Witness details how ex-Accountant General diverted N868m through fronts

A Federal High Court in Maitama, Abuja, has heard how Chukwunyere Nwabuoku, the former Acting Accountant General of the Federation, allegedly orchestrated the diversion of over ₦868 million from the Federal Ministry of Defence using fictitious companies and a network of cash transactions.

At the resumed hearing on Thursday, Gudi Johnson, an investigator with the Independent Corrupt Practices and Other Related Offences Commission (ICPC), gave a detailed account before Justice James Omotosho. Johnson, who appeared as the ninth prosecution witness (PW9), outlined how Nwabuoku, while serving as Director of Finance and Accounts at the ministry, allegedly directed the withdrawal and movement of large sums of money through multiple front companies.

According to a Monday statement by the Economic and Financial Crimes Commission (EFCC), which is prosecuting the case, Johnson revealed that ICPC launched an investigation after receiving intelligence from the Ministry of Defence about suspicious financial transactions involving companies such as Trans Afro Limited, Torch Global Limited, and Teemell Limited.

“We discovered that one Gideon Joseph was registered as a director in these companies. His address was Louis Street, Maitama and Kubwa. We invited him to answer as to what business he carried out. All the letters could not be delivered, so we resorted to the Ministry of Defence,” Johnson testified.

The investigation led ICPC to a Director of Accounts within the ministry, identified only as Mr. Felix, who claimed he acted under the instructions of Nwabuoku.

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“Other persons were called and they said they were instructed to withdraw the monies they received into the accounts of Teemell, Touch Global and Transactional Afro Nig. Ltd,” Johnson said.

When summoned for questioning, Nwabuoku reportedly told investigators that the funds were intended for classified national security operations, but refused to provide further details.

This prompted the ICPC to escalate the case to the Office of the National Security Adviser (ONSA), where a multi-agency investigative panel was formed.

“A committee was set up including Gen. Monguno, Professor Bolaji Owasanoye, myself, Bellozi Adama from EFCC and others. We were told to investigate the matter,” Johnson explained.

During the interrogation, Johnson recounted, Nwabuoku initially admitted that only ₦100 million of the funds belonged to him. However, subsequent tracking and forensic analysis revealed that much larger amounts were funneled through the accounts of his proxies.

“As soon as funds were deposited into the Ministry’s accounts, it was diverted and withdrawn by Gideon Joseph. The cash withdrawn would be deposited by Gideon into the account of M. Daddy’s Ltd,” Johnson said.

Another witness, Jerry Nwachukwu, also confirmed the movement of ₦355 million into M. Daddy’s Ltd on Nwabuoku’s orders. Investigators further discovered that ₦150 million was transferred from that account to Quantum Zenith Ltd.

Additional financial trails uncovered included ₦13 million allegedly paid to El Salen Ltd for a property, and ₦10 million reportedly used to purchase a generator.

“We obtained records from City Gate Homes showing a property of N65 million linked to the defendant. We told him these are proceeds of crime which must be recovered. We inspected the house at City Gates Homes and seized the keys,” Johnson testified.

When the prosecution sought to verify Nwabuoku’s assets declaration, the Code of Conduct Bureau confirmed there was no record of such properties.

“We wrote to the Code of Conduct Bureau and they said there was no information on his assets,” Johnson told the court.

Several key documents were admitted into evidence, including correspondences from the Office of the National Security Adviser (dated January 18 and 20, 2022), Remita payment records, responses from the Code of Conduct Bureau, and bank records from Zenith and Access Banks.

Justice Omotosho adjourned the case until May 22 and 23, 2025, for continuation of trial.

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