The Nigeria Police Force has indicted Sterling Bank over allegations of money laundering, fraudulent deductions, and other financial crimes.
The indictment was contained in a report presented to the House of Representatives Committee on Public Petitions.
The report stems from a petition filed by Miden Systems Ltd against Sterling Bank, the Central Bank of Nigeria (CBN), and Shell Petroleum. Maiden Systems Ltd alleged mismanagement, fraudulent debit, and misappropriation of funds from its account with Sterling Bank.
According to the police report, presented by Chief Inspectors Kabiru Yahaya and Sunny Amison, the investigation revealed several discrepancies in Maiden Systems Ltd’s account. These included unauthorised debits, misappropriation of funds, and a lack of transparency in the bank’s transactions.
“We were saddled with the responsibility to investigate mismanagement, fraudulent debit, and misappropriation of funds from the account of Maiden Systems Limited by Sterling Bank,” said Kabiru Yahaya, representative of the Inspector General of Police. “In the course of our investigation, findings emerged about the issue of non-issuance of statement of account, fraudulent debit, and misappropriation of funds.”
Specifically, the report highlighted a Debt Service Repayment Account (DSRA) where funds were being used to service a loan. The loan, which was initially $30 million in 2012, was restructured in 2017. However, the investigation found that about $28.3 million was debited from Maiden Systems Ltd’s account for loan repayment without proper explanation.
“We discovered that about $28.3 million was debited from this company’s account for loan repayment but there’s no explanation,” said Sunny Amison, Chief Inspector of Police. “Particularly, on the 29th, September 2016, the sum of $2,413,000 was debited from the company’s account. Account number 00148517716 for loan repayment with reference FT16271UZYO.”
The police also discovered that Shell Petroleum failed to supply financial reports for 2021-2024, raising concerns about the company’s transparency.
The Chairman of the Committee, Mike Etaba, assured both parties that the report would be studied, and justice would be served.
“At the committee level, we will look at the Police report, and I assure you that justice will prevail,” Etaba said.
The indictment of Sterling Bank is a significant development in the ongoing investigation into the bank’s activities. The police recommendation that Sterling Bank be held accountable for its actions has sparked concerns about the bank’s commitment to transparency and accountability.
