Alleged N76bn, $31.5m Fraud:  How N4.9bn Arik Air Assets Were  Diverted To Fund NG Eagle- Witness

Alleged N76bn, $31.5m Fraud: How N4.9bn Arik Air Assets Were Diverted To Fund NG Eagle- Witness

The fourth prosecution witness, PW4, Bawa Usman Kaltungo, in the trial of a former Managing Director/Chief Executive Officer of the Asset Management Corporation of Nigeria, AMCON, Ahmed Kuru, and four others over an alleged N76 billion and $31.5 million fraud, on Wednesday, October 28, 2026, told Justice Mojisola Dada of the Special Offences Court sitting in Ikeja, Lagos that Arik Air Limited’s assets worth N4.9 billion were clandestinely used to establish and fund NG Eagle Airlines, which was subsequently sold for approximately N149 million.

Kuru, alongside Kamilu Alaba Omokide, Roy Ilegbodu, Union Bank of Nigeria Plc and Super Bravo Limited, is being prosecuted by the Economic and Financial Crimes Commission, EFCC, on a six-count charge bordering on conspiracy, stealing and abuse of office.

One of the counts reads: “That you, Union Bank Nigeria Plc, sometime in 2011 or thereabouts, in Lagos, within the jurisdiction of this Honourable Court, with the intention of causing and/or inducing the unwarranted sale of Arik Air loans and bank guarantees with Union Bank, made false statements to the Asset Management Corporation of Nigeria (AMCON) regarding Arik Air Limited’s performing loans, following which you transferred a bogus figure of N71,000,000,000.00 (Seventy-One Billion Naira) to AMCON.”

Another count reads: “That you, Ahmed Lawal Kuru, Kamilu Alaba Omokide, as Receiver Manager of Arik Air Limited, and Captain Roy Ilegbodu, Chief Executive Officer of Arik Air Limited in Receivership, sometime in 2022 or thereabouts, in Lagos, within the jurisdiction of this Honourable Court, fraudulently converted to the use of NG Eagle Limited the sum of N4,900,000,000.00 (Four Billion, Nine Hundred Million Naira), property of Arik AirLimited.”

During the proceedings on Wednesday, Kaltungo, while being cross-examined by the defence counsel, Olasupo Shasore SAN, disclosed that the Commission, in the course of its investigations into the alleged fraud, invited Arik Air’s former Chief Financial Officer, Jonathan Sani, who provided a breakdown of the expenses incurred in establishing and funding NG Eagle.

He said: “The Chief Financial Officer of Arik Air was invited by the EFCC for questioning, and he gave us the breakdown of all the expenses.” The PW4 added that Sani provided further details in an additional statement.

The witness also maintained that the investigation established that Arik Air’s funds were used to meet expenses associated with NG Eagle, raising questions about the management and application of the airline’s resources during its receivership.

During cross-examination, Kaltungo explained the respective roles of the defendants, stating that Ilegbodu, the Chief Executive Officer of Arik Air under receivership, handled technical operations and reported to Kuru, while Omokide, the Group Head of Asset Management at AMCON at the time served as Arik airline’s receiver-manager.

On the dismantling of an Arik Air aircraft, registration number 5N-JEA and valued at $31.5 million, Kaltungo told the court that EFCC’s investigation found that the exercise was carried out without the approval from the Nigerian Civil Aviation Authority (NCAA).

He said the EFCC obtained intelligence from some AMCON’s staff and examined the email correspondence between Ilegbodu and an individual identified as Olanrewaju concerning the removal of parts from the aircraft. According to the witness, the correspondence contained instructions to remove important parts of the aircraft, while leaving others behind.

Although the email did not mention Omokide, Kaltungo maintained that the dismantling of the aircraft would not have taken place without the approval or consent of the receiver-manager. The witness further recounted that EFCC’s investigators encountered a blockade during a visit, but subsequently gained access and observed the condition of the aircraft.

Kaltungo also told the court that three Arik Air aircraft were transferred to Super Bravo Limited on December 31, 2020, before the expiration of a 90-day deadline issued by AMCON for Arik Air to service its foreign loan. He said Super Bravo was incorporated by AMCON in 2013 and that the transfer of Arik Air’s aircraft formed part of the transactions investigated by the Commission.

According to him, AMCON subsequently sought the Board’s approval for the transfers several years after the transaction had taken place. The witness also stated that the transfer of the aircraft gave NG Eagle an undue advantage, adding that investigators observed Arik Air aircraft being repainted and converted for use by NG Eagle.

On the alleged loan that Union Bank of Nigeria Plc claimed was owed by Arik Air, Kaltungo told the court that investigators did not find an offer letter or account statement detailing the alleged transaction, adding that the bank was unable to provide evidence for the claim. He said Arik Air informed the EFCC that it had not obtained a loan from Union Bank, while the bank had failed to provide the investigators with documents establishing the alleged lending transaction.

One of the charges against Union Bank alleges that the bank made false statements to AMCON in 2011 concerning Arik Air’s performing loans, leading to the transfer of a purported N71 billion debt to the corporation.

Earlier on Tuesday, October 27, 2026, Kaltungo was cross-examined by Shasore, SAN on his investigation report concerning the incorporation of NG Eagle and Super Bravo as well as the circumstances surrounding the sale of NG Eagle.

The witness explained that he conducted the investigation and prepared the report, but did not file the charges. He also stated that the Commission’s lawyers reviewed the entire case file before deciding on the charges.

Kaltungo acknowledged that the proceeds from the sale of NG Eagle, approximately N149 million, were paid into AMCON’s account domiciled with the Central Bank of Nigeria (CBN). He, however, noted that Kuru approached the AMCON board to get approval for the sale three years after the assets were sold.

He further maintained that the investigation examined the circumstances surrounding the incorporation of NG Eagle and Super Bravo, the use of Arik Air’s funds and the transfer of the Arik airline’s assets.

On Exhibit P18, which he said was obtained from the Corporate Affairs Commission (CAC), Kaltungo explained that the document originated from the CAC and not AMCON.

When asked whether the document expressly stated that Omokide instructed a lawyer to incorporate the company, the witness said it did not contain such an express statement.

He argued, however, that a company’s incorporation would ordinarily involve the directive or approval of its chief executive, which could be verbal or written.

Kaltungo, who also told the court that investigators considered a court judgment concerning the incorporation of NG Eagle, acknowledged that the judgment had subsequently been set aside on appeal but said the investigation also relied on a legal opinion from the Attorney-General of the Federation.

The witness further stated that AMCON confirmed that it incorporated NG Eagle and Super Bravo.

Kaltungo also acknowledged that Kuru was not listed as a director or shareholder of either company and that the investigation did not trace any payment from Super Bravo to Kuru.

Justice Mojisola Dada adjourned the matter till December 3 and 10, 2026 for the continuation of trial.

TAGGED: Fraud Kazeem Tunde October 29, 2026 October 29, 2026 Share This Article Facebook Twitter Copy Link Print The Glitters Online