The Economic and Financial Crimes Commission (EFCC) is investigating Obinna Nwaobi, a former financial institution head of operations, over the alleged diversion of N515 million from a mortgage compensation account belonging to DAHUA Paper Company.
The fee disclosed this in a submit on its official X account on Thursday, following a petition submitted by the financial institution towards the previous worker.
The funds had been allegedly withdrawn in three transactions utilizing cast paperwork and with out the customer’s authorisation after the account was reactivated in June 2024.
EFCC investigates N515 million diversion
According to the EFCC, its Enugu Zonal Directorate commenced investigations into Nwaobi following a petition dated June 22, 2026, submitted by the financial institution.
The fee mentioned the previous Head of Operations allegedly authorised the diversion of N515 million from DAHUA Paper Company’s Debt Service Reserve Account (DSRA), which was maintained for compensation of a BOI mortgage.
- “Operatives of the Enugu Zonal Directorate of the Economic and Financial Crimes Commission, EFCC have commenced investigations into the activities of one Obinna Nwaobi, a former Head of Operations of a new generation bank for allegedly authorising the criminal diversion of the sum of N515,000,000.00 (Five Hundred and Fifteen Million Naira) from the Debt Service Reserve Account, DSRA belonging to a customer, DAHUA Paper Company, without authorization,” the EFCC mentioned.
The financial institution alleged that the cash was transferred in three tranches of N200 million, N150 million and N165 million on July 17, 2024.
The petition said that the account was reactivated in June 2024 however was not positioned on Post No Debit (PND), a restriction that might have prevented withdrawals and transfers.
The transactions had been allegedly processed by means of the financial institution’s Okpara Avenue department in Enugu utilizing cast paperwork.
Preliminary investigations confirmed that the account was not meant for atypical customer transactions and that withdrawals or transfers to 3rd events required approval from the Account Officer, Regional Manager and Credit Monitoring Team.
The EFCC mentioned the transactions allegedly bypassed these approval necessities, with Nwaobi reportedly authorising the withdrawals utilizing cast paperwork.
Separate $510,000 case includes Lantern Gate
The N515 million investigation will not be the primary case involving allegations of unauthorised withdrawals towards Nwaobi.
- He is already standing trial earlier than a Federal High Court in Enugu over the alleged diversion of $510,000 belonging to Lantern Gate Nigeria Limited, one other customer of the identical financial institution.
- The financial institution had petitioned the EFCC, alleging that the funds had been transferred into six totally different accounts with out the customer’s approval following authorisation by Nwaobi.
- He was arraigned on November 13, 2025, on a nine-count cost bordering on forgery and felony diversion of the $510,000.
The EFCC mentioned Nwaobi could be charged to court docket over the N515 million case after investigations are concluded.
Other financial institution fraud instances attain Nigerian courts
The investigation comes amid different monetary fraud instances involving former banking officers and people prosecuted by the EFCC.
The EFCC mentioned Edeh was discovered responsible on 9 prices involving fraudulent false accounting and illegal entry to a pc system. His trial started together with his arraignment on February 28, 2024.
- The affected accounts included the Kano State Government Power Intervention Fund, NNPC Trading Limited, Stallion Vision Ltd, the Lagos State Government Blue Line, the State Contributory Pension Account and Chukwuemeka Odumegwu Ojukwu University.
One cost alleged that he altered Dangote Cement Plc’s customer account particulars, whereas one other accused him of accessing the financial institution’s Entrust portal to facilitate the alleged theft of N2.74 billion.
- Justice O.O. Abike-Fadipe dominated that the prosecution had established his guilt past cheap doubt on all 9 counts. Edeh acquired concurrent sentences of 5 years on the primary seven counts and two years on the remaining two, leading to an efficient five-year jail time period with out an possibility of high-quality.
Other instances embody the January 2021 conviction of former Finbank Plc Managing Director Okey Nwosu and three former directors over the theft and illegal conversion of N10.9 billion.
