THE CEOs of Zenith, Providus, and Jaiz banks have been apprehended by the Economic and Financial Crimes Commission (EFCC) in connection with financial misappropriation and fraud linked to disgraced Minister of Humanitarian Affairs and Poverty Alleviation, Betta Edu, and her predecessor, Sadiya Umar-Farouk.
The banking executives, who have been under stealth scrutiny since the public outcry over the unscrupulous diversion of public funds into private accounts, are now in EFCC custody, multiple credible sources within the Presidency told this newspaper on Tuesday.
The anti-graft agency is presently probing numerous instances of substantial public funds directed into private accounts, an action sanctioned by Edu and Farouq using their position as ministers.
Farouq, who oversaw the Ministry of Humanitarian Affairs, Disaster Management and Social Development under the previous administration, is also under investigation for the mismanagement of at least N37 billion in public funds designated for the conditional cash transfer programme of then-President Muhammadu Buhari.
The large-scale movement of funds into private accounts was partly facilitated by a potential deliberate oversight in flagging suspicious transactions —a responsibility banks bear under various anti-financial crime laws and Central Bank directives, the sources told The Gazette.
The banks did not immediately respond to this newspaper’s requests for comments regarding their CEOs’ detention.
EFCC spokesman Dele Oyewale sidestepped inquiry into the matter.
There have been several financial corruption investigations since President Bola Tinubu assumed power, resulting in the detention of prominent figures like the disgraced CBN governor Godwin Emefiele and EFCC chair Rasheed Bawa.
