Court Dismisses EFCC’s Application for Forfeiture of Kolawole Aluko’s Properties, Says It Is An Abuse of Court Process To Enjoy Two Orders Before

Federal High Court sitting in Lagos on Tuesday, dismissed the application of the Economic and Financial Crimes Commission (EFCC) praying the Court for an interim order to forfeit the properties of Mr. Kolawole Aluko.

Hon. Justice Liman J. in a suit no: FHC/L/CS/1800/2019, through a preliminary objection filed by the defendant

dismissed the application for final forfeiture.

It would be recalled that by a Motion Ex-parte dated 10th October and filed on the 11th October 2019, the EFCC had earlier on prayed the Federal High Court Lagos (Coram Liman J) for an interim order of forfeiture in respect of three properties said to belong to the 1st Defendant, Mr Kolawole Aluko. 

The properties are described as:

(i) dwelling house situate at Plot 3390, Margaret Thatcher Close off Yakubu Gowon Crescent, Asokoro, Abuja FCT

(ii) A Parcel of land at Plot 3390, Margaret Thatcher Close off Yakubu Gowon Street Crescent Asokoro, Abuja FCT

(iii) Property described as Plot 1391, Tiamiyu Savage Street.

Meanwhile, the Court granted the Order as sought by the EFCC on the 17th day of October 2019 forfeiting the properties in the interim, based on the principle of non-conviction forfeiture pursuant to section 17 of Advance Fee Fraud and Other Fraud Related Offences Act 2006 (AFF ACT).

However, after the interim order was granted by the Court, the defendant filed an affidavit to show cause together with a notice of preliminary objection.

In addition, a third party “Trelou Investment Inc” also filed an application seeking to join the suit and also praying by way of interpleader that the Court dismiss the application in so far as “Avenue Towers” is concerned since the Court of Appeal had made a finding of fact in an earlier suit to the effect that Trelou Investment Inc. had shown sufficient interest in the property known and described as “Avenue Towers”.

In the light of the above, all the pending applications were argued before the Court on the 5th day of  March, 2020 whilst Judgment was slated for today,  2nd day of June, 2020.

In upholding the defendant’s preliminary objection and dismissing the application for final forfeiture, Justice Liman held that the suit was an abuse of the process of the court as it was wrong for the EFCC to attempt to enjoy two interim order of forfeitures when one interim forfeiture order was subsisting before another Federal High Court in Abuja since 2016.

Furthermore, the Court held that the EFCC did not take any steps since the grant of that order in 2016 and simply abandoned the case.

Justice Liman quoting the famous phrase of Lord Denning in Mcfoy v UAC 1962 AC stated that the EFCC “cannot put something on nothing.” This is because, there must be a valid and subsisting interim order before competently applying for a final order of forfeiture.

Thus, since the properties were earlier forfeited in 2016, there was no property available to be forfeited in 2019 and consequently. in the absence of a valid interim order of forfeiture, the case could not competently progress to the final forfeiture stage.

Rotimi Iseoluwa Oyedepo Esq., represented EFCC, while  W. Adetokunbo Jaiye-Agoro Esq, Quadri Aderogba Esq, represented Kolawole Akanni Aluko, of District Heights Limited

Abiodun Owonikoko SAN, for Trelou Investment Inc.