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U.S. indicts Nigerian airline CEO on bank fraud and money laundering charges

Published 23/11/2019, 13:27
© Reuters.  U.S. indicts Nigerian airline CEO on bank fraud and money laundering charges

LAGOS, Nov 23 (Reuters) - The founder and CEO of one of

Nigeria's largest airlines, Air Peace, has been indicted by the

U.S. Department of Justice on charges of bank fraud and money

laundering for the alleged illegal movement of more than $20

million, the department said.

Allen Onyema was accused of transferring the money from

Nigeria through U.S. bank accounts in a scheme involving false

documents based on the purchase of airplanes, the justice

department said in a statement dated Nov. 22.

The airline's chief of administration and finance,

Ejiroghene Eghagha, has also been charged with bank fraud and

identity theft in connection with the alleged scheme, the

statement said.

Both Onyema and Eghagha denied any wrongdoing in statements

issued by their lawyers, adding that they would defend

themselves against the allegations.

"Onyema allegedly leveraged his status as a prominent

business leader and airline executive while using falsified

documents to commit fraud," U.S. Attorney Byung J. Pak was

quoted as saying by the Department of Justice.

Legal firm A.O. Alegeh & Co. said "the allegations are

unfounded and strange," in statements on behalf of each of the

accused. It added they both looked forward to "an opportunity to

rebut these allegations in court".

Air Peace, founded by Onyema in 2010, flies to destinations

across Nigeria as well as international routes to other West

African countries including Ghana, Sierra Leone and Senegal.

Onyema, 56, of Lagos, and Eghagha, 37, also of Lagos, were

indicted on Nov. 19 on one count of conspiracy to commit bank

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fraud, three counts of bank fraud, one count of conspiracy to

commit credit application fraud, and three counts of credit

application fraud, the department.

Onyema was also charged with 27 counts of money laundering,

and Eghagha was charged with one count of aggravated identity

theft.

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