Oshiomhole, Osunbor’s battle in crucial stage

An air of uncertainty pervades Edo State as submissions before the state’s election petition tribunal enters a crucial stage. EMMANUEL OBE reports. Though not directly related to the proceedings at the Election Petitions Tribunal, the crisis in the ruling Peoples Democratic Party in Edo State, which burst into the open on Thursday, may be setting the tone for what to expect as the people await the verdict of the tribunal on the gubernatorial petition. It was not expected that the ranks of the ruling party would be divided so soon, just a few months after it controversially won the governorship election. Led by two-time governor of the old Bendel State, the members of the PDP from the Edo South senatorial zone, where the opposition Action Congress made its greatest impact in the last April elections have threatened to quit the party if the Chief Tony Anenih-led leadership of the party in the state failed to let them produce the next state PDP Chairman.

Since April 16, 2007 when the Independent National Electoral Commission announced Prof. Oserheimen Osunbor of the PDP as the winner of the governorship election, the state, particularly, Benin City, the state capital had come under apparent suspense.

The immediate reaction to that INEC verdict was a widespread protest by AC supporters, who believed that their candidate, Mr. Adams Oshiomhole, actually won the election, but was robbed of the mandate. After several days of holding down the city by the AC supporters, the then state Governor, Chief Lucky Igbinedion, a PDP stalwart in the state, and a perceived supporter of the AC candidate declared a curfew that lasted several days.

Then, the opportunity to seek redress came with the setting up of the election tribunal. Oshiomhole and his party promptly filed their petitions before the expiration of the deadline given for submission of petitions. Oshiomhole‘s petition turned out to be the only one challenging Osunbor‘s election as the other candidates quietly retreated to their homes and wound up issues relating to the election.

There were high expectations from the tribunal when it started work soon after the inauguration of the new government. In the early days, thousands of Oshiomhole‘s supporters would storm the venue of the trial and retire with him when the sitting was adjourned. The commotion the AC supporters caused each time they escorted him home created an impression that the PDP had no support. Oshiomhole would ride in an open van and do a road show around the city before retiring to his campaign office. In the course of the show, there would be serious traffic jams in the city.

The antics apparently might have caused the Deputy Governor, Mr. Lucky Imasuen, to also attend the proceediongs of the tribunal. But rather than attract the support and cheers akin to that of Oshiomhole on the first day of his visit, he was stoned and jeered at by the AC supporters. The next time, he came with the governor, Prof. Oserheimen Osunbor, who got a similar treatment. And that was it. The police soon swung into action following a formal protest from Imasuen, who asked that Oshiomhole be called to order.

At the next sitting of the tribunal, the police trailed Oshiomhole to the AC office along Airport Road where they violently chased away commercial motorcycle operators who had made it a point of duty to escort the AC candidate home. In the process, several people were injured including a journalist with a private television station.

To curb the situation, which was becoming increasingly embarrassing to the government and its supporters, the police decided to barricade the usually busy and vital Sapele road along which the tribunal was situated each time Oshiomhole‘s petition came up for trial. The blockade had caused motorists and residents serious inconveniences, as they had to use other routes to get to their destinations, creating traffic jams in the process. The police also prevailed on Oshiomhole to stop his road shows and leave the premises of the tribunal under disguise to avoid the commotion his movements in town had always caused.

The trial is entering its final stages as the tribunal is taking the last batches of witnesses. The counsel to the parties are expected to make their final addresses within the next two weeks.
This has heightened expectations, especially with the news of the cancellation of the election of some state governors filtering in. Edo has been one of the states where it was speculated that a new party would emerge. Tensions among the principal actors at the tribunal has been high.

Oshiomhole had at a forum in Lagos last week an declared that he would be victorious at the tribunal. This attracted an immediate reaction from the Osunbor’s camp, which warned the former labour leader to mind his words. The issue was dragged to the tribunal by counsel to Osunbor where a robust debate had ensued between the two principal counsel, Ighodalo Imadobelo and Niyi Akintola. But the tribunal Chairman, Justice Olabanji Orilonishe, had warned the counsel to warn their clients from making statements on matters still before the tribunal.

The ground is getting set for celebrations should any party win. Osunbor is tightening security around the Government House with the recruitment of more security personnel and erection of more gates to restrict movement to the seat of government, given the volatile nature of the AC supporters. Whoever wins might not be material now. But there is palpable suspense in the air.

Ibori loses big in London, High Court freezes his assets

BREAKING NEWS: Thu 15th November, 2007

The Court of Appeal Criminal Division sitting in London delivered a devastating ruling against James Onafefe Ibori today in London. The High Court unanimously ruled that the Southwark Crown Court erred by lifting the restraining order on James Ibori's worldwide assets on October 1 2007.

The justices said the "restraining Order should never have been lifted" in the first place. The court therefore re-instated the restraint order on James Ibori worldwide assets worth $35 million and also ruled that all Ibori's worldwide assets are protected from dissipation.

The Metropolitan Police will be boosted by this landmark decision as they continue further criminal investigations against James Ibori and his accomplices for money laundering.The decision of the Court of Appeal in London was almost marred by the refusal of the Attorney General of the Federation, Michael Aondokaa to invoke the "Article 3" of the Mutual Agreement Treaty on Corruption between the UK and Nigeria.

London Court hears British Police appeal against Ibori

The Crown Prosecution Service of the British Police will on Tuesday (today) continue with its prosecution of the former Delta State Governor, Chief James Ibori.

This time around, the court is expected to hear an appeal brought before it by the CPS over the decision of a lower court to discharge an order restraining Ibori from having access to his assets.
The panel, scheduled to begin sitting at 10:30 a.m., will be led by Justice William Gage and assisted by Justice Dame Staal and Ms. Justice Cox, according to a report by the online Sahareporters.com.

Responding to an electronic mail inquiry by our correspondent on Monday, the Met Police confirmed that the matter would come up as scheduled.
An application of restraint was heard and granted at the Southwark Crown Court in relation to worldwide assets worth $35m belonging to the former governor on August 2.
The Press Bureau of the Met Police said on Monday that, ”On October 1, the application was reviewed at a further hearing at Southwark Crown Court and the restraint was discharged.

”On October 8, leave to appeal the discharge was granted at the High Court and pending a full appeal by the Crown, the application of restraint has been reinstated.

”The appeal will be heard at the High Court on November 13. The investigation by Met Police Proceeds of Corruption Unit continues.”
Ibori had last week lost his bid to stop the Economic and Financial Crimes Commission from arresting him over allegation of money laundering.
Justice Gloria Okeke of the Federal High Court in Benin, Edo State, who had earlier granted an ex parte order against the EFCC, ruled that she had no jurisdiction over the matter.The ruling was believed to have exposed Ibori to arrest and prosecution by the EFCC.

The United States had earlier gave indications of plans to freeze Ibori‘s assets if the Nigerian government showed enough readiness to prosecute Ibori in Nigerian court.
Officials of the Met Police had already visited Nigeria with a view to gathering evidence in their pursuit of the matter against Ibori.

Court Begins Hearing in Celtel Shares Sale

A Federal High Court in Lagos, has begin hearing in the suit brought by President of the Nigerian Stock Exchange (NSE), Oba Otudeko, Foluke Otudeko and Broad Communications Ltd.The suit is against Jubril Adewale Tinubu and Henry Efe Imasekha, over sale of their Vee Network Ltd shares to some organisations without first offering them (plaintiffs) the right to buy them. The plaintiffs want the court to declare that since O and O Networks Ltd and Bromley Investment Ltd owned by Tinubu and Imasekha sold their shares, their seats on the board of directors of Vee Networks Ltd should automatically be vacated. Defendants in the suit are Vee Networks Ltd (formerly Econet Wireless Nigeria Ltd, EWNL), Celtel Nigeria BV, Jubril Adewale Tinubu, O and O Networks Ltd, Henry Efe Imasekha, DSTG Econshares Ltd (formerly Bromley Investments Ltd), Delta State Ministry of Finance Inc, Delta State government, Corporate Affairs Commission (CAC) and Econet Wireless International (EWI). Plaintiffs in the suit are contending that the purported sale of O and O Networks Ltd shares on July 15, 2003 and

Bromley Investments Ltd (now DTSG Ecoshares Ltd) on July 21, 2001 respectively, to Delta State Ministry of Finance Incorporated and Delta State government, are unlawful sale, transfer, encumbrance or disposal of all the 9,906,250 ordinary shares and 5,000,000 held by Tinubu and Imasekha respectively, in Vee Networks Ltd. They are contending that the acquisition by the Delta State Ministry of Finance Inc and Delta State government of the additional membership rights accruing upon the 9.90-6.250 ordinary shares of 5,000,000 shares held by Tinubu and Imasekha respectively in Vee Networks Ltd, was unlawfully acquired by way of right issues and bonuses.Plaintiffs also want the court to declare that the purported sale of O and O Networks and DTSG Ecoshares Ltd are each a "triggering event," within the meaning of clause 17.4 of the Shareholders Agreement (SA) dated April 30, 2002, which are automatically subject to legal consequences prescribed in Shareholders Agreement. Otudeko claims in the suit that he was the principal promoter of the company which was formed on December 21, 2000, as a joint venture vehicle for the purpose that the promoters would in partnership bid for a Cellular Mobile telephone "GSM" licence presented for auction by the Federal Government of Nigeria through the Nigeria Communications Commission in 2001.

The Nigerian promoters that he assembled shared 40 per cent of the shares between themselves, agreed that a fundamental term of the partnership established prior to the Shareholders Agreement was the "maintenance of proportionate ownership and control of the capital of the venture," and accordingly extensive anti-dilution provisions were inserted into corporate documents and the relevant agreements. It was also fundamental to the existing agreements that the shareholding qualifications for the allocation of seats on the board of directors would be strictly complied with.

The parties then agreed to hold their respective shareholdings in company names to facilitate financing. Plaintiffs claims that without notice to partners and under cover of a variety of steps calculated to hide this secret, Tinubu and Imasekha and officials of the Delta State Government in 2001 and 2003 reached secret and unlawful agreements to transfer the legal and beneficial interest in 5,000,000 ordinary shares and the 9,906;250 ordinary shares of the company's equity held by them respectively, to the Delta State Ministry of Finance Inc. and the Delta State Government, at a premium through the instrument of companies, which were created exclusively to hold the Vee Network shares. All these deals came to the open, through statements made to the EFCC by Imasekha, Tinubu and David Edebvie, the then Delta State Commissioner for Finance, the plaintiffs contended. The Shareholders Agreement, which the plaintiffs are relying on had provided that: "no party shall have the right to sell, transfer, encumber or otherwise dispose of all or part of its shareholding interest in the company, whether voluntarily, involuntarily or assign or create a beneficial interest in its share of net income, net losses, or distributable cash, notwithstanding the fact that such proposed assignment. encumbrance or creation of beneficial interest would not involve a substitution of a new person as a party under this agreement except as provided in this agreement. "Except by way of testamentary or probate document, any attempted sale, transfer, encumbrance or other disposition of all or any part of an interest in EWN by a party not in compliance with this Agreement shall be a breach of this Agreement, shall be null and void ab initio and shall confer no rights on the purported transferee.

And the Shareholders' Agreement confers on shareholders a ""Right of First Refusal"" in relation to the disposal by any conceivable means of shares or interest therein and outlines procedures to be followed for giving of notice of intention to dispose and further mechanisms for dealing in such shares". Plaintiffs are contending that they are ready and willing to take up their rights of pre-emption in the said shares and contends that the intent and actual effect of the said unlawful dealings is to unlawfully dilute or diminish the equity or shareholding power of the applicants contrary to agreements binding the shareholders and also the company itself.

Our Case Against Ibori, By EFCC

The Economic and Financial Crimes Commission (EFCC) has given a breakdown of how the former Delta State governor, Chief James Ibori, allegedly laundered money running into billions of dollars belonging to the state.The counter affidavit was deposed to by Yahaya Bello, a police officer with EFCC, who was the head of the team of investigators. The ex-governor’s assets have already been frozen by a London court. Meanwhile, the Federal High Court in Benin-City, Edo State, yesterday adjourned till Thursday, November 1, 2007 hearing of the motion on notice brought before it by the Delta State Government against the EFCC.

Counsel to the plaintiffs and defendants in the case are expected to appear before the court tomorrow to establish their respective positions.Ibori is being accused of conspiracy, official corruption, diversion and misappropriation of public funds, stealing and money laundering perpetrated by him and his aides from 1999 to 2007.Bello detailed the alleged infractions of the ex-governor and his alleged accomplices in the affidavit.He stated that the transfers made into the account of one Christine Ibie Ibori, Ibori’s sister, held in HSBC London was on behalf of Onovin Nig. Ltd., a company solely owned by Vincent Uduaghan, a younger brother to the present governor of Delta State, Dr. Emmanuel Uduaghan, the latter who had served as Commissioner for Health and Secretary to the State Government under Ibori’s Administration between 1999 and 2007.“Investigation reveals that Onovin Nig. Ltd. was awarded a contract in December 2004 for laying of tartan tracks in Oghara Stadium at the sum of N142.9 million by the Delta State Government. That said Onovin Nig. Ltd. had secured the services of another company, a German based firm, BSW Postfach 1180, Deutschland for the supply and laying of the tracks in Ogbara Stadium.

He said a total of 284,000.00 euros was wired to the German Company by Onovin Nig. Ltd. for the job while another sum of N77.8 million naira equivalent from the contract sum was wired to the account of Christine Ibie about the same time.“Further investigation carried out on Onovin Nig Ltd. account revealed some monthly lodgments of Delta State Government cheques of five to seven million naira spanning from 2002 to 2007 to the region N350 million naira which the owner claimed to be payments for the supply of fuel to the Government House from Total Nig. Plc. Depot in Benin, Edo State,” he said.Bello also stated following investigations, Total Nig. Ltd. which equally had the same contract for the supply of fuel to the Government House denied having any dealings with Onovin Nig. Ltd.According to him, other details of the commission’s investigation are as follows:•That transfers were made into Udoamaka’s account in HSBC London, which originated from three Assurance Bank Drafts amounting to about N140 million.•That investigation conducted on Udoamaka’s accounts such as Sagicon Nig Ltd., Rivbbed Agro Allied, Saagaris Properties, Global Little Drops held in Oceanic and Zenith Banks revealed several lodgment of Delta State Government cheques in the neighborhood of N2 billion out of which N1.3 billion Naira were paid out between May and December 2006.• That several cash lodgments amounting to N400 Million were also noticed both in the personal “Pearl” Account and Companies’ accounts by characters such as Ede Ogoro and Charles Isiayei whom the investigation team discovered to be Private Secretary to the Governor of Delta State and Chief Accountant of the Delta Government House respectively.• That another payment of N4.418 billion was received by Oceanic Bank from Brisbane Ltd. via two Intercontinental Bank Manager’s Cheques for acquisition of 13% of the fertilizer company while Brisbane Ltd. is owned by Henry Imasekha who is also the sole owner of Berkeley Group.•

That investigation on the origin of the money paid Brisbane however, revealed that in 2001 Mr. Henry Masekha used Bromley Ltd. to secure a loan of N2.2 billion naira from New Nigeria Bank without any collateral or evidence of previous Banking relationship with the Bank and purchased 10% of Econet Nigeria Ltd. (now Celtel) while few weeks later ‘Delta State Government’ bought 5% of the Econet shares from Bromley Ltd. at the sum of N2.5 billion naira via a Standard Trust Bank Draft which he used in liquidating the New Nigeria Bank facility.• That in 2006 during the taking over of V-mobile by Celtel, Bromley Ltd. sold the remaining shares to Celtel and it is from this money that Brisbane Ltd. acquired 13% of the fertilizer company.• That investigation on share placements in Nigerian banks and companies revealed the diversion of N5 Billion from the accounts of the Delta State Government in Oceanic Bank and Zenith Bank for the purchase of Afribank shares for Chief James Ibori. The fraudulent transactions were perpetrated through the use of 14 fictitious companies such as Double Dip Nig. Ltd., Arusha Nig. Ltd., Abajim Nig Ltd., Lugba Nig. Ltd., Mombassa Nig. Ltd., Limpopo Nig. Ltd., Zaragoza Nig. Ltd., Sandton Nig. Ltd. etc.• That the funds have since been returned to the coffers of the Delta State Government to enable the Government carry out valuable projects for the people of Delta State.• That investigation on Wings Aviation reveals an on-going transaction between the Aviation Company and Bombardier Inc. (Canada) over the purchase of an air craft at the cost of USD 25 million for the personal use of Chief James Ibori. • That payments were made to the UK Solicitors by Wings Aviation Parabola International Corp (a Mauritius based company owned by a Zambian (Edward Shamutete) linked to Chief James Ibori), Copex Management Service, another Mauritius firm on behalf of Erin Aviation, Pamaron Oil and Gas etc.•That part of the money paid from Nigeria for the purchase of the aircraft was the USD 1 million Dollars paid to the Solicitors by Pamaron Oil and Gas Ltd from Fidelity Bank.•That further investigation however revealed that the transaction was made on the order of Bi Courtney Ltd. through another company, Flodan Ltd. These two companies which moved money for Chief James Ibori by using another company, BIADOXE Ltd. as a disguise, are owned by the same person. •That supplementary appropriation was sent to the State Assembly for the approval of over N40 billion naira between 1999 and 2005 accompanied with executive letters all dated 2004 signed by Chief Ibori for the requests. The proceeds of this massive fraud are currently being traced.•Several billions of Naira meant for “Security Vote” by the Delta State Government from 1999-2007 were diverted by Chief James Ibori and his collaborators.He said based on the foregoing, EFCC had concluded investigation into the aforesaid allegations of serious economic and financial crimes and was ready to prosecute all those found to be culpable in the circumstances. The counter affidavit was deposed to on October 8, 2007 before the Benin high court.The lawyers of Delta State government told newsmen after the court had adjourned and risen from yesterday’s session, said it was laughable that it was only yesterday (Monday) that the counsel to the EFCC hurried to file a counter-motion despite the fact that the Commission was served the order of interim injunction since October 18, 2007.An Abuja-based lawyer, Mr. Kingsley Ifeanyi Ugboma, who was present when the case came up yesterday, concurred with the Delta State counsel on their position, and went further to question the style and even the patriotic motive of the commission.“I am a lawyer and not a client of the Delta State Government, he said, adding, “But I am aware that Delta state being a state Government that is set to reposition our dear State as one of the fastest growing global investment destinations in the world, with a dynamic, credible and well-focused leadership.”Ugboma noted, “The point that must be made and categorically too, that they are not opposed to the EFCC’s investigations into the finances or businesses of the former Governor of Delta State, Chief James Ibori, but they object, reject, oppose and strongly too, any attempt by the Commission to probe the Security Votes of the state under the guise of investigating the former Governor.” The court had, while granting an order of Interim

Injunction prayed by the Delta State attorney-general on behalf of several government officials as well as himself to restrain the Economic and Financial Crimes Commission (EFFC) on October 10, 2007, fixed the yesterday, October 30 for hearing of the Motion on Notice.The order is in favour certain functionaries of the state government since May 1999, such that they are not compelled to co-operate or comply with the request and demands of the Commission regarding all financial and contractual documents pertaining to the period. Prior to the granting of the interim order, there had been apprehension and fears that former Ibori might be arrested and detained by the commission.