Olam Nigeria Limited, a prominent company in the country, has reportedly paid a substantial bail bond of N1 billion to secure the release of one of its directors, Prakash Kanth, who was embroiled in a $50 billion foreign exchange (FX) fraud case.
The payment was made into a special recovery account operated by the State Security Service (SSS), marking a significant development in the ongoing investigation.
It has been disclosed that other high-ranking executives of the company have fled the country following the arrest of Godwin Emefiele, the Governor of the Central Bank of Nigeria, and others allegedly involved in the fraud scheme.
The N1 billion bail bond was deposited into a Treasury Single Account (TSA), held at Access Bank on a recent Monday. Additionally, documents have revealed that one of Olam’s subsidiaries, Micro Feed Nigeria Limited, based in Lagos, made the payment “in connection with the ongoing investigation of money laundering involving Prakash Kanth.” Mr. Kanth, who had spent several days in detention at the SSS facility in Abuja, serves as Olam’s Director of Corporate Affairs and Legal in Nigeria.
The SSS has also requested comprehensive financial records from the company, including evidence of tax payments, corporate income tax, Value Added Tax (VAT), export proceeds, and capital importation by Olam Nigeria Limited and its subsidiaries during the period under scrutiny.
Furthermore, the agency has sought an analysis of all foreign exchange outflows dating back to 2015, including details of the commercial banks involved, beneficiaries of the foreign exchange transactions, and any Bureau de Change (BDC), licences issued to Olam Nigeria Limited or its subsidiaries.
In their quest for transparency, the SSS has requested information pertaining to the company’s expatriate quota, a list of approved expatriates, and particulars of both current and former Managing Directors, Chief Financial Officers (CFOs), and financial controllers of the company, including their names, addresses, and countries of residence.
The unfolding scandal has raised questions about the financial practises of Olam Nigeria Limited and underscores the seriousness with which the authorities are investigating the alleged FX fraud.
