Zenith compliance officer testifies on flagged transactions in Malami case

A compliance officer with Zenith Bank Plc, Mashelia Bata, has told the Federal High Court in Abuja that the bank filed a Suspicious Transaction Report (STR) over transactions conducted through an account linked to former Attorney-General of the Federation, Abubakar Malami.

Bata testified on Wednesday during the ongoing trial of Malami, his wife and son, who are facing a 16-count charge bordering on alleged money laundering amounting to N8.7 billion. The charges were instituted by the Economic and Financial Crimes Commission (EFCC).

The defendants have pleaded not guilty to the allegations.

According to a statement released by the EFCC, Bata was cross-examined by defence counsel, Adebayo Adedeji.

During questioning, the compliance officer admitted that the deposits reflected in the account statements were in line with the regulatory guidelines of the Central Bank of Nigeria (CBN).

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However, he maintained that the bank deemed it necessary to file a suspicious transaction report regarding the deposits. “The bank had to file a suspicious transaction report,” Bata told the court.

During proceedings, EFCC counsel, Jibrin Okutepa, sought clarification from the witness on the meaning of a Suspicious Transaction Report. Defence counsel objected, arguing that the term was not ambiguous and required no further explanation.

Okutepa countered that Section 215(3) of the Evidence Act permitted him to re-examine the witness for clarity. He urged the court to allow the explanation in the interest of proper understanding of the issues before the court.

Justice Joyce Abdulmalik, who is presiding over the matter, overruled the objection and directed the witness to respond.

Bata explained that financial institutions are obligated to report unusual patterns of transactions to the Nigerian Financial Intelligence Unit (NFIU).

“Any deposition of funds seen in a pattern or repetitive, you must escalate it to the NFIU,” he stated.

Following his testimony, the compliance officer was discharged from the witness box. Justice Abdulmalik adjourned the matter until May 22 for continuation of trial.

The case continues as the court examines the EFCC’s allegations that the defendants were involved in financial transactions amounting to N8.7 billion, which the anti-graft agency alleges constitute money laundering.