never support it.”
Mr Ben Olu Obadan, Anthony Nnabuko Egbeogu, Alaba Thomas and Elder Jacob Kareem, all directors of Havilah MFB, were alleged to have conspired with others at large in defrauding the government agencies. The fraud, it was gathered, was committed through Havilah MFB account with Union Bank of Nigeria Plc, Old Ojo road, Mazamaza, Lagos.
A source said they were all arrested in Lagos and transferred to Abuja for further interrogation. “They were actually arrested in Lagos and transferred to Abuja and they all made statement to the Police in Abuja on Tuesday (last week),” our source revealed adding that they are all in police custody for further investigation.
They were said to have been engaged in importation of various kinds of goods in collaboration with some others, at large, who acted as agents to the government agencies. Investigations show that the collaborators have collected a number of cheques on behalf of the agencies but failed to remit it to the relevant bodies.
Mr Adebola Fashina, head, corporate affairs and communication of Son, however, denied any knowledge of such development. “I was not aware of the matter you have just raised,” he said. “I have not heard we are defrauded by any microfinance bank.”
Mr. Mathias Omeh, chairman, National Association of Microfinance Bank (Namb), expressed displeasure over the incidence especially at a time microfinance institutions are still battling with image problem.
Omeh said it is high time operators begin to imbibe good corporate governance and try to be professional in the discharge of their duties. Although, he said there is always element of fraud in every sector of the economy, he noted that the fact that there are over 800 microfinance banks in the country made it impossible to have fraud-free sub sector.
“My advice to managers of microfinance banks is to remain professional and avoid trying to cut corners in a bid to make quick returns,” he said. “A fraud is a fraud and we as an association condemn such act and will never support it.”
