Abuja — The Federal High Court has granted final forfeiture of $7 million recovered by the EFCC from a Providus Bank vault to the Federal Government, after the interim order was publicised and no credible claimant came forward.
Justice Emeka Nwite made the order following an interim freezing on Aug. 27 and a court-directed publication inviting objections. Rotimi Oyedepo, SAN (for the EFCC) noted an affidavit of compliance filed Sept. 3 and told the court no opposition was received. A lawyer who earlier announced appearance for an unnamed “interested party” did not return to file; another counsel present did not oppose. The court found the application meritorious and ordered final forfeiture to the FG.
Per EFCC investigator Emmanuel Okeibunor (Affidavit FHC/ABJ/CS/1763/2025), $7,000,000 in cash was conveyed to Providus Bank, 114 Adeola Odeku, VI, Lagos (Mar 25–26) and kept in the bank’s vault, not credited to any known customer account. Interviewed persons allegedly linked the money to Oceangate Engineering Oil & Gas Ltd; its MD reportedly denied taking cash to the bank but acknowledged a $7m loan yet to be repaid. The affidavit further alleges no Suspicious Transaction Report (STR) was filed to the NFIU. The funds, recovered in raw cash, were taken to the CBN for safekeeping; the court has now vested them in the Federal Government.
Note: Forfeiture here is non-conviction-based. Allegations in the EFCC affidavit are not findings of criminal guilt.
Legal Lens: How Final Forfeiture Lands
- Two-stage process: (1) Interim order + publication inviting objections; (2) Final order where the court finds the funds are tainted/abandoned or no credible claimant appears.
- Burden: The state must show reasonable grounds that assets are proceeds of unlawful activity or unclaimed; criminal conviction not required.
- Aftermath: An affected party may seek set-aside/appeal, but the threshold is high once final forfeiture is entered.
Banking & AML/CFT Takeaways
- Off-ledger vaulting risk: Holding large USD cash in a vault without account credit is a severe KYC/AML red flag—opaque beneficial ownership and source-of-funds.
- STR/CTR discipline: Failure to file STRs/CTRs where applicable creates regulatory exposure and potential sanctions.
- Controls & trail: Loan narratives must align with core-banking records (offer, disbursement, utilisation, security). Discrepancies invite enforcement.
- Policy signal: Expect intensified cash de-risking, beneficial-owner transparency, and compliance audits across the sector.
By the Numbers
- Amount: $7,000,000 (USD)
- Interim order: Aug 27 • Affidavit of compliance: Sept 3
- Location (alleged vaulting): Providus Bank, 114 Adeola Odeku St., VI, Lagos (Mar 25–26)
- Case Ref.: FHC/ABJ/CS/1763/2025
- Key actors: Justice Emeka Nwite; EFCC counsel Rotimi Oyedepo, SAN; EFCC investigator Emmanuel Okeibunor
What to Watch Next
- Any appeal/set-aside application by a putative claimant.
- Regulatory follow-up (CBN/NFIU) on reporting lapses and cash-handling controls.
- Civil litigation among private parties (title, loan narratives, indemnities).
- Sector guidance tightening vaulting/STR protocols and evidentiary trails.
BRANDECONOMY Take
Thesis: This ruling is a case study in non-conviction forfeiture intersecting with bank control failures. In a dollar-scarce, AML-tight environment, uncredited vault cash is a reputational and regulatory hazard. The durable fix is process: credit-only flows, ironclad STR culture, real-time compliance escalation, and documentation that tells a clean, auditable story.
Bottom line: In compliance, process is protection. If your books and records can’t explain the cash, a court may remove the cash—permanently.
FAQs
Does final forfeiture prove a crime?
No. It’s a civil recovery tool; assets can be forfeited without a conviction if statutory tests are met.
Can anyone still claim the money?
Only via appeal/set-aside, showing procedural error or lawful title—the bar is high post-final order.
Why is this significant for banks?
It underscores STR/CTR obligations, source-of-funds scrutiny, and the risk of off-core cash handling outside normal account flows.
