The Federal High Court in Lagos has convicted Femi Thomas, former Executive Secretary of the National Health Insurance Scheme (NHIS), for violating the legal cash transaction limit of N5 million for individuals, Daily Watch Nigeria reports.
Justice Ayokunle Faji, who presided over the case, delivered the judgment on Thursday in relation to charges involving $2,198,900 filed by the Economic and Financial Crimes Commission (EFCC).
The EFCC arraigned Thomas alongside Kabiru Sidi, a bureau de change (BDC) operator, on a seven-count charge of money laundering. Sidi faced a separate charge (count six) for allegedly making false statements to EFCC investigators.
According to the charge sheet, Thomas was accused of using his wife, Mrs Femi Thomas, to disguise the unlawful origin of the $2.19 million, an offence contrary to Section 18 and punishable under Section 15(2)(a) and (3) of the Money Laundering (Prohibition) Act, 2011, as amended.
Both defendants pleaded not guilty.
During the trial, EFCC counsel Ekele Iheanacho argued for conviction, noting that Thomas failed to justify the legitimate origin of the funds. He said the defendant claimed the money came from his farming business, but the prosecution insisted the transaction’s concealment violated the law requiring large sums to pass through financial institutions.
“This is clearly a case of money laundering,” Iheanacho stated.
Justice Faji found Thomas guilty of conducting cash transactions above the legal limit without going through a financial institution. He was fined N10 million. However, he was acquitted on five of the seven counts, including counts one to four and count seven.
Thomas was previously removed from his NHIS role in April 2015 by former President Goodluck Jonathan.
The Money Laundering Act restricts cash transactions exceeding N5 million for individuals and N10 million for corporate bodies unless routed through financial institutions.
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