N855m Fraud: Appeal Court Demands Evidence of State Pardon from Convicted Indian, Others

Wale Igbintade

The Court of Appeal, Lagos Division has ordered counsel to an Indian businessman, Ashok Israni and two bankers, Anayo Nwosu and Olajide Oshodi to produce before it documents backing up their purported pardon by the Lagos State government.

Justice Kudirat Jose of the Lagos State High Court in Igbosere had in December 2019 jailed Israni, Nwosu and Oshodi on an amended 15-count charge of conspiracy and obtaining money under false pretence to the tune of N855 million brought against them by the Economic and Financial Crimes Commission (EFCC).

The lower court had sentenced them to five years imprisonment each on counts 1, 3, 4, 7, 9, 10 and 13 of stealing.

Justice Jose  had also convicted NULEC Industries Limited belonging to Israni and Keystone Bank Limited in her judgment.

The companies were also ordered to pay a fine of N20 million to the federal government on counts 1, 10 and 13.

The Judge also ordered the convicts to restitute the sum of N395 million to the victim of the fraud.

But just four months after their conviction, they were released from prison by officials of the Kirikiri Correctional Centre allegedly on the directive of the Lagos State Government, despite the pendency of their appeals before the upper court.

At the resumed hearing of the appeal yesterday, counsel to the EFCC, Rotimi Jacobs (SAN) informed the three-man panel of the Court of Appeal led by Justice Muhammad Suraj that the appellants have been released from prison on a pardon granted to them by the Lagos State government.

Other members of the panel are: Justice Obietonbara Daniel-Kalio and Justice Adebukola Banjoko

Jacobs also claimed that repeated demands he made on the officials of the Nigerian Correctional Service for a copy of the instrument of pardon showing that the appellants were granted pardon were not successful.

He, therefore called on the court to demand a copy of the instrument of pardon from lawyers to the appellants led by Bode Olanipekun (SAN), arguing that if they have been truly granted pardon the appeal before the court would amount to a waste of time.

In his response, Olanipekun admitted that his clients have been released from prison after they were granted clemency in 2020 by the Lagos State government due to the COVID-19 pandemic.

He, however, said he did not have copies of the documents in court but that he will be willing to produce them at the next sitting of the court.

Based on the development the court adjourned the matter to May 10, 2023, to enable him to produce the documents.

Before the court adjourned, the court also order all the parties in the case to comply with the rules of the Court by filing their processes in the mandatory formats.

The appellants in their separate appeals argued that the Lagos State High Court lacks the jurisdiction to entertain the charge filed against them because it borders on the purchase of shares by an investor, via a private placement exercise.

They also submitted that Section 251 (1) (e) of the Constitution of the Federal Republic of Nigeria, gives the Federal High Court exclusive jurisdiction on matters arising from the operation of Companies under the Companies and Allied Matters Act.

The EFCC had alleged that they fraudulently converted N855 million, being the property of Dozzy Oil and Gas Ltd, to their use, between 14 July and 31, 2008, in Lagos.