Billions of naira in unsecured loans were allegedly diverted to companies linked to Oba Otudeko, then chairman of First Bank of Nigeria (FBN), according to a lawsuit filed by a former relationship manager.
Adesuwa Ezenwa, a former relationship manager at FBN, is accusing the bank of unfair dismissal after she was implicated in fraudulent loan disbursements. Despite being cleared of wrongdoing by a credit disciplinary committee, Ezenwa claims she was unfairly targeted for refusing to “whistleblower” on her superiors.
Ezenwa alleges that substantial unsecured loans were granted to companies in which Oba Otudeko and former Managing Director Bisi Onasanya had significant investments. These loans were disguised as facilities extended to other customers, including the Stallion Group of Companies. However, the Stallion Group discovered discrepancies and protested.
One such loan, worth N12 billion, was allegedly channeled to V TECH LTD, a company owned by Oba Otudeko, and Ontario Oil and Gas. Another unsecured facility of N2 billion granted to Broadwaters Resources Company Nigeria Ltd was reportedly a conduit for siphoning funds from the bank.
Ezenwa claims that the loans were approved by her superiors without proper security and that the bank’s board must have been complicit due to their size, which exceeded approval limits.
The former relationship manager is seeking damages and has indicated that the Economic and Financial Crimes Commission (EFCC) is already investigating some of these transactions.
Oba Otudeko has faced previous controversies related to his bank dealings. His acquisition of a significant stake in FBN Holdings through his Honeywell Group sparked protests from shareholders and is currently under investigation by the Securities and Exchange Commission (SEC).
