A prosecution witness has told a Lagos court that assets worth N4.9bn belonging to Arik Air were allegedly diverted to establish and fund NG Eagle Airlines, which was later sold for about N149m.
The witness, Bawa Usman Kaltungo, made the allegation on Wednesday while testifying in the trial of former Asset Management Corporation of Nigeria (AMCON) Managing Director, Ahmed Kuru, and four others over an alleged N76bn and $31.5m fraud.
Kaltungo, the fourth prosecution witness, told Justice Mojisola Dada of the Special Offences Court in Ikeja that the Economic and Financial Crimes Commission (EFCC) invited Arik Air’s former Chief Financial Officer, Jonathan Sani, during its investigation.
He said Sani provided investigators with a breakdown of expenses incurred in establishing and funding NG Eagle, including further details in an additional statement.
“The Chief Financial Officer of Arik Air was invited by the EFCC for questioning, and he gave us the breakdown of all the expenses,” the witness said.
Kaltungo maintained that the investigation found that Arik Air’s funds were used to cover expenses associated with NG Eagle, raising questions about the management of the airline’s resources while it was under receivership.
The defendants are Kuru, Kamilu Alaba Omokide, Roy Ilegbodu, Union Bank of Nigeria Plc and Super Bravo Limited.
They are facing a six-count charge bordering on conspiracy, stealing and abuse of office.
One of the charges alleges that Kuru, Omokide and Ilegbodu fraudulently converted N4.9bn belonging to Arik Air to the use of NG Eagle in 2022.
Another count accuses Union Bank of making false statements to AMCON in 2011 concerning Arik Air’s performing loans, resulting in the transfer of an alleged N71bn debt to the corporation.
During cross-examination by defence counsel Olasupo Shasore, SAN, Kaltungo also testified about the dismantling of an Arik Air aircraft, registration number 5N-JEA, valued at $31.5m.
He said EFCC investigators found that the exercise was carried out without approval from the Nigerian Civil Aviation Authority (NCAA).
According to the witness, investigators obtained intelligence from AMCON staff and examined email correspondence between Ilegbodu and an individual identified as Olanrewaju concerning the removal of parts from the aircraft.
Although the emails did not mention Omokide, Kaltungo argued that the dismantling could not have occurred without the receiver-manager’s approval or consent.
He also told the court that investigators encountered a blockade during an inspection but eventually gained access to examine the aircraft.
The witness further disclosed that three Arik Air aircraft were transferred to Super Bravo Limited on December 31, 2020, before the expiration of a 90-day deadline issued by AMCON for the airline to service its foreign loan.
He said Super Bravo was incorporated by AMCON in 2013 and that the transfer of the aircraft formed part of the transactions investigated by the EFCC.
According to him, AMCON sought board approval for the transfers several years after they had occurred.
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Kaltungo added that investigators observed Arik Air aircraft being repainted and converted for use by NG Eagle, alleging that the transfers gave the new airline an undue advantage.
On the alleged loan Union Bank claimed Arik Air owed, the witness said investigators could not find an offer letter or account statement establishing the transaction.
He said Arik Air told investigators it had not obtained a loan from the bank, which, according to him, failed to provide documents supporting its claim.
The witness also acknowledged that Kuru was neither listed as a director nor a shareholder of NG Eagle or Super Bravo. He further said investigators did not trace any payment from Super Bravo to the former AMCON chief.
Kaltungo testified that proceeds from NG Eagle’s sale, amounting to approximately N149m, were paid into AMCON’s account with the Central Bank of Nigeria.
However, he said Kuru approached the AMCON board for approval of the sale three years after the transaction had taken place.
The witness also acknowledged that a court judgment concerning NG Eagle’s incorporation had been set aside on appeal, but said the investigation relied partly on a legal opinion from the Attorney-General of the Federation.
Justice Dada adjourned the case until December 3 and 10, 2026, for continuation of the trial.
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