Orient Petroleum MD Nwawka, two others get 14-year jail in N25bn fraud case

AFTER nearly 10 years of legal proceedings, Justice O. M. Anyachebelu of the Anambra State High Court has convicted and sentenced Managing Director of Orient Petroleum Resources Plc, Nnaemeka Nwawka, to 14 years in prison for fraud involving about N25 billion. Also handed the same sentence were Jude Anniekwe Cyril and the Sage Nebefeife Foundation.

The court found the trio guilty on multiple counts bordering on stealing, fraudulent conversion and gratification, bringing to a close a case that had lingered in the state judiciary for a decade. In a detailed ruling, Justice Anyachebelu held that the prosecution successfully proved the essential elements of the offences beyond reasonable doubt.

The defendants had been arraigned on a 10-count charge stemming from financial transactions carried out between 2012 and 2013 in Anambra State. The charges alleged that company funds were unlawfully diverted through questionable contract arrangements. One of the counts specifically accused Nwawka, Cyril and the registered trustees of the foundation of fraudulently converting N29,620,733 to their personal use. Another count repeated similar allegations over the same sum, said to have been moved through related transactions within the same period.

When the charges were first read to them, the defendants pleaded not guilty, setting the stage for a full trial. The prosecution, led by the Economic and Financial Crimes Commission (EFCC), proceeded to call witnesses and tender documents to substantiate the allegations.

Over the course of the trial, the anti-graft agency presented four witnesses and submitted several documentary exhibits, including financial records and contract documents. The prosecution’s case centred on claims that contracts were awarded to companies allegedly linked to associates of the defendants. Funds paid under those contracts were said to have been traced to accounts connected to the Sage Nebefeife Foundation, which prosecutors argued was used as a vehicle for personal benefit.

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According to the evidence before the court, the transactions formed part of a broader pattern in which corporate funds were routed through entities with personal ties to the accused persons. The judge observed that the flow of funds, when examined alongside the contract approvals and testimonies of witnesses, pointed to deliberate diversion rather than legitimate business expenditure.

Judgment

In delivering judgment, Justice Anyachebelu concluded that the prosecution had established a clear chain of events showing that money belonging to Orient Petroleum Resources Plc was misapplied. He ruled that the series of contract awards and subsequent transfers were inconsistent with transparent corporate governance and amounted to criminal conversion.

In addition to imposing 14-year prison sentences on each of the defendants, the court ordered restitution. Nwawka and the foundation were directed to refund N140.9 million to Orient Petroleum Resources Plc. The judge said the refund was necessary to recover part of the funds proven in court to have been unlawfully diverted.

The origins of the case can be traced to a petition filed by investor Cletus Ibeto. In his complaint, Ibeto alleged that he had invested N25 billion in the company but later became concerned that substantial sums were being siphoned off through what he described as ‘suspicious and bogus contracts’7 awarded to firms with links to insiders. His petition prompted an investigation that eventually led to the filing of charges.

The matter endured numerous adjournments and procedural delays before reaching its conclusion. With the judgment now delivered, the court has signalled a firm stance on corporate accountability, affirming that company executives and affiliated entities can face criminal consequences for the misuse of investors’ funds.