United States authorities said it will resume legal proceedings to seize over $150 million allegedly laundered by Kebbi State Governor Atiku Bagudu, Bloomberg has reported.
Bloomberg reported that Bagudu, a member of the ruling APC, made a failed attempt for an out-of-court settlement with US authorities.
The US alleges that Bagudu was part of a network controlled by former Nigerian dictator Sani Abacha that misappropriated billions of dollars from state coffers in the 1990s.
Bagudu’s brother Ibrahim, who is entitled to an annuity from the assets, is challenging the forfeiture in a federal court in Washington.
US authorities and the Bagudu family obtained a stay of the judgement in 2020 to enable the parties to negotiate a resolution but with no agreement reached, the case is set to resume, according to court documents dated March 2.
Ibrahim is, however, optimistic that an out-of-court settlement is still possible with US and UK government officials.
A UK court had frozen the familv’s investment portfolios in 2014 following a request from the US.
The Nigerian government in 2019 said it was unable to assist the US in the case. It claimed it is bound by a settlement Bagudu reached with a previous Nigerian government in 2003.
Bagudu’s agreement with the Nigerian government reportedlv allowed him to return $163 million to the Nigerian authorities, which in exchange dropped all outstanding civil and criminal claims against him, according to court filings.
In 2018, the Buhari administration and Bagudu had a new agreement for the ownership of the investment portfolios worth 141 million euros ($154m) in late 2019 transferred to the Nigerian state, which would then pay 98.5 million euros to Bagudu and his affiliates, according to US court documents.
Buhari’s administration has since applied to the UK court to unfreeze the assets.
US DoJ in February 2020 said it requested the Nigerian government to withdraw litigation it had commenced in the UK that was hindering its efforts to forfeit laundered funds held in Bagudu’s name.
Bagudu is now the minister for national planning under the Tinubu government and all of the actions mentioned above are still ongoing.
Centre for Nigeria Progress 