Charges of Fraud Dropped against Oba Otudeko by the Economic and Financial Crimes Commission (EFCC)
In a significant turn of events, the Economic and Financial Crimes Commission (EFCC) has withdrawn a suit against Oba Otudeko, a former chairman of First Bank of Nigeria (FBN), following an amicable resolution of the matter. The case, which was initially filed in January 2025, alleged fraud to the tune of ₦30 billion.
The Federal High Court in Lagos, presided over by Judge Chukwujekwu Aneke, heard the case and made a ruling on Monday, July 23, 2025. In his decision, Judge Aneke upheld a settled legal principle, stating that a defendant's plea must be taken before any preliminary objection can be heard, citing past rulings such as Onnoghen v. FRN and Bello v. FRN.
At the hearing on the preliminary objections, EFCC's counsel, Rotimi Oyedepo, informed the court that the charge had been withdrawn pursuant to the settlement with First Bank and Otudeko. As a result, the court consequently struck out the ₦12.3 billion fraud charge against Otudeko and three others. It is important to note that no finding or admission of wrongdoing was made, affirming that this matter was resolved as a commercial transaction investigated and concluded years earlier.
The Attorney General of the Federation (AGF) decided to discontinue the prosecution under the Administration of Criminal Justice Act after reviewing the settlement and repayment. This decision was made to prevent abuse of court process. The settlement discussions were progressing, with a meeting held on March 12 under the Attorney General's supervision.
The Otudeko family has clarified that he did not flee Nigeria amid fraud allegations, addressing rumours that had been circulating in the media. The case was formally closed and removed from court records, reflecting a legal and procedural resolution through settlement.
This outcome comes after a dramatic hearing in court when Otudeko's counsel protested an alleged ₦12.3 billion fraud case. Other defence lawyers, including Messrs Kehinde Ogunwumiju (SAN), Olumide Fusika (SAN), and Charles Adeosun-Phillips (SAN), supported the adjournment request to allow negotiations to continue without pressure.
In conclusion, the court ruling on Otudeko's case regarding an alleged ₦6.2 billion fraud is scheduled for March 17. However, with the EFCC's withdrawal of the suit, the ₦12.3 billion fraud charge against Otudeko and three others has been dismissed, marking the end of a significant legal battle for the former bank chairman.
- The EFCC's withdrawal of a suit against Oba Otudeko, initially filed in Nigeria, followed the resolution of a ₦30 billion fraud case involving First Bank of Nigeria, setting a legal precedent marshaled by Judge Chukwujekwu Aneke in his ruling in Lagos.
- The ₦12.3 billion fraud charge against Oba Otudeko and three others was dismissed due to the settlement between First Bank and Otudeko, as stated by EFCC's counsel, Rotimi Oyedepo, during the hearing on preliminary objections.
- The Attorney General of Federation (AGF) made a decision to discontinue the prosecution of Oba Otudeko under the Administration of Criminal Justice Act, following a review of the settlement and repayment, aiming to prevent further abuse of court process.
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