DPP Arraigns Mortgage Bank MD Over Alleged N32.6m Fraud

DPP Arraigns Mortgage Bank MD Over Alleged N32.6m Fraud

Former Managing Director of the Mortgage PHB Limited, Bayo Adewakun, was today, arraigned before  a Federal High Court, Lagos, for allegedly defrauded the mortgage firm of the sum of N32, 632, 667.91 million.

Adewakun, founder of a consultancy firm, B.Waks Consultant, situated at 72, Queen Street, Alagomeji, Lagos, was alleged to have committed the offence between April 29, 2014 and June 28, 2019, while at the helm of affairs of the mortgage firm.
Apart from allegedly defraud the bank of the said sum, he was also accused of have recklessly granting loan facilities of more than 20  percent of shareholders funds to his firm, B. Waks Consultant.

The defendant was arraigned before Justice Saliu Saidu led-court, by the office of Department of Public Prosecution (DPP) of the Office of Attorney-General of the federation (AGF), on four counts charge of reckless granting of loan facilities without having mandatory approval from the Bank.

The alleged offences according to prosecutor, Mrs. Gladys Ezinwa-Ukoha,  are contrary to 15(1)(a)(i) of the Failed Banks (Recovery of Debts and Financial Malpractices in Bank Act) CAP F2, Laws of the Federation of Nigeria 2004 and Punishable under Section 16(1) (3) of the same Act. 

And sections 20  and 18(a) of the Banks and Other Financial Institution Act (BOFIA) CAP F2 Laws of the Federation of Nigeria 2004 and Punishable under under Section 18(2) of the same Act. 

The prosecutor, while arraigning the defendant, alleged that he recklessly granted a facility of N10 million, N5 million and N17. 632, 667.91 million, to his firm, B. Waks Consultant, without adequate security for such facilities .

The prosecutor also told the court that the defendant used the said facilities to partly finance the completion of a Housing Development at Victoria Garden City (VGC) for outright sale.

However, the defendant pleaded not guilty to the charges.

Upon the defendant not guilty plea, the prosecutor asked the court for a trial date.

The defendant’s counsel, S. B Joseph and A. A. Kelani told the court that they have filed their client’s bail application and has been served on the prosecutor.

The counsel pleaded for a short date to hear and determine the application.

The prosecutor, Mrs. Ezinwa-Ukoha, admitted being served with the application but said she needed to go through the application and file her response.

With the parties demanded for a short date, Justice Saidu, adjourned the matter till Monday, March 16, for hearing and determination of defendant’s bail application. 

Justice Saidu however ordered that the defendant be remanded in the custody of Nigerian Correctional Services (NCS) till the determination of the bail application

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