AfriPulse
November 16, (THEWILL) — The Economic and Financial Crimes Commission (EFCC) has arraigned a former staff member of a new generation bank, Obinna Nwaobi, before the Federal High Court sitting in Enugu, over the alleged diversion of a customer’s $510,000.
Nwaobi, who was once a banking officer, is standing trial on a seven-count charge bordering on obtaining money by false pretence, fraudulent conversion, and stealing.
Brought before Justice C.O. Ajah on Thursday, the EFCC accused Nwaobi of abusing the trust associated with his position by allegedly converting funds meant for investment and financial management to his personal use.
According to the anti-graft agency, the offences contravene Section 1(1)(a) of the Advance Fee Fraud and Other Related Offences Act 2006, as well as Sections 342 and 343 of the Criminal Code Law of Enugu State.
Court documents indicate that Nwaobi allegedly received the sum of $510,000 from a customer under the pretext of assisting with the management and investment of the funds. However, instead of executing the agreed financial plan, investigators say he dishonestly diverted the money for his own benefit. The alleged fraud came to light after the bank detected unusual transfers connected to his credentials.
The Commission disclosed that the matter was triggered by an internal alert raised by the bank’s monitoring system. A routine compliance review reportedly flagged suspicious transactions linked to Nwaobi, prompting further scrutiny. Upon confirming irregularities, the bank escalated the case to the EFCC, which subsequently launched a full investigation culminating in his arraignment.
A senior compliance officer at the bank said the institution’s upgraded surveillance mechanisms played a crucial role in detecting the anomaly. He noted that the bank has been investing heavily in advanced anti-fraud tools designed to track unusual account movements in real time, a move he said has significantly strengthened internal controls.
He added that the bank remains committed to sanitising Nigeria’s financial institutions by enhancing its fraud-detection protocols and ensuring swift disciplinary actions against staff involved in unethical practices. According to him, maintaining customer trust remains a top priority, and the institution will continue collaborating closely with law enforcement agencies to combat financial crimes.
The bank further reiterated that its partnership with regulatory and security agencies is ongoing, noting that such cooperation is necessary to safeguard depositors’ funds and promote integrity within the banking system. It assured customers that proactive steps are continually being taken to prevent similar breaches from occurring in the future.
Upon arraignment, Nwaobi pleaded not guilty to all the charges preferred against him. His counsel indicated readiness to contest the allegations, while the EFCC prosecution team sought a trial date and urged the court to order his remand pending the determination of his bail application.
Justice Ajah granted the prosecution’s request and directed that the defendant be remanded at the Enugu State Correctional Facility pending the determination of his bail application and adjourned the matter for further hearing.
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Source: TheWillNigeria | Read the Full Story…
