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Court okays EFCC ’s power to freeze suspicious accounts
The Court of Appeal in Abuja has affirmed the power of the Economic and Financial Crimes Commission ( EFCC ) has the power to freeze suspicious accounts.
The court said the anti-graft agency can direct banks to suspend operation of accounts suspected to have been used for criminal activities, or any account of into which slush funds and proceeds of crime have been deposited.
The court, however, said such a directive by the EFCC to banks must be followed by an order of a court for interim freezing, which it must obtain from a competent court, to enable it conduct investigation to ascertain the origin of the funds.
The appellate court said these in a unanimous judgment by its three-man panel on an appeal by Messrs A. R. Security Solutions Limited, which challenged the refusal by a Federal High Court in Abuja to vacate an interim freezing order earlier granted against it.
Justice Binta Nyako of the Federal High Court, Abuja had on January 25, 2016, granted an ex-parte application by the EFCC for, among others, an interim freezing order on A. R. Security accounts with Heritage Bank.
R Security applied to the court to have the order set aside, a request Justice Nyako, in a ruling on April 22, 2016, refused, prompting the company to approach the appellate court.
Justice Mohammed Mustapha, who prepared the lead judgment of the appellate court, resolved the sole issue raised for determination against the appellant.
The issue was whether the trial court was right to have held that the EFCC could obtain an order of court to temporarily freeze the appellant’s account, once the account is the subject of investigation.
Justice Mustapha said while the EFCC was empowered, under sections 28 and 29 of its establishment Act to trace, attach and apply for interim freezing order on such suspicious accounts, the court, under Section 44(2)(k) of the Constitution, was empowered to grant such interim injunction.
He said: “The respondent ( EFCC ) clearly bears the burden of establishing that there is a prima facie evidence that the property in issue is liable to be forfeited on account of its being proceed of crime.
“That burden is discharged once there is an arrest for an offence under the Act ( EFCC Act), and the respondent traces the assets and attaches the property of the accused person acquired as a result of economic and financial crimes. That done, the respondent is entitled to an interim attachment order by the court.”
Justice Mustapha agreed with the appellant that the EFCC must show that the origin of the suspicious funds is illegal.
He added: “If bank accounts have to be investigated with any degree of success for the purpose of tracing criminality in transactions, how else can that be done without exercising some degree of control over the account?
“It stands to logic and common sense that any serious investigation of criminality in a bank account has to first and foremost start with taking control of the bank account or at least putting restraints on the account; anything short of that will be quixotic, because funds in the account investigated will simply take a flight. That is the logic behind sections 28 and 29 of the Act.
“Prima facie proof starts, for the purpose of the Act, with arrest of the accused person for financial and economic crimes, which now denotes, at this stage, that the monies in the account are likely proceeds of crimes, and therefore, liable to forfeiture, thus necessitating the grant of the interim order.
“It is for these reasons that the money in the accounts is fair game, because that attachment and proper investigation of such accounts will assist the respondent (EFCC) in prosecuting the accused successfully or consequently lead to the discharge of the order, depending on how the investigation goes.
“The need for credible evidence, showing the money to be proceeds of crime, underscores the necessity for the respondent’s mandate to ‘immediately trace and attach’ the property.”
He added that the grant of the interim order by the court was to enable the EFCC conduct a holistic investigation on the account to enable it establish whether or not the origin of the funds in the affected account was illegal.
“It has to be pointed out that ultimately, it is for the same reason that the grant of interim order becomes necessary, as it explains the necessity for the respondent to have, not only access, but control of the account, by having it frozen, anything else might end up being pyrrhic for the respondent,” Justice Mustapha said.
Other members of the panel – Justices Abubakar Datti Yahaya and Tani Yusuf Hassan – agreed with the lead judgment a copy of which was seen by The Nation.
US car giant Ford on Wednesday announced 4,000 more job cuts in Europe, mostly in Germany and Britain, in the latest blow to the continent’s beleaguered car industry.
“The company has incurred significant losses in recent years,” Ford said in a statement, blaming “the industry shift to electrified vehicles and new competition”.
The move will affect 2,900 jobs in Germany, 800 in the UK and 300 in western Europe by the end of 2027, a Ford spokesman told AFP.
“It is critical to take difficult but decisive action to ensure Ford’s future competitiveness in Europe,” said Dave Johnston, Ford’s European vice-president in the statement.
The company also said it was adjusting the production of its Explorer and Capri models, resulting in reduced hours at its Cologne plant in the first quarter of 2025.
Europe’s car industry has been plunged into crisis by high manufacturing costs, a stuttering switch to electric vehicles and increased competition in key market China.
Germany’s Volkswagen has been among those hardest hit, announcing in September that it was considering the unprecedented move of closing some factories in Germany.
“The European automotive industry is in a very demanding and serious situation,” Volkswagen CEO Oliver Blume said at the time.
Ford had already announced in February 2023 that it was planning to cut 3,800 jobs in Europe, including 2,300 in Germany and 1,300 in Britain.
The company said then it was planning to reduce the number of models developed for Europe, concentrate on the profitable van segment and speed up the transition to electric vehicles.
Ford currently has around 28,000 employees in Europe with 15,000 in Germany, according to the company’s works council.
President Bola Tinubu has approved the dissolution of the Governing Council of Nnamdi Azikiwe University (UNIZIK), Awka, Anambra State, and the removal of the institution’s Vice-Chancellor, Prof. Bernard Ifeanyi Odoh, and Registrar, Mrs. Rosemary Ifoema Nwokike.
The council, chaired by Ambassador Greg Ozumba Mbadiwe, comprised five other members: Hafiz Oladejo, Augustine Onyedebelu, Engr. Amioleran Osahon, and Rtd. Gen. Funsho Oyeneyin.
A statement released on Wednesday by presidential spokesperson, Bayo Onanuga, revealed that the council was dissolved following reports of procedural violations in appointing the vice-chancellor.
According to the statement, the council had allegedly appointed an unqualified candidate, disregarding due process, which triggered tensions between the university’s Senate and the council.
The Federal Government expressed dismay over the council’s actions, emphasizing the need for adherence to the university’s governing laws in decision-making.
“The council’s disregard for established rules necessitated the government’s intervention to restore order to the 33-year-old institution,” the statement noted.
In a related development, President Tinubu also approved the dismissal of Engr. Ohieku Muhammed Salami, the Pro-Chancellor and Chairman of the Governing Council of the Federal University of Health Sciences, Otukpo, Benue State.
Salami was accused of suspending the university’s Vice-Chancellor without following the prescribed procedures, a move the Federal Ministry of Education had previously directed him to reverse.
Despite the Ministry’s directives, Salami reportedly refused to comply and resorted to issuing threats and abusive remarks towards the Ministry’s officials, including the Permanent Secretary.
The Federal Government reiterated that the primary role of university councils is to ensure the smooth operation of academic activities, strictly adhering to the laws establishing each institution.
Tinubu warned university councils against engaging in actions that could destabilize their institutions, as his administration remains committed to enhancing the nation’s education system.
The Ekiti State Government has reached an agreement with labour leaders in the state, signing a Memorandum of Understanding (MoU) for the payment of the N70,000 minimum wage approved by the Federal Government.
Addressing journalists at a brief ceremony in Ado-Ekiti on Tuesday, the Head of Service (HoS), Dr. Folakemi Olomojobi, announced that the payment would commence immediately.
She lauded Governor Biodun Oyebanji for prioritizing the welfare of workers despite the state’s limited resources.
“This development demonstrates the governor’s commitment to improving the livelihood of our workers,” Dr. Olomojobi stated, highlighting the proactive measures taken by the administration to ensure prompt implementation.
In their remarks, the Trade Union Congress (TUC) Chairman, Comrade Sola Adigun, and the Nigeria Labour Congress (NLC) Chairman, Comrade Olatunde Kolapo, expressed their appreciation to Governor Oyebanji for fulfilling his promises to workers.
They confirmed that the new minimum wage would apply to all cadres, including employees in ministries, parastatals, agencies, and pensioners.
The Chairman of the Joint Negotiating Committee (JNC), Comrade Femi Ajoloko, described the implementation as a fair and commendable adjustment.
“This decision reflects the governor’s magnanimity and his dedication to fostering a productive workforce in Ekiti State,” he said.
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