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Alleged N868.4m Fraud: How Former Acting AGF Diverted Defence Ministry’s Funds – Witness

BySodiq Lawal

PublishedMay 13, 2025

A Federal High Court sitting in Maitama, Abuja, on Monday heard how Chukwunyere Anamekwe Nwabuoku, former Acting Accountant General of the Federation, allegedly diverted over N868 million belonging to the Federal Ministry of Defence while serving as Director of Finance and Accounts in the ministry.

The startling revelation came from the Ninth Prosecution Witness, Mr Gudi Daniel Johnson, an investigator with the Independent Corrupt Practices and Other Related Offences Commission (ICPC), during the continuation of trial before Justice James Omotosho.

OSUN DEFENDER reports that Nwabuoku is being prosecuted by the Economic and Financial Crimes Commission (EFCC) on a nine-count amended charge bordering on money laundering involving N868,465,000.

Led in evidence by EFCC’s counsel, Ekele Iheanacho, SAN, Mr Johnson narrated how intelligence received from the Ministry of Defence prompted a full-scale investigation.

The probe revealed a complex web of suspicious cash transactions linked to multiple companies allegedly used to launder the funds.

He said: “The ICPC received a petition from the Ministry of Defence regarding suspicious transactions involving companies like Trans Afro Limited, Torch Global Limited, and Teemell Limited. Upon investigation, we traced cash inflows from the ministry to these companies’ accounts. We contacted the Corporate Affairs Commission (CAC) and several banks for verification.”

According to the witness, a man named Gideon Joseph was listed as a director in the companies involved. Attempts to reach him at his listed addresses in Maitama and Kubwa failed, prompting the commission to approach the Ministry of Defence for clarification. It was there that the then Director of Accounts, Mr Felix, revealed he acted strictly on the instructions of Mr Nwabuoku.

“Further investigation revealed that monies paid into Teemell, Torch Global, and Trans Afro’s accounts were promptly withdrawn and deposited into the account of M. Daddy’s Ltd,” Johnson said.

“When we questioned the defendant, he claimed the payments were for security operations, which he described as classified.”

However, the Office of the National Security Adviser (ONSA) was contacted for verification. A high-powered committee involving top officials, including Gen. Monguno and Professor Bolaji Owasanoye, was set up to investigate the claims.

Johnson testified that Jerry Nwachukwu, a key link in the money trail, told investigators that he deposited N355 million into M. Daddy’s account on the instruction of the defendant. While Nwabuoku initially claimed only N100 million belonged to him, further financial analysis suggested deeper involvement.

“We discovered that N13 million was paid to El Salen Ltd for a property purchase, while N10 million was used to acquire a power generator. We obtained records from City Gate Homes linking a N65 million property to the defendant,” the witness continued.

“We seized the keys to the house during inspection, and contacted the Code of Conduct Bureau, which confirmed that no such assets were declared by the defendant.”

A slew of documents was tendered in court as evidence, including letters from ONSA, responses from Zenith Bank, Access Bank, the Corporate Affairs Commission, Remita, and the Code of Conduct Bureau.

Justice Omotosho admitted the documents and adjourned the matter till May 22 and 23 for continuation of the hearing.

Sodiq Lawal

Sodiq Lawal is a passionate and dedicated journalist with a knack for uncovering captivating stories in the bustling metropolis of Osun State and Nigeria at large. He has a versatile reporting style, covering a wide range of topics, from politics , campus, and social issues to arts and culture, seeking impact in all facets of the society.