The Economic and Financial Crimes Commission, EFCC, has insisted that an APC Chieftain and businessman, Prince Benjamin Apugo has a case to answer over allegations of theft and contract fraud.
Prince Apugo is standing trial before an Ikeja Special offences Court, Lagos alongside the former acting General Manager of the National Theatre, Mr Yusuf Atai Ahmed and two other companies: Bencap Nigeria Limited and Technoexportstroy Nigeria Limited on a 9-count charge of conspiracy and stealing.
The APC Chieftain is to open his defence following the ruling of a Lagos State High Court that dismissed his application for a no-case submission filed in a suit number: ID/949C/14.
Justice Oluwatoyin Taiwo had on February 8 ruled that the prosecution, having called nine witnesses who testified against the defendants, presented overwhelming evidences against the defendants which they must answer to.
The EFCC Counsel, Mr E Pereagbe, told the court that the offences committed by the defendants contravened Sections 390 and 516 of the Criminal Law of Lagos State 2003.
According to the Petition dated March 6, 2012 titled ‘Abandonment of Contract for the Fencing, Construction of five gates and Sand-filling at the National Theatre after Payment’, the anti graft agency alleged that the defendants defrauded the National Theatre in the sum of N467,737,014.
However, the last prosecution witness, Ariyo Muritala, who testified in November 11, 2021, told the court that the defendants were alleged to be involved in a contract fraud that was initiated through the office of the Permanent Secretary Ministry of Tourism, Culture and National Orientation.
The witness, an operative of the EFCC who has a 14 years working experience with the agency, testified that in 2009, a contract sum of N299, 707, 828 was awarded for the purpose of construction of five gates, reclamation of the National Theater premises and the fencing of its perimeter.
According to Muritala, who holds a BSC and a professional qualification as a Chartered Accountant, “The charges against the defendants was sequel to a petition by Kabir Yusuf, the General Manager of National Theatre and an initial petition dated July 6, 2011 and a further one dated March 5, 2012.
While led in evidence by the EFCC Counsel, E. Pereagbe, the witness said: “Techno Expository Nigeria Limited and Bencap Nigerian LTD of which one of the defendants, Prince Benjamin, is the alter ego and Mr Yusuf Atai Ahmed, a former Manager of the National Theatre, were alleged to be involved in a contract fraud.
“Upon receipt of the petition after its adoption and in the course of investigation, I had course to meet with the defendants, during which their statements were taken under word of caution and other investigation activities were conducted.
“Letters were written to banks, especially Union bank where Bencap Nigerian Ltd’s account was domiciled and the supposed disbursement were made for the contract, which upon physical verification were found not to have been carried out as it should be.
“Infact, one of the initially engaged consultants, AN Design Consult, approved the release of the initial mobilization fee of 15% of the contract sum. And the 4th defendants mobilized to site but it was later discovered that in between this period, the 4th defendant expressly communicated that Bencap Nigerian Ltd should be its Financial Manager for the purpose of the contact through which disbursement of contract sum shall be made as the contract progresses.
“For some reason my Lord, the then Acting General Manager, Yusuf Atai Ahmed, upon request for unsubstantiated variation in subcontracts sum, disengaged the initial consultant and brought in one Board design as the new consultant, who without any commensurate physical work on site, approved for variations and payments running into N334, 229, 760 which was way above the initial contract sum that was initiated through the Permanent Secretary of the Ministry of National Orientation, Tourism and Culture.
“Further to which at the said initiator of the contract, requested another Ministry of the Federal Government, the Ministry of Land, Housing and Urban Development to do an actual assessment of the work on ground and give estimate as to the work on ground, in the light of the disbursement of over N300 million that has been made for barley a N200 million plus contract. And the Ministry through its experts came up with an estimate of about N55 million worth of work on ground, a staggering variant”.
The witness further testified that he visited the site amidst the list of ministries that were involved.
“When we visited the National Theatre, we found out that there were abandoned trucks and some machineries that were left. Some of them were sunk into the swamp that was supposed to be sand filled which formed part of the projects they abandoned and there was no visible sign of work ongoing as at that time.
“This further corroborated the findings from the interview with the Ministry of Land, Housing and Urban Development as to the estimate of N55m worth of job done.
“My Lord, the main emphasis is the fact there is no commemorate work on ground to suggest and justify the amount that has been disbursed which shows that monies were collected without any work on ground. Only one of the 5 gates was done aside the fencing, the sand filling required, it is very clear and this was further collaborated by the Ministry of Land, Housing and Urban Development upon their visitation to the site and concluded that what was on ground was barely worth N55 million and way past what has been disbursed. So, money was been taken from the Federal Government without the work being done,” he said.
During cross examination by the one of the defence lawyer’s, Mr O. O. Amuzie, the witness was asked if he knew how much was disbursed for the contract and he replied, “as at the period in question, over N344m has been disbursed for a contract of N299m.
“Techno Expository was paid N344, 220, 760 million. The first payment was made in October 16, 2009 while the second payment was made in January 5, 2010”.
When asked by the defence counsel how the money was paid to the defendant, the EFCC investigator said: “The funds were released in trenches. There was N40, 460, 556, N90m, N35, 244, 458, N8, 000, 000, N54m, N20m, N34, 000, 522 and all these payments were in 2010”.
The EFCC investigator further said that he was aware that payments were made for the construction of five gates, inclination of National Theatre and perimeter fencing for which the payment has been made and the contract was not carried out even two years after while the construction should have been for 38 weeks.
“The main issue is that money was paid while the work was not done. Therefore what I investigated was not a breach of contract but a contract fraud,” the witness said.
Prince Benjamin Apugo has until March 4 to defend himself.
