The High Court of Lagos State sitting in Ikeja has cleared two businessmen who were standing trial over an alleged N2.7 billion money laundering case filed by the Economic and Financial Crimes Commission, EFCC.

Justice A. Okunuga, who presided over the matter, discharged and acquitted the defendants, Finami Ayodele and Michael Effiong Udoiyang, after ruling that the prosecution failed to establish a prima facie case against them.

The two men were arraigned alongside Finami Automobile Ventures and Afolabi Olushola Sunday, popularly known as ‘Asiwaju,’ who is currently at large.

The EFCC had brought a three-count charge against the defendants bordering on conspiracy, stealing and money laundering. The anti-graft agency alleged that the offences were committed in Lagos between September 21 and October 4, 2021.

According to the prosecution, the defendants allegedly conspired to assist the fourth defendant, Afolabi, in converting N2.7 billion belonging to Fidelity Bank, with knowledge that the money constituted proceeds of unlawful activities.

The charges were said to be contrary to Sections 287 and 332 of the Criminal Law of Lagos State, 2015.
However, the defendants denied the allegations and pleaded not guilty.

In delivering judgment, Justice Okunuga held that the prosecution failed to prove the allegations beyond reasonable doubt.

The court identified a key issue for determination, whether the prosecution had successfully established the offences of conspiracy to steal and money laundering against the defendants.

While addressing the issue, the judge first considered whether Finami Automobile Ventures, listed as the third defendant, was a proper party before the court.

Justice Okunuga ruled that the entity was not registered as a limited liability company and therefore lacked the legal status required to sue or be sued.

The court also noted that the EFCC investigator who testified as the second prosecution witness admitted during cross-examination that the defendants’ accounts were identified through the analysis of beneficiary accounts rather than through evidence of direct transfers.

According to the court, the prosecution failed to present documentary evidence linking the alleged N2.7 billion directly to the accounts of the defendants.

Justice Okunuga further observed that the witness could not state the specific amounts allegedly received by each defendant or produce statements of account showing the movement of the funds into their accounts.

Relying on judicial precedents, including Famuyiwa v. State and John v. State, the court held that the prosecution did not meet the evidential threshold required to secure a conviction.

“In view of these findings, I hold that the prosecution has failed to establish the offence of money laundering beyond reasonable doubt against the first and second defendants,” the judge ruled.

Consequently, the court found the two businessmen not guilty and discharged and acquitted them of the charges.

During the trial, the prosecution called two witnesses: Ugochukwu Olisakwe of Fidelity Bank and Yazid Ahmad Bawa, an investigator with the EFCC.

After the prosecution closed its case, counsel to the first defendant, Nkereuwem Abraham, a former EFCC prosecutor, and counsel to the second defendant, Patience Udo, filed a no-case submission.

Although the court initially dismissed the application, the defence later chose not to call any witnesses, electing instead to rely on the prosecution’s case.

The court subsequently directed both parties to file their final written addresses before delivering its judgment.

Eze Chidiebere Paul

Eze Chidiebere Paul

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