EFCC Witness: Companies Used ‘In-and-Out’ Transactions to Move Kogi LG Funds in ₦110.4bn Trial

An Economic and Financial Crimes Commission (EFCC) investigator has told an Abuja High Court that three companies allegedly used “in-and-out” transactions to move funds received from local governments in Kogi State without physically withdrawing the cash.

John Justice, the 20th prosecution witness in the trial of former Kogi State Governor Yahaya Bello and two co-defendants, gave the testimony on Tuesday. He said investigators examined bank records and CCTV footage from Access Bank and Zenith Bank after noticing substantial cash withdrawals recorded in the companies’ accounts.

According to Justice, the footage showed that customers did not leave the banks with the money recorded in the transactions.

“We invited the banks (Access and Zenith) because of the voluminous nature of the withdrawals. We requested CCTV footage of the banks, and it revealed that the customers were not taking the cash out of the banks,” he told the court.

Justice explained that the banks described the transactions as “in and out”, a process in which a customer completes a withdrawal slip for one account and a deposit slip for another, allowing funds to move between accounts without the cash being physically handled.

He identified the companies as Hazyman Investment Limited, Bimas Ventures Limited and Fazad. The investigator said the EFCC began examining their activities after receiving intelligence concerning transactions involving Kogi State local governments.

Justice said his team, which operated under the commission’s procurement and fraud section headed by Emeka Okonjo, conducted Bank Verification Number searches and obtained transaction records from the two banks. He told the court that the account analysis showed regular inflows from local governments in Kogi State, with many of the transactions recorded as cash withdrawals.

The witness also said the investigation identified Yakubu Siyaka among the companies’ alter egos, while bank records showed that Keyless Nature benefited from the transactions. He added that a BVN search linked Keyless Nature to Abba Adaudu, an associate of Bello.

The EFCC alleges that the transactions formed part of a scheme through which ₦110.4 billion was diverted from the Kogi State treasury during Bello’s tenure as governor, between January 2016 and January 2024. Bello is standing trial alongside Umar Shuaibu Oricha and Abdulsalami Hudu on 16 counts of criminal breach of trust. All three defendants have pleaded not guilty.

Prosecutors further allege that some of the funds were used to acquire properties in affluent areas of Abuja and pay advance school fees for Bello’s children. The former governor and his co-defendants have denied the allegations.

The latest testimony follows earlier proceedings in which the EFCC tendered account statements belonging to 13 companies, including some mentioned by Justice. Another witness, bureau de change operator Jamiu Abdullahi, previously told the court that he received ₦1.4 billion through his accounts from Adaudu between December 15, 2021, and February 21, 2022, to purchase US dollars.

Justice Maryann Anenih adjourned the case until November 24 for continuation of the trial.