Justice Mojisola Dada of the Special Offences Court, Lagos has adjourned till July 1, 2025 further hearing in the trial of a former Managing Director of Assets Management Corporation of Nigeria (AMCON), Mallam Ahmed Kuru and four others over alleged N76bn and $31.5m fraud.
The agency in a statement issued Monday said Kuru, alongside Managing Director of Arik Air,
Capt. Roy Ilegbodu, Receiver Manager of Arik Air, Kamilu Omokide, Union Bank Nigeria Plc and Super Bravo Limited are facing trial on a six-count charge bordering on conspiracy, stealing, and abuse of office to the tune of N75 billion and $31.5 million fraud.
At the resumed sitting on Monday, the third prosecution witness, PW3, former Executive Director, Credits, AMCON, Muhammed Jega stated that Arik debt with AMCON fell within the category of non-performing loans as categorised by the regulatory agencies in the country.
Jega, under cross-examination at the last adjourned sitting, had testified that the Arik loan, which AMCON purchased at the first phase of the Eligible Bank Asset (EBA) was performing.
However, during further cross examination, he recanted his earlier testimonies to the court when he told the court that the AMCON leadership, which he was part of as an Executive Director, purchased from Union Bank and Bank PHB a whopping N85 billion Arik debt.
He told the court that AMCON also extended an additional loan to the tune of N11 billion as working capital to Arik.
Jega noted: “Despite the funds injected by AMCON as well as the BOI intervention funds injected into Arik, which AMCON also guaranteed, Arik was not able to service its obligations with AMCON up until the time he left AMCON.
“Though I served as Executive Director, Credits, AMCON, and carried out all my actions with Board’s approval, I never sighted the Loan Purchase Agreement, which chronicled the number and credit details regarding the embattled Arik loan, especially from Union Bank.
“As at the time I left AMCON in 2015, the Arik loan was non-performing,” he said.
Jega, who maintained that Union Bank deceived AMCON, stated that it was after the “so-called London meeting between the obligor and the Executive Management of AMCON that it became clear that there were issues with the purchase.”
He, however, failed to explain why he could not escalate the matter to both the Board of AMCON and the Central Bank of Nigeria.
Jega also admitted that aside from the guarantees, Arik Air Limited and its promoter had other loans with AMCON.
Under further cross-examination, he admitted that apart from Union Bank, none of the defendants in the criminal trials, was part of the acquisition or restructuring of the Arik loan.
The matter was adjourned till July 1, 2025 for continuation of trial.