The company aimed to deploy 2,000 shared ATMs in Nigeria. The machines carried the insignia Quickcash. Anywhere you found the Quickcash logo you would get cash. Quickcash was located in places without bank presence. Eateries. Fuel stations. Shopping malls. Restaurants etc. The initial rollout was smooth. Then the Quickcash brand died quickly. Why?

On the one hand

Could you hand over your off-site ATMs to ATMC? The CBN ordered. The first CEO of ATMC, Olumide Bajomo, and his team were happy. It appeared to Bajomo that the CBN’s order would quicken the rollout of more Quickcash machines. He was disappointed. The banks refused to hand over their machines. Bajomo exited. Why?

On the other hand

Noble Ekajeh, Bajomo’s successor, inherited the legacy system. Our discussions were on the same issue. It was obvious that the ATM consortium was not working. To confirm it, the CBN reversed its policy. Banks could deploy cash machines anywhere. Then the bank consolidation exercise sealed ATMC’s fate. The banks that were uncooperative earlier now had official backing. Adieu ATMC.

In the long term

Why did the banks refuse to hand over their machines? Does a bank profit from deploying an ATM? No. How do I know? A reason that led to ATMC’s demise was the high maintenance cost. To maintain a cash machine, you need a cash machine. You need cash. You need a machine to count the cash. You need a sorter to find ATM-fit banknotes. You must do this every day. Seven days a week. Four weeks a month. 365 days a year.

You need a cash-in-transit vehicle to ferry the cash to the designated machine. You need security personnel. You need electricity and a diesel power generator. You need a steady internet connection. You must pay rent. Add these hurdles to the uncooperative stance of the banks. ATMC enjoyed the ride. ATMC could not survive.

ATM sales and management guru, Tope Dare, the man who sold most of the ATMs in Nigeria, told me recently that a bank does not profit from deploying an ATM. Dare listed the following reasons: High cost of capital expenditure [CAPEX] on ATMs: High cost of maintenance. High cost of power infrastructure maintenance. Cash management. One of the leading bank CEOs said on one of the platforms I belong to: ‘’Banks do not make money from ATMs. I know this is hard to understand but it is true. It is not possible to make money from ATMs. It is uneconomical to serve the people using the ATMs’’.

In the short term

The banks earn revenue by charging non-customers fees for using their ATMs. In the ATM race, ATMC could not have survived.

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Specifically, market capitalisation grew by N618 billion or 0.7 per cent, closing at N89.960 trillion from N89.342 trillion on Thursday.

Similarly, the All-Share Index increased by 983.99 points or 0.7 per cent to close at 142,133.03 from 141,149.04 recorded previously.

Also, the market breadth closed positive with 36 gainers and 23 losers.

Thomas Wyatt Nigeria led the gainers’ table by 10 per cent, closing at N3.30 while The Initiates and Eunisell Interlinked grew by 9.98 per cent each, ending the session at N13.22 and N33.60 per share respectively.

FTN Cocoa Processors rose by 9.96 per cent, finishing at N5.96 and Omatek Ventures soared by 8.57 per cent, settling at N1.14 per share.

Conversely, Fidelity Bank led the losers’ table, dropping by 10 per cent, closing at N18.45, Custodian Investment trailed by 8.90 per cent, settling at N44 while Cutix fell by 8.31 per cent, finishing at N3.20 per share.

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Daar Communications dipped by 7.02 per cent, ending the session at N1.06 and Union Dicon Salt declined by 5.26 per cent, closing at N9 per share.

Analysis of the market activity revealed decline in the market value and volume with an improvement in the deals.

A total of 518.7 million shares valued at N18.05 billion were traded across 22,350 deals, compared to the previous day’s 5.5 billion shares worth N419.7 billion exchanged in 20,399 transactions.

Abbey Mortgage Bank topped the activity chart in volume with 50.03 million shares valued at N340.2 million.

Zenith Bank followed with 38.97 million shares worth N2.7 billion while Stanbic IBTC sold 38.95 million shares valued at N4.2 billion.

FCMB traded 32.3 million shares worth N347.8 million and Sovereign Trust Insurance transacted 27.3 million shares valued at N84.1 million.

Source: NAN

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The declaration is contained in a statement issued by Mr Kamarudeen Ogundele, the AGF’s Special Assistant on Communication and Publicity on Monday in Abuja.

The AGF explained that the decision followed a careful review of the case, which found no connection between Onyeali-Ikpe and the charge, as she was neither the account officer nor the Managing Director of Fidelity Bank when the account used in the alleged fraudulent scheme was opened.

“As the chief law officer of the federation, the AGF has the constitutional power to enter a nolle prosequi, discontinuing a prosecution where it is deemed necessary to prevent a miscarriage of justice.

“This decision followed a careful review of the case which did not connect Onyeali-Ikpe to the charge as she was neither the account officer nor the Managing Director of the Fidelity Bank when the account used in the alleged scheme of fraud was opened.

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“The Attorney General’s decision is guided by the principles of justice, fairness, and the rule of law, and we have every confidence that this decision is in the best interest of justice and the public,” he said.

He noted that the decision did not exculpate Fidelity Bank from the allegations contained in the charge which is still pending before the court.

He added that the decision was rather a demonstration of the attorney general’s duty to ensure that justice was served.

His words: “We urge the public to allow the legal process to run its course and to refrain from speculation or jumping to conclusions.

“The AGF will ensure that the best interest of justice is served at all times and that all those found wanting, at any time, face the full weight of law to serve as a deterrent to others.”

Source: NAN

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Specifically, the Nigerian Exchange Ltd., NGX, market capitalisation declined by N659 billion or 1.01 per cent, falling to N65.488 trillion from N66.147 trillion recorded on Friday.

Similarly, the All-Share Index dropped sharply by 1.23 per cent or 1,295.02 points, closing at 104,216.87 compared to 105,511.89 posted on Friday.

The mixed performance was largely attributed to the listing of First Holdco Plc’s Rights Issue of 5,982,548,799 ordinary shares at 50 kobo each, priced at N25 per share on the basis of one for six, which became effective on April 7.

Market breadth also closed negative, with 51 losers and nine gainers.

On the losers’ chart, Cornerstone Insurance declined by 10 per cent to close at N2.97, while Oando Plc also fell by 10 per cent to N37.80 per share.

Secured Electronic Technology dropped 10 per cent to 45k and RT Briscoe lost 10 per cent to close at N2.16 per share.

Similarly, Honeywell Flour Mills declined by 9.98 per cent to close at N10.19 per share.

Conversely, on the gainers’ chart, VFD Group soared by 10 per cent to close at N62.70, while TotalEnergies Marketing Nigeria rose by 9.61 per cent to N745.00 per share.

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Guinea Insurance grew by 9.52 per cent to close at 69k, and International Energy Insurance increased by 9.33 per cent to N1.64 per share.

Also, Abbey Mortgage Bank gained 8.88 per cent to close at N5.15 per share.

In terms of volume, First City Monument Bank led the activity chart with 65.5 million shares worth N588.99 million.

Fidelity Bank followed with 42.53 million shares valued at N818.38 million, while Guaranty Trust Holding Company sold 34.49 million shares worth N2.33 billion.

Access Corporation recorded 31.83 million shares traded, valued at N687 million, and Zenith Bank moved 31.68 million shares worth N1.47 billion.

Source: NAN

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Mr Wilson Uwujaren, spokesperson for the commission, said on Wednesday in Abuja that a former Managing Director of Fidelity Bank Plc, Mr Nnamdi Okonkwo, has been arrested in connection with the money.

Uwujaren who said that the money was lodged in the coffers of the bank, added that Okonkwo’s arrest was part of ongoing investigations on the former minister.

According to him, Okonkwo, alongside others, had earlier been grilled over $153 million and $115 million by the commission.

“While all the $153 million were recovered by the EFCC, the cases involving $115 million, as it relates with the Independent National Electoral Commission (INEC) bribery matter, are in various courts.

“Okonkwo and Charles Onyedibe are currently being detained by the EFCC over the whereabouts of the new $72.87 million, ” he added.

Source: NAN

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Fidelity Bank stated this in a notice on Friday to the Nigerian Stock Exchange (NSE) and the general public, signed by its Company Secretary, Ezinwa Unuigboje.

It said the emergency board meeting would hold on March 2 at 9.30am, to consider and approve the company’s audited financial statements for the financial year ended December 31, 2019.

“Upon approval by the Board, the audited financial statements shall be presented to the Central Bank of Nigeria for approval and thereafter published in compliance with the provisions of the NSE Rule Book and other relevant provisions.

“The bank had earlier communicated to its insiders a closed period relating to trading in the shares of the bank from January 24 until 24 hours after its Audited Financial Statement for the year ended December 31 2019 is released to the public.

“The Nigerian Stock Exchange has been notified of this development,” said the notice.

The Securities and Exchange Commission (SEC)’s communication requires public companies to adopt one of two options.

The first option is to file fourth quarter unaudited financial statement (UFS) within 30 days after the quarter end and Annual Financial Statement (AFS) within 90 days after the year end.

The second option is not to file fourth quarter UFS but to file the AFS within 60 days after the year end.

Source: NAN

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It was learnt that the sales agent’s arrest was sequel to a petition jointly written by the bank’s Regional Security Officer and the Cluster Control and Compliance Manager, in which it was alleged that the suspect suppressed, diverted and stole a total sum of N137,000,000 (One Hundred and Thirty-Seven Million Naira) from personal and corporate accounts of a customer in Ibadan.

The petition filed on August 20, 2019, alleged that Agbabiaka committed the offence between January 2017 and July 2019.

It was gathered that the suspect, who was the account officer attached to the customer, was said to be visiting the business premises of the victim weekly to collect cash with the understanding that he would remit same to his accounts domiciled in the bank’s Challenge, Ibadan branch.

But, instead of depositing the money, Agbabiaka was said to have at different times remitted only a portion and on many occasions diverted the whole sum to personal use.

The bank’s employee, in order to cover its criminal acts, according to the petition, would rather issue fictitious bank slips to deceive the customer that he truly deposited the sums.

This continued until the customer reviewed the statement of his account and reconciled same with the cash collection register.

It was then they discovered Agbabiaka’s fraudulent deeds, prompting the bank to put up the petition.

The EFCC investigators have so far established a prima facie case of diversion and stealing against the suspect.

Further investigations also revealed that he had used the suppressed sums to build houses, purchase cars, invest in fixed deposits and insurance policies.

He also gave part of the loot to people as friendly loans while some of the items have been recovered and registered as exhibits.

The suspect will be charged to court as soon as investigations are concluded.

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His offence:  He stole money from the bank’s vault and diverted customers’ deposits for personal use.

The sentence was handed down by an Ekiti State High Court presided over by Justice Abiodun Adesodun on Thursday.

He was found guilty of a two-count charge of stealing in a criminal case filed against him by the Economic and Financial Crimes Commission, EFCC, Ibadan zonal office.

The offence, according to the charge sheet, was contrary to Section 390 (g) of the Criminal Code Laws Cap 16, Laws of Ekiti State, 2012.

The bank had written a petition to the EFCC alleging that while still a staffer, Ihinolurinjon, stole a sum of N8,891,000.00 from its vault, and also failed to remit a total of N7,251,600 he collected from customers to the bank’s account.

“Our preliminary review showed that Michael fraudulently diverted the sums of N8,891,000.00 and N7,251,600.00 of the branch vault and customers’ cash respectively. The cash deposit of N7,251,600.00 received by Michael from various customers between 1/9/16 and 19/9/16 were neither posted to their respective accounts nor the cash accounted for,” the bank stated in its petitioned dated October 17, 2016.

The bank also accused the cashier officer, Ihinolurinjon, of absconding from duty “upon sighting one of the customers whose cash he had fraudulently diverted.”

The Commission, following the petition went into a full scale investigation after which the accused was originally charged with obtaining through false pretence in a one-count charge filed in 2017.

The charge was later amended to a two-count, bordering on stealing, upon which he was re-arraigned on June 24, 2019.

The EFCC while prosecuting the case through its counsel, Mr. Abdulresheed Lanre Suleman, called nine witnesses and also tendered several exhibits.

The presiding judge after listening to arguments on both sides, found the defendant guilty as charged, and sentenced him to five years imprisonment on each of the two counts to run concurrently.

The convict was however given an option of fine of N100,000, on each of the counts and also ordered to pay a sum of N7 million as restitution to Fidelity Bank Plc, the petitioner in the case.

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A Federal High Court sitting in Kano and presided over by Justice A. Lewis-Allagoa gave the interim order on Friday following a motion ex-parte to that effect by the Economic and Financial Crimes Commission, EFCC.

The forfeited sum, the court directed, should be deposited in the Treasury Single Account of the Federal Government.

“An interim forfeiture order is granted to the Federal Government in the sum of N1,000,494,000 (One Billion, Four Hundred and Ninety Four Thousand Naira Only) in the Bank account of the 1st respondent Magel Resort Limited 4011019546 which is maintained with 2nd respondent Fidelity Bank Plc.,” Lewis-Allagoa ordered.

The money was said to have been lodged in three deposits with Fidelity Bank Plc on May 20 and 25, 2015.

It was found in the account of a company linked with Patience Jonathan, Magel Resort Limited.

Acting on intelligence report, EFCC, carried out its preliminary investigation and confirmed that the wife of the former president and some relatives of her husband were directors of Magel Resort Limited.

The other directors are Oba Oba Tamunotonye, Goodluck Jonathan Aruera, Goodluck Jonathan Ariwabai and Esther Fynface.

Tracing the origin of the money, it was said to have been discovered that the sum of N500,000 was deposited on the 20th of May, 2015 by Fynface.

The sum of N1 billion was said to have been transferred in two tranches on the May 25, 2015 from Pagmat Oil and Gas Nigeria Limited.

The company is said not to be incorporated with the Corporate Affairs Commission.

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