In a high-profile case that has sent shockwaves through Nigeria’s financial sector, the Economic and Financial Crimes Commission (EFCC) on Friday, June 13, 2025, arraigned Halima Buba, the Managing Director/Chief Executive Officer of SunTrust Bank Ltd, and Innocent Mbagwu, the bank’s Executive Director/Chief Compliance Officer, before Justice Emeka Nwite at the Federal High Court in Abuja.
The duo faces a six-count charge of money laundering involving a staggering $12 million, in what the EFCC describes as a blatant violation of anti-money laundering regulations.
The EFCC alleges that Buba and Mbagwu facilitated illicit cash transactions totaling $12 million, bypassing mandatory financial institution protocols as stipulated under the Money Laundering (Prevention and Prohibition) Act, 2022.
The charges center on their alleged involvement in enabling high-value cash payments without proper documentation or routing through regulated financial channels, a serious breach of Nigeria’s anti-money laundering framework.
On March 13, 2025, in Lagos, Buba and Mbagwu conspired to facilitate another $3 million cash payment to Mukhtar Miko, an associate of Chiroma, also without involving a financial institution
One of the counts in the charge sheet accuses the defendants of aiding Femi Gbamgboye in making a cash payment of $3 million to Suleiman Muhammed Chiroma and his associates on March 10, 2025, in Abuja.
The transaction, according to the EFCC, was conducted without going through a financial institution, contravening Section 21(a), 2(1), and 19(1)(d) of the Money Laundering Act. The offense is punishable under Section 19(2)(b) of the same Act.
Another count alleges that on March 13, 2025, in Lagos, Buba and Mbagwu conspired to facilitate another $3 million cash payment to Mukhtar Miko, an associate of Chiroma, also without involving a financial institution.
The cumulative value of these transactions, according to the EFCC, amounts to $12 million, raising questions about the oversight and compliance mechanisms at SunTrust Bank.
During the court session, both Buba and Mbagwu pleaded not guilty to all six counts. The EFCC’s lead prosecution counsel, Rotimi Oyedepo, SAN, expressed the Commission’s readiness to proceed with the trial and urged the court for an expedited hearing, signaling the agency’s determination to pursue the case aggressively.
The defense, represented by J.J. Usman, SAN, promptly moved for bail, citing applications filed on May 27, 2025. However, Oyedepo challenged the validity of these applications, arguing that they were filed prematurely when the defendants were neither under arrest nor in detention.
The case has been adjourned to July 17 and 18, 2025, for the continuation of the trial, setting the stage for what promises to be a closely watched legal battle
He described the applications as “incompetent” and urged the court to dismiss them, requesting that fresh bail applications be submitted in court.
Justice Emeka Nwite, after considering arguments from both sides, ruled in favor of the defense and granted bail to each defendant in the sum of N100 million. The court imposed strict conditions, requiring each defendant to provide one surety in the same amount.
The sureties must own landed property within Abuja, with full particulars of the properties submitted to the court for verification. Additionally, sureties are required to provide two recent passport photographs and their passports, and their residences must be verified before approval.
Pending the fulfillment of these bail conditions, Justice Nwite ordered that Buba and Mbagwu be remanded in a correctional facility. The case has been adjourned to July 17 and 18, 2025, for the continuation of the trial, setting the stage for what promises to be a closely watched legal battle.
The arraignment of two senior executives of SunTrust Bank has sparked widespread concern about compliance and governance within Nigeria’s banking industry. The allegations, if proven, could expose significant vulnerabilities in the sector’s adherence to anti-money laundering regulations, potentially undermining public confidence in financial institutions.
SunTrust Bank, a relatively new player in Nigeria’s banking landscape, has positioned itself as a modern, technology-driven institution. However, this case threatens to tarnish its reputation and could have far-reaching consequences for its operations and leadership.
