In a series of events that is credited as the largest financial crime in the World History, Emmanuel Nwude, a director at Union Bank, defrauded Nelson Sakaguchi and the Brazilian Bank, Banco Noroeste Brazil of the sum of 242 million dollars with a scheme that, in retrospect, seems like something out of an episode of impractical jokers.
According to a Newswatch editorial dated Monday, July 07, 2003, Emmanuel Nwude was, at the time he was caught, one of the wealthiest Igbo businessmen in Nigeria.
Popularly known as the Owelle of Abunuga, Nwude is said to have owned a 10-storey building in the heart of Lagos. In a manner consistent with his wealth and flashy luxury, he lived on the top floor of the building while the bottom floor housed a commercial bank. Every metre of space in between those two floors was dictated to his private concern, Euro-holdings.
Nwude was said to own buildings across Nigeria and cities in the United States.
Anyone who wondered about his wealth would have found a simple convincing response. Nwude owned millions of shares as the singular largest equity holder in Union Bank. Unt6il 2001, he was also a member of the board of directors of the bank.
It was in this capacity that Nwude pulled off one of the most daring and outrageous schemes that the world has ever seen.
According to Nuhu Ribadu, who was EFCC’s chairman as at the time of his conviction, the swindle took place over a four year period, starting in 1995.
His main tactic was impersonation. Nwude posed as the CBN governor at that time, Paul Ogwoma.
His accomplice, Ikechukwu Anajemba posed as Rasheed Gomwalk who was the CBN’s Director of International Remittance. Anajemba’s wife, Amaka posed as Gomwalk’s wife, completing the unholy trio.
Ikechukwu Anajemba died in 1998, as the proceeds of the scam were finally delivered, leaving his wife to take his share.
Together, the trio and a host of ancillary accomplices presented a proposition to the head of International Finance at Brazil’s Banco Noroeste Brazil, Nelson Sakaguchi.
Using false correspondence and Nwude’s access to confidential, high-level documents, they convinced Sakaguchi that the Nigerian government was seeking investors to build an airport in Abuja, the new capital.
If Sakaguchi could provide the first investment of 242 million dollars, they said, he was entitled to a commission of 10%.
The deal has not been presented as a cooperate offering, so Sakaguchi did what he thought he had to do; he illegally dipped into his bank’s funds and began to make a series of payments to accounts around the world.
He and Nwude agreed that he would pay some of the 242 million dollars as cash and the rest in some form of facility.
Between 1995 to 1998, Sakaguchi transferred 191 million in cash to Nwude and his accomplices. The rest was conveyed as some form of outstanding interest.
During this period, Nwude and his accomplices spent lavishly. Amaka , Anajemba’s wife, became known as a socialite, erecting massive edifices in her hometown of Enugu and making friends among Nigeria’s political class.
The fraud was only discovered when the victim bank was the subjest of a buy-out by the Spanish bank, Santander.
At a joint meeting in 1997, an official from Santander inquired about why a large sum of money, two-fifths of Noroeste’s total value and half their capital was sitting in the Cayman Islands unmonitored. This discovery led to extensive criminal investigations in five continents.
The effect on Banco Noroeste was fatal. The owners had to pay the missing 242 million dollars out of their pockets for the purchase to go ahead, but that narrow escape did not secure its future. In 2001, Banco Noroeste collapsed.
Nwude and his accomplices enjoyed their loot for years, but in 2003, a trail created by years of reading the fine print and making connections from the Cayman Islands landed in Lagos.
Newswatch reported that Nwude was picked up early June 2003 at his residence in Ikoyi, Lagos. Seven of his exotic cars were also taken to the premises of the EFCC on 15, Awolowo Road, Ikoyi.
A series of trials began with the Central Bank of Nigeria and the newly created Economic and Financial Crimes Commission (EFCC) on one hand and Emmanuel Nwude and his accomplices the other.
In February 2004, Amaka Anajemba, Emmanuel Nwude, Emmanuel Ofolue, Nzeribe Okoli, and Obum Osakwe, with Ikechukwu Anajemba post-humously mentioned, were all charged in the Federal High Court, Abuja with 86 counts of “fraudulently seeking advance fees” and 15 counts of bribery related to the case.
They all pleaded not guilty. Their trial only got more eventful. By early 2004, it almost appeared that the judicial bureaucracy had brought the trial to a stalemate. In a report dated Tuesday, July 20, 2004, the BBC reported that the presiding Judge, Lawal Gumi declared that the elements of the crime had not yet taken place in Abuja, and as such, he lacked the jurisdiction to hear the case.
Nwude and his accomplices were released only to be re-arrested outside the court and taken to Lagos.
The next year, with the trial nearing a definite conclusion, underhanded tactics began to play out.
Nwude allegedly tried to bribe the EFCC head honcho, Nuhu Ribadu with 75,000 dollars in cash. He was charged with additional counts for his trouble, in addition to a five-count charge for an incident where a prosecution witness was almost kidnapped.
In September 2005, a bomb scare during his trial caused the court-house to be evacuated and the trial adjourned.
Resolution finally came in its first form when Amaka Anajemba admitted to helping her husband. She was sentenced to two and a half years in prison and ordered to repay 25.5 million dollars.
Weeks after, Sakaguchi, the object of Nwude’s fraud offered first-hand testimony in a Lagos high court.
With little room to manoeuvre, Emmanuel Nwude and Nzeribe Okoli pleaded guilty to the charges against them. They had conceded grounds in hopes of getting a lenient sentence. That did not seem to matter much; both were sentenced to 37 years in prison collectively.
According to Reuters, Emmanuel Nwude was sentenced to 25 years and Nzeribe Okoli to 12 years for their part.
Reading his final judgement, Justice Joseph Oyewole was reported saying : “ The activities of the accused persons not only led to the collapse of a bank in a foreign country but also brought miseried to many innocent people.”
The next Monday, according to IRIN News, EFCC chair, Nuhu Ribadu made the refund of 17 million US dollars to William Richey, a lawyer representing the defunct Banco Noroeste.
Nwude’s assets were confiscated and he was charged with paying a fine of 10 million dollars to the National Government.
Emmanuel was released in 2006.
In the months later, he instituted many Fundamental Rights cases against the government for the recovery of some of his property, on the grounds that he had acquired them before the fraud.
More than a decade after his release, Nwude presently sits in one of the cells at the creatively-named Arkham Prisons, Gotham City in Anambra State, and awaiting trial for murder.
On August 19, 2016, about 200 people attacked the town of Ukpo in the Dunukofia area of Anambra State, ostensibly as part of a land dispute with the neighbouring Abagana , where Nwude still enjoys heavy clout.
The Anambra Police Command arrested him as one of the sponsors of the attack, charging him on 27 counts of murder, attempted murder and terrorism. The matter is currently before a High Court in the state.
Source: pulse.ng, ourpage9ja.