N515m fraud: EFCC grills former bank operations chief

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The Economic and Financial Crimes Commission has grilled a former head of operations of a commercial bank, Obinna Nwaobi, over the alleged unauthorised diversion of N515m belonging to a customer, DAHUA Paper Company.

The EFCC said the money was withdrawn from the company’s Debt Service Reserve Account in three separate transactions allegedly authorised by Nwaobi while he was in charge of operations at the bank.

In a statement on Thursday, the commission said its Enugu Zonal Directorate launched an investigation following a petition submitted by the bank on June 22, 2026.

According to the petition, the N515m was transferred in three tranches of N200m, N150m and N165m on July 17, 2024.

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The bank alleged that the transactions were processed at its Okpara Avenue branch in Enugu using forged documents and with the authorisation of Nwaobi.

“These transactions were processed from our Okpara Avenue, Enugu Branch, using forged documents and authorised by Obinna Nwaobi (Head of Operations),” the petitioner alleged.

The commission said preliminary investigations revealed that the account was a Bank of Industry loan repayment account, which was not accessible to customers for ordinary transactions.

It explained that withdrawals or transfers to third-party accounts from such accounts required specific approvals from designated bank officials.

“Withdrawals or transfers to third parties are not allowed on loan repayment accounts without the approval of the Account Officer, the Regional Manager and the Credit Monitoring Team,” the bank stated.

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The latest allegation comes as Nwaobi is already facing trial before a Federal High Court in Enugu over the alleged diversion of $510,000 belonging to another customer of the same bank, Lantern Gate Nigeria Limited.

He was arraigned on November 13, 2025, on a nine-count charge bordering on forgery and the alleged criminal diversion of the funds.

The EFCC alleged that the $510,000 was transferred into six different accounts without the customer’s authorisation.

The commission said Nwaobi would be charged to court over the alleged N515m diversion after the conclusion of investigations.

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