Finance
N7b wonder bank scheme: EFCC freezes 16 accounts, detains mastermind
BY: Oliseama Okwuchukwu
The flop of a promising multi-million scheme, which was to deliver between 135 and 200 percent interest to investors, has forced the Economic and Financial Crimes Commission to freeze 16 bank accounts associated with the scheme.
Similarly, the operator of the scheme and his company are now under investigation by the EFCC, which had already taken them in for interrogation over the project that has reportedly led to the loss of over N7 billion by no fewer than 27,440 unsuspecting Nigerians.
While the probe is going on, no fewer than 22 property spread in various parts of the country, have been traced to the key suspect, whose name was given by the EFCC as Babagana Dalori, while the business name was given as Galaxy Transportation and Construction Services Limited.
The anti-graft agency is investigating to establish whether indeed, the suspect used his business outlet as a means of extorting the huge sum of money, which he made Nigerians to invest with a promise of huge return on their investments.
Already, the operatives have confirmed they are probing the man to establish whether he had committed a criminal breach of trust and obtaining money under false pretence, serious offences punishable under the EFCC ACT and other laws of the country.
An interim report turned in by investigators said: “At the moment, he has used the investors’ money to incorporate different entities without getting their consent. He now has Galaxy Global Energy Concept Ltd, Galaxy Miners Concept Ltd, Galaxy Global Farms, Galaxy Computers, Galaxy Block Making Factory, Galaxy Hospital and Galaxy Hotel.”
“Contrary to the claim of Galaxy spokesman that the matter was civil and not criminal, the business of deposit-taking under Nigerian legislation can only be undertaken by a licensed deposit- taking financial institution as enshrined in Banks and Other Financial Institutions Act (BOFIA), CBN Act and the NDIC.
EFCC investigators also discovered that Dalori initially paid 200 per cent interest on the investors deposits with the firm and later reduced the interest to 135 per cent before the scheme later crashed in 2018.
Dalori further engaged in rigorous advertisements in the radio and television stations including a movie by the Nollywood to convince the investors.
According to the EFCC investigators, “Due to the trust reposed on him; investors keep on investing in his Galaxy scheme.
He used flyers, advertisements in the television and radio stations in order to convince the investors.
“He even went to the extent of organizing Nollywood to act a movie for him over the scheme. He specifically organized some actors and actresses in Kannywood to act in a movie called “Zero Hour” to show the need for people to invest in Galaxy.
“Unfortunately, his gimmicks paid off as different people took their hard earned savings, inheritance, pensions and other source of income and invested in Galaxy. “Now, the scheme has crashed and investors can no longer get their money.
The report further said: “Investigation into this case is still at preliminary stage as the team is intensifying efforts to trace all assets that belong to the 1st suspect and 2nd suspect. So far, Twenty 22 property have been traced to the suspects including Six Filing Stations and Five Quarries across different states. “Also, responses from Banks and CAC are being awaited. Preliminary investigation has so far revealed the possibility of the suspects to have diverted the funds of various investors to other business rather than the businesses they invested in.
At the end of the investigation, we may have a case of Criminal Breach of Trust and Obtaining Money under False Pretence,” the report said. However, Dalori has vehemently denied committing any crime, saying the business deal he had with other Nigerians were genuine and doing well before it ran into murky waters.
According to him, the ongoing mater was a civil matter and not criminal as insinuated, adding that his arrest and detention was not as a result of any fraud.
Speaking through one of his officials, Mr. Cletus Onoja, Dalori said the company was merely taken for investigation by the EFCC following a petition by the company clients. Onoja explained that what was at stake was that the company could no longer meet its obligations to its clients within the time expected of it for reasons beyond its control.
He said, “As such, some investors who were not satisfied with our explanation and efforts currently put at recovering the loss petitioned the EFCC even though the matter was civil and not criminal. “As an obedient citizen of the country, the MD/CEO turned in and gave himself to the Commission’s interrogations,’’
According to Onoja, since commencement in 2010, the company has never defaulted in its obligations to remit what is due to each of its investors.
“It is on record that even when the country was in recession in 2016 and 2017, our company did not fail to meet its obligations to pay its clients and business partners,” the official said.
He said the company runs a legitimate transportation and construction services business in over five states in the country with its headquarters in Abuja for the last nine years.
Finance
Stanbic IBTC Capital leads Presco PLC’s ₦82.9 Billion Bond Issuance to drive West African market growth
Reporter: SANDRA ANI
Presco PLC (Presco or the “Company”), has achieved a significant milestone with the successful issuance of its ₦82,896,000,000 7-year 23.75% senior unsecured fixed rate Series I Bonds under its ₦150 billion bond issuance programme (the “Transaction”) with the Securities and Exchange Commission (“SEC”). Stanbic IBTC Capital Limited (“Stanbic IBTC Capital”) acted as the Lead Issuing House on the Programme.
The proceeds from the Transaction will enable the Company fund its acquisition of a 100% equity stake in Ghana Oil Palm Development Company (GOPDC), further supporting its strategic expansion objectives.
Speaking on the transaction registration, Mr Reji George, Managing Director / CEO, Presco PLC commented:
“The successful completion of our Series 1 Bond issuance solidifies Presco’s foundation for continued growth and expansion. Aligned with our strategic objectives of increasing our planted area of palm oil and, to lead Africa in the fully integrated edible oil and fats business in the nearest future, the proceeds from this issuance will be primarily directed towards the acquisition of a majority equity stake in the Ghana Oil Palm Development Company (GOPDC).
This not only enhances our operational efficiencies, It also solidifies our market presence and competitive advantage in the palm oil sector beyond Nigeria. Most importantly, this will enable us to better serve our valued customers and deliver sustainable value to our shareholders. We extend our sincere gratitude to Stanbic IBTC Capital and all our advisors for their support throughout this process.”
Also speaking on the transaction registration, Oladele Sotubo, Chief Executive, Stanbic IBTC Capital, said:
“Stanbic IBTC Capital is proud to have advised Presco PLC on the successful issuance of its ₦82.9 billion Series 1 bond. As the largest local currency corporate bond issuance in the Nigerian market in recent years, this milestone underscores our deep expertise in capital markets and our commitment to delivering innovative, high-impact financial solutions.
Beyond reinforcing Presco’s strategic growth, this transaction enhances funding diversification within the agricultural sector, driving sustainable industry expansion. We appreciate Presco PLC’s trust in Stanbic IBTC Capital and the consortium of advisors who contributed to the successful execution of this landmark deal.
Flutterwave, Africa’s leading payments technology company, has announced today that its online merchants in Nigeria can now accept American Express payments.
American Express Card Members – with consumer, business, or corporate cards – will be able to make payments directly to e-commerce businesses using Flutterwave in Nigeria.
This service will also be available to Flutterwave merchants in other countries including Tanzania, Rwanda, Ghana and Uganda in the near future.
This collaboration facilitates online transactions and offers a range of benefits for both merchants and online shoppers:
- Flutterwave merchants can attract business from a new customer base of American Express Card Members in Africa and around the world. This includes consumers with personal cards and spenders with business or corporate products. Terms and conditions apply.
- For shoppers, there is more choice when it comes to being able to select their preferred method of payment when transacting with Flutterwave merchants. This collaboration strengthens the American Express global network and increases the number of locations across Africa that can be used by American Express Card Members to purchase a range of different goods and services.
Speaking on the development, Olugbenga ‘GB’ Agboola, Founder and CEO, Flutterwave, said:“At Flutterwave, we’re always looking for ways to connect the world to Africa through payments. This is one of our initiatives to ensure that more people across the world can pay using Flutterwave in Africa. We understand the value of providing shoppers with payment methods that work for them, as well as helping businesses to expand their customer bases. This collaboration also provides more options of where to shop and what to buy to American Express card holders across the globe. By offering American Express as a method of payment, Flutterwave will make the payment process faster and simpler for American Express card holders, and improve the experience for e-commerce businesses using Flutterwave, helping them to start locally and sell globally.”
On his part, Briana Wilsey, Vice President and General Manager of Global Network Services EMEA at American Express, said: “American Express continues to expand in Africa to enable greater payment choice for businesses and consumers. Through the agreement with Flutterwave, a trusted payment provider, we are giving e-commerce merchants in Nigeria the opportunity to reach American Express Card Members around the world. The collaboration is a win-win because it also increases the number of places where our Card Members can use their Cards in Nigeria.”
Flutterwave and American Express share similar visions; to enable businesses across the world to expand their operations in Africa and other emerging markets through a platform that enables local and cross-border transactions via one Application Programming Interface (API).
Flutterwave has processed over 630M transactions in excess of USD $31B, serves global and African customers like Uber, Air Peace, Bamboo, PiggyVest, and across various industries. On the other hand, American Express is a globally integrated payments company, providing customers with access to products, insights and experiences that enrich lives and build business success.
…Posts N3.3trn Net Profit, Declares N2.1trn Dividend
…Targets 2mbpd Crude Oil Production by December 2024
The NNPC Limited has released its 2023 Audited Financial Statement (AFS), declaring a net profit of N3.297 trillion at the close of the financial year which ended in December 2023, an increase of over N700billion (28%) when compared to the 2022 profit of N2.548trillion.
In a world press conference held at the NNPC Towers in Abuja on Monday, the Chief Financial Officer of the Company, Mr. Umar Ajiya said the release of the AFS is a testament to the Company’s commitment to transparency and accountability.
“Our fiscal performance reflects both strategic foresight and operational resilience. Despite inherent challenges of our operational and economic environment, we have improved the productivity and the financial performance of this great company,” Ajiya stated.
Ajiya added that posting such impressive returns demonstrates NNPC Ltd’s commitment to sustaining profitability and supporting the attainment of national energy security as stipulated by the Petroleum Industry Act (PIA) 2021, and by extension, as expected by the Company’s shareholders.
Explaining that the NNPC Ltd will announce Initial Public offer (IPO) once the shareholders and Board make a decision, Ajiya also debunked claims on subsidy payment, saying the Company was only taking care of the shortfall on PMS importation between it and the Federation.
Speaking earlier at the press conference, the Chairman of the NNPC Ltd Board, Chief Pius Akinyelure said that the excellent performance came as the fruit of the PIA 2021, the commitment of the Board, Management and staff of the company.
Akinyelure added that the shareholders of the company have since approved a final dividend of N2.1trn in line with PIA 2021 provisions.
In her remarks at the briefing, the Executive Vice President, Upstream, Mrs. Oritsemeyiwa Eyesan said with improvements witnessed as a result of the renewed vigour in the war against crude oil theft and pipeline vandalism, NNPC Ltd is targeting 2million barrels per day crude oil production by the the end of the year.
On the current fuel queues in parts of Lagos and the FCT, the Executive Vice President, Downstream, Mr. Dapo Segun appealed for understanding from Nigerians, saying that the the Company is working with relevant stakeholders to address the distribution, evacuation and logistics challenges.
It would be recalled that in 2021, NNPC declared profit in its operations for the first time. From a loss position of N803 billion in 2018, it reduced the loss further down to N1.7 billion in 2019.
However, in 2020, it posted its ‘first ever’ profit of N287 billion, then in 2021, it recorded a N674.1 billion profit and in 2022, the profit grew to N2.548, an unprecedented achievement in its financial performance. The N3.297 trillion profit declared for 2023 is the highest since the Company’s inception, 46 years ago.
