NDIC Sues Wema Bank Over N125bn Banana Island Property Linked To Defunct Lender In Lagos

The Nigeria Deposit Insurance Corporation (NDIC) has instituted two separate actions at the federal high court in Lagos against Wema Bank over some assets in Banana Island and N401 million disputed payments.

The NDIC, acting as liquidator of the defunct Gulf Bank Plc, filed both suits against Wema Bank under the Failed Banks (Recovery of Debts and Financial Malpractices in Banks) Act

Eereporter.com
The move was part of efforts to recover and liquidate outstanding assets of the defunct Gulf Bank Plc after 20 years of its collapse.

In January 2006, the Central Bank of Nigeria (CBN) revoked the licence of Gulf Bank Plc due to insolvency and failure to meet capitalisation requirements.

Subsequently, NDIC emerged as liquidator in a bid to recover the outstanding assets, following a court order.

THE FIRST SUIT

At the centre of the first suit instituted by NDIC are six properties in Banana Island purchased in the name of Euston Wenberg Engineering Company Limited, described as a shell company used by Gulf Bank Plc.

These plots, situated in Zones J, K, L and P, have a combined area of approximately 13,794.145 square metres.

At the current market rate of N4,500,000.00 per square metre, NDIC values these properties at N62,073,652,500.00.

NDIC alleges that Gulf Bank acquired six Banana Island plots between 1998 and 2003 using Euston Wenberg Engineering Company Limited as a vehicle.

NDIC argued that the assets remain beneficially owned by Gulf Bank plc despite the internal records of the defunct bank reportedly treating the acquisition as a loan account.

NDIC alleged that Wema Bank took custody of these properties purportedly to secure an interbank deposit of N771.79 million.

The agency said a joint CBN/NDIC special examination conducted in September 2005 found no record in Gulf Bank’s books confirming that any such deposit existed.

The agency said the report found the defunct bank’s explanations unsatisfactory with no supporting documentation produced.

NDIC said Wema Bank later presented two managers’ cheques from Access Bank and Intercontinental Bank, both dated September 2005, totalling N250 million in favour of Euston Wenberg Engineering Limited.

The agency said the cheques are instruments for a purchase rather than recovery of a deposit.

NDIC argued that the purported sale at N250 million was commercially implausible, given that a single property in Banana Island at the time was worth in excess of N500 million.

THE SECOND SUIT

The second suit was premised on a separate set of six properties in Banana Island acquired through Bacad Finance and Investment Limited (later renamed Supra Commercials Limited) — another entity in which the defunct bank held over 80 percent shareholding

NDIC alleged that Gulf Bank injected N20 million into Bacad Finance and Investment Limited in 2001 to increase its share capital, and later invested N60 million in the company in 2003.

The defunct bank held over 80 percent of Bacad Finance’s shares and used the entity to acquire the second set of six Banana Island plots.

The defunct bank was said to have planned to develop the properties as a luxury residential estate of 72 flats, to be called Bacad Estate, in partnership with Shelter Afrique.

NDIC accused Wema Bank of claiming to have sold the assets for N524 million by way of managers’ cheques dated 2006 and 2007, without any valid mortgage, court order, or proprietary interest.

NDIC rejected the claimed sale price as grossly implausible given that each property was worth over N4 billion at the time.

In addition, NDIC said in June 2009, it wrote to Wema Bank approving payment of N1,635,616 as the full outstanding deposit due to the bank as of January 16, 2006 — the date Gulf Bank went into liquidation.

NDIC alleged that despite the approval, Wema Bank collected N401 million from UBA, NDIC’s agent bank, without lawful justification, and that the agency has no record showing Wema Bank was owed any sum beyond the approved N1.6 million.

NDIC is seeking court declarations that any purported sale of the properties was illegal, null, and void and that Wema Bank had no valid interest in any of the properties.

NDIC Sues Wema Bank

The agency is also seeking a court order to compel Wema Bank to return the land title documents or pay the current value of the disputed properties.

THE OBJECTIONS

Wema Bank, through its counsel, Oladapo Olanipekun, Kehinde Ogunwunmiju, Tunde Afe-Babalola, have filed a preliminary objection challenging the jurisdiction of the court.

The bank argued that NDIC’s claims do not arise from any loan, credit facility, guarantee or banking transaction between the parties as required under the Failed Banks Act.

The lender added that it was never a customer of the defunct Gulf Bank Plc in respect of any credit facility.

The bank further argued that the suits disclose no debtor-creditor relationship and that NDIC lacks locus standi because the disputed properties were allegedly owned by Bacad Finance and Investment Limited (now Supra Commercials Limited), a separate legal entity.

The bank said the issue is property ownership rather than banking debt recovery, adding it is outside the federal high court’s jurisdiction.

The bank argued that any course of action, if it existed at all, arose between 2006 and 2007 and is now statute-barred under the Limitation Law of Lagos state.

Wema Bank accused NDIC of abusing court process by attempting to circumvent limitation laws with a stale claim.

Wema Bank asked the court to strike out both suits.

EFCC Arraigns Blessing CEO In Alleged N36m Fraud

The Lagos Zonal Directorate 1 of the Economic and Financial Crimes Commission, EFCC, Awolowo Road, Ikoyi, on Friday, May 15, 2026, arraigned a social media influencer and self-styled relationship therapist, Okoro Blessing Nkiruka, (also known as Blessing CEO), before Justice D.I. Dipeolu of the Federal High Court sitting in Ikoyi, Lagos, over an alleged N36 million fraud.

Eereporter.com
Nkiruka was arraigned on a two-count charge bordering on obtaining money by false pretence and stealing to the tune of N36,000,000.00 (Thirty-six Million Naira).

At the commencement of proceedings, defence counsel, P.I. Nwafor, informed the court that the defendant had refunded part of the money to the petitioner.

“We have an application to make. The defendant approached the nominal complainant and refunded N24 million out of the N36 million.

“We are asking for a short adjournment to resolve the outstanding balance. The nominal complainant agreed that if the balance is paid, they can prevail on the EFCC to drop the case,” he said.

Responding, the prosecution counsel, S.I. Suleiman, stated that the prosecution was not privy to any discussion between the defendant and the nominal complainant.

“The complainant here is the Federal Government of Nigeria, and we are here for the arraignment. We urge that the defendant take her plea, as that is the business of the day,” he said.

In his ruling, Justice Dipeolu held that “the defence and the nominal complainant can have discussions even during the pendency of the charge. It does not affect the proceedings before the court. The defendant will take her plea.”

One of the counts reads: “That you, OKORO BLESSING NKIRUKA, between July 14 and 17, 2024, in Lagos, within the jurisdiction of this Honourable Court, did obtain the sum of N36,000,000.00 (Thirty-six Million Naira) from Mrs. Ifeyinwa Nonye Okoye under the false pretence of leasing a six-bedroom detached duplex situated at No. 1B, Tunbosun Osobu Street, Off Kuboye Road, Lekki, Lagos State, which representation you knew to be false, and you thereby committed an offence contrary to Section 1(3) of the Advance Fee Fraud and Other Fraud Related Offences Act, 2006.”

Another count reads: “That you, OKORO BLESSING NKIRUKA, between July 14 and 17, 2024, in Lagos, within the jurisdiction of this Honourable Court, fraudulently converted to your own use the sum of N36,000,000.00 (Thirty-six Million Naira), property of Mrs. Ifeyinwa Nonye Okoye, and you thereby committed an offence contrary to Section 383 and punishable under Section 390 of the Criminal Code Act, Cap C38, Laws of the Federation of Nigeria, 2004.”

The defendant pleaded “not guilty” to the charges when they were read to her.

Following her plea, Suleiman applied for a trial date and prayed the court to remand the defendant in a Correctional facility pending trial.

EFCC Arraigns Blessing CEO

Counsel to the defendant, however, informed the court that the defendant had only been served with the charge on Thursday, May 14, 2026, and that efforts were ongoing to file her bail application.

He, therefore, prayed that the defendant be remanded in EFCC custody pending the perfection of her bail conditions.

Justice Dipeolu granted the application and ordered that the defendant be remanded in EFCC custody.

The matter was adjourned till June 5, 2026, for the commencement of trial.

ICPC Charged Outgoing NYSC CDS Batch A1 Members To Shun Corruption, Lead Exemplary Lives With Integrity, Transparency

The Independent Corrupt Practices and Other Related Offences Commission (ICPC), Katsina State office, has charged outgoing National Youth Service Corps (NYSC) Community Development Service (CDS) Batch A1 members to shun all forms of corruption and to lead exemplary lives defined by integrity and transparency.

The call was made recently by the State’s Resident Anti-Corruption Commissioner (RACC), Mr Samuel S. Lodam, during a sensitisation event and the presentation of membership certificates to the corps members. The ceremony took place at the ICPC Conference Room in Katsina.

Speaking at the event, Mr Lodam urged the youth corps members to embrace honesty and ethical conduct not only during their national service but also in their future endeavours. He emphasised that corruption undermines national economic development, erodes integrity, destroys reputations and trust, and fuels illiteracy, poverty, underdevelopment and moral decay in society.

Eereporter.com
The sensitisation programme focused on the definition, forms, causes, effects and consequences of corruption. It also outlined the ICPC’s anti-corruption strategies aimed at boosting the morale of Nigerian youths and stamping out corruption at both state and national levels.

Mr Lodam reiterated that the fight against corruption cannot be left to the government alone; it is a collective responsibility. He called for active participation from Nigerian youths and the general public to realise a corruption-free Nigeria.

He also educated the corps members on the functions of the ICPC, which include enforcement, prevention, public education and youth mobilisation as enshrined in the Corrupt Practices Act of 2000.

NYSC

Earlier in his remarks, the President of the NYSC CDS Group, Katsina chapter, Mr Hassan Abdullahi, on behalf of the group, commended the ICPC for its committed enlightenment strategies aimed at restoring the nation’s lost glory. He pledged the group’s continued loyalty to the ICPC’s anti-corruption programmes, both now and in the future.

Mr Abdullahi also sought the ICPC’s continued support in providing anti-corruption information, education and communication (IEC) materials to serving corps members.

He noted that such resources would enable them to effectively reach students and local communities during their own sensitisation programmes against corruption.