Cecilia Ibru paid N225m for living in own house

By Our correspondents, Published: Thursday, 31 Dec 2009



Mrs Cecilia Ibru



OCEANIC Bank International Plc paid N225m to companies owned by the sacked managing director, Mrs. Cecilia Ibru, as rent for her Ikoyi mansion, where she lives, investigations have shown.

Investigations showed that the bank paid about N5.6bn as rent for branches and unutilised guest houses owned directly by Ibru or her associates.

Our correspondents learnt that the bank maintained 115 guest houses across the country, including an “executive guest house” at 20, Queens Drive, Ikoyi, Lagos, alleged to be Ibru‘s personal residence.

For Ibru‘s residence, the total amount paid for a five-year lease, beginning from October 25, 2008 was N88m, paid to Ogekpo Estate Managers.

A document obtained on Wednesday, showed that the bank also paid N137.5m to Casi Properties Limited for another five-year period, for the former managing director‘s residence, beginning from October 25, 2012 to September 25, 2017, bringing the total amount to N225m.

Ibru was said to have also received a hefty housing allowance during her tenure.

The bank, according to the document, is also paying heavily for 20 buildings owned mainly by Ibru‘s companies, being used as business locations in Lagos, Delta and Abuja.

It paid N80m to Casi Properties Limited, owned by Ibru, for a property at Block D33, Games Village, Abuja; while N60m (10-year lease) was paid to Ogekpo Estate Managers for an executive guest house at Ndanuba Street, Maitama, Abuja.

Ibru, according to the document, also occupied the guest house.

Another N33m was paid to Ogekpo Estate Managers on a two-year lease, commencing from August 25, 2009 to January 2011, for a property at Ali Akilu Crescent, Asokoro, Abuja.

The bank‘s Apongbon branch at 60, Marine View, Apongbon, Marina, Lagos, owned by Dele Oye and Associates, costs N1.243bn for five years, among others.

According to law enforcement sources, the agency fees also went to companies owned directly by Ibru, and in some cases, by her associates.

A source in the bank, who spoke on the condition of anonymity, said that apart from the fact that the rents, in most cases, were far above industry rate, about 80 per cent of the guest houses were not being used.

According to him, the houses were being used, largely, as avenues to make money for the former managing director’s companies. No official of the bank was, however, willing to comment on the matter.

Fresh non-performing loans were discovered recently in the bank, bringing the total to N235bn. About N160.7bn was reported to have been given by Ibru at ridiculous terms to cronies and family members.

According to reports, she also ”unethically” paid N825m to a company owned by her daughter as a 10-year rent on a property along Ikorodu Road, Lagos.

The Governor of the Central Bank of Nigeria, Mr. Lamido Sanusi, had, during a closed door meeting with the Senate, revealed that the bank, under its former management, had been reckless with credit.

A senator, who spoke on the condition of anonymity, had quoted Sanusi as saying that Ibru gave out N235bn unsecured loans; had two jets and had paid for additional two before her removal from office.

He said that Sanusi wondered why a bank chief would give out N235bn loans when the bank had a capital base of N300bn.

The CBN governor had alleged that part of the money was used by the bank chief to acquire two private jets.

When contacted, the Head, Corporate Affairs, CBN, Mr. Muhammed Abdullahi, said, ”We are aware that after the CBN appointed MDs had assumed office, startling revelations had been made, most of which have to do with disregard for the code of corporate governance, and in some cases, outright fraudulent activities.”


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