/ 6 February 2004

Major fraud scam trial opens in Nigeria

Five alleged perpetrators of the world’s biggest advance-fee fraud scam were taken before a Nigerian High Court on Thursday charged with 86 counts of duping a Brazilian bank out of $242-million.

Emmanuel Nwude, former director of Union Bank, a top-rated bank in Nigeria, led the accused, who all pleaded not guilty.

The prosecution alleged Nwude and two accomplices swindled the Brazilian bank while claiming to have won a contract for the construction of Nigeria’s international airport in Abuja.

The two other accused were lawyers who allegedly attempted to bribe the chairperson of Nigeria’s anti-crime agency, Nuhu Ribadu, to effect the release of the first three.

The Economic and Financial Crimes Commission (EFCC), which Ribadu heads, was set up by the Nigerian government to fight advance-fee fraud and other economic crimes in the country.

The three alleged perpetrators, the prosecution said, received the money from the bank at various times claiming they were to be paid to some Nigerian agencies to effect contract payment.

The five were ordered to be remanded in the custody of the EFCC until February 11, when the case would come up for mention at the court.

Nigeria’s image had been dragged through mud over the years by fraudsters who violate Section 419 of the penal code, by duping unsuspecting nationals and expatriates out of huge sums of money.

Advance-fee fraud is also known in local parlance as ”419”, a reference to the section of Nigeria’s penal code relating to the crime.

In committing the crime, fraudsters pose as having very strong contacts in government circles, capable of influencing the award of contracts to victims provided the latter pay fees into a dedicated account dictated by the criminals. — Sapa-DPA