Court acquits ex-NHIS boss of $2.1m laundering charges

…convicts him on cash transaction breach

A Federal High Court sitting in Lagos has discharged and acquitted the former Executive Secretary of the National Health Insurance Scheme (NHIS), Dr Femi Thomas, of five out of six counts in a $2.1 million money laundering case filed against him by the Economic and Financial Crimes Commission (EFCC). Delivering judgment on Thursday, Justice Ayokunle Faji ruled that the anti-graft agency failed to prove beyond a reasonable doubt the allegations of conspiracy, unlawful enrichment, and making false statements contained in counts 1, 2, 3, 4, and 7 of the amended charge. However, Dr Thomas was convicted on count five, relating to a cash transaction exceeding the N5 million threshold allowed by law for individual cash dealings. Justice Faji held that the EFCC did not adequately investigate claims made by the defendant during the trial and failed to establish that the funds in question were proceeds of unlawful enrichment. “The transaction in count five is only above the N5 million threshold. There is no proof it was from the proceeds of crime,” the judge ruled. Consequently, the court ordered the EFCC to return within 14 days all funds previously seized from Dr Thomas, stating that the agency had no legal basis to continue holding the money. However, the release is contingent upon Thomas paying a N10 million fine imposed as a penalty for the single count on which he was convicted. He was also barred from travelling outside the country until the fine was fully paid. The court further found the second defendant, Mr Kabiru Sidi, guilty on the sole count against him, count six, for making a false statement during an EFCC interview by claiming ownership of the money in question. Sidi was sentenced to pay a N1 million fine. Justice Faji, in his sentencing remarks, acknowledged the allocutus (plea for leniency) presented by counsel for both defendants. He noted Dr Thomas’s consistent court appearances, lack of prior convictions, and long-standing contributions to public service, including his time as Commissioner for Health in Lagos and his leadership at the NHIS. “I have listened to your allocutus and noted your service to the nation, including establishing the cardiology department at Lagos University Teaching Hospital (LUTH), training many Nigerian cardiologists, and having no previous criminal record,” the judge said. The court gave Dr Thomas seven days from the date of judgment to pay the fine and confirmed he must remain within Nigeria until the payment is made in full. Dr Thomas and Mr Sidi were arraigned before Justice Faji on June 28, 2017, on an amended seven-count charge bordering on money laundering involving the sum of $2,198,900. The EFCC had accused Thomas, alongside his wife, Mrs Femi Thomas (who is still at large), of procuring one Bamidele Ibitoye to remove the said sum from Lagos, allegedly as proceeds of unlawful enrichment while he was a public officer. One of the charges read: “That you, Dr Martins Oluwafemi Thomas, a former Executive Secretary of the National Health Insurance Scheme, and Mrs Femi Thomas (still at large), on or about July 3, 2015, in Lagos, within the jurisdiction of this Honourable Court, procured Bamidele Ibitoye to remove from Lagos the sum of $2,198,900, being proceeds of your unlawful enrichment as a public officer, thereby committing an offence contrary to Section 18 and punishable under Section 15(2)(c) and (3) of the Money Laundering (Prohibition) Act, 2011 (as amended).” Sidi, on the other hand, was charged with making a false statement during an EFCC investigation by claiming ownership of the cash. During the allocutus, counsel for Thomas, Mr Collins Ogbonna, pleaded for leniency, citing his client’s retirement status, ongoing parental responsibilities, and outstanding professional legacy. He described Thomas as a first-time offender who had contributed immensely to Nigeria’s healthcare system. Counsel to Sidi, Mr O. Ajanaku, also asked the court for mercy on health grounds, highlighting his client’s serious medical conditions. READ MORE FROM: NIGERIAN TRIBUNE