'Black money' scam
Mr. George Blick, the Director of Quest Exploration & Development Inc., reported a case of Cybercrime and advance fee fraud to the Commission on 14th May 2003.
He received an unsolicited mail from Nigeria on March 10, 2003, purportedly originating from Abu Belgore, Head of the Nigerian Federal Ministry of Health Contract Review Panel, offering to pay him $20.5 million for an over invoiced contract allegedly executed in Nigeria in 1996. He was promised 25% of the money, 10% would be used to settle expenses, while 65% will be shared by the ‘panel members’. He was issued with several back-dated documents in the course of the scam while a barrage of e-mails, fax messages and telephone calls to him were sustained by the group to ensure maximal loss.
He was referred to other members of the syndicate in Europe. Within 4 month Mr. Blick had met with members of the Syndicate twice in London and twice in Madrid.
He was shown a box containing $20.5 million cash at a London apartment on 24th June 2003 during his second trip. The consignment of ‘black’ money has security codes which can only be removed by means of a special machine available in Spain. He was subsequently taken to Madrid in mid July 2003 to procure the machine. $1,100 was processed with the machine on 31st July 2003 and given to Mr. Blick to convince him about the efficiency of the entire process. He ended up paying over $2 million to the fraudsters.
Before reporting the case to the EFCC in April 2004, Mr. Blick was himself arrested by the United States Federal Bureau of Investigation with one of the fake contract invoices he signed sequel to a report by two of his partners for paying part of the company money to the syndicate.
He was eventually charged for attempting to defraud the Nigerian Government in the United States District Court for Eastern Virginia, Alexandria Virginia Division. EFCC intervened by explaining to the trial attorney that Mr. Blick is actually a victim and our principal witness in Nigeria. He entered into a plea agreement and was sentenced to a 30 months imprisonment. The term was reportedly reduced on appeal for his cooperation in the prosecution of Odiawa and refund of the $655, 000 he took from the company funds in furtherance of the scam.
3 Movado & 4 Raymond Weil wrist watches were also collected from him in London and Madrid (all valued at $8, 086). These were meant to be appreciation to some government officials processing the fund.
Transfer
He paid over $2.2 million to the group listed as follows:
$18, 750 cash in London on 4th April 2003 - processing fee
$195, 000 bank transfer on 9th April 2003 to Shangai Commercial and Saving Bank Ltd. 2 Minchuan East Road Section 1 Taipei Taiwan - opening fee
$200, 000 bank transfer on 29th April 2003 to Standard Chartered Bank China Shenzen Branch – settlement for the Nigerian University Commission opposing the contract
$50, 000 bank transfer on 29th April 2003 to Standard Chartered Bank China Shenzen Branch – settlement for the Nigerian University Commission opposing the contract
$190, 000 bank transfer on 4th June 2003 to DBS Bank Ltd. DBS Building 8 Shenton Way Singapore – gift to the new Interim Minister of Finance
$350, 000 bank transfer on 26th June 2003 to DBS Bank Ltd. DBS Building 8 Shenton Way Singapore - gift to the new Interim Minister of Finance
$177, 894 bank transfer on 24th July 2003 to Banco De Valencia Edificio Puetro 31 Avenida Del Puerto Madrid Spain - machine transportation fee
$180, 000 bank transfer on 29th July 2003 to Banco De Valencia Edificio Puetro 31 Avenida Del Puerto Madrid Spain - machine transportation fee
$175, 000 bank transfer on 26th August 2003 to Abbey National Treasury International Carrick House Circular Road Douglas Limited Isle of Man - machine repair cost
$300, 000 bank transfer on 26th September 2003 to Abbey National Treasury International Carrick House Circular Road Douglas Limited Isle of Man - machine repair cost
‘Abu Belgore’ the only member of the group based in Nigeria was arrested on 6th August 2004 in Lagos. His real names were confirmed to be Harrison Odiawa. He was arraigned at the Lagos State High Court Ikeja in February 2005.
United States of AmericaNigeria
Spain
United Kingdom of Great Britain and Northern Ireland
China
Singaporecounterfeit documents, modem, 10 computers, two vehicles and other personal properties
United States of AmericaNigeriaThe United States Federal Bureau of Investigation, through the Legal Attaché at the US Consulate in Lagos exchanged open source information informally with the EFCC on the victim (who is unfortunately a defendant in the United States) and assisted in facilitating his trip to Nigeria to testify at the Lagos State High Court in February 2005 as our principal witness.
Extensive persuasion and reassurance were done to encourage the victim to travel to Lagos. Media anecdotes and unsubstantiated negative press reports gave him an erroneous perception about Nigeria. EFCC gave him witness protection and paid his hotel accommodation during his visit.
The prosecuting Attorney in United States of America V George R. Blick at the United States District Court, Eastern District of Virginia, case No. 04-7-A (Internal Reference No. 21668) facilitated the appearance of John Blick at the Lagos trial as a witness.
The Nigerian Embassy in Washington DC transmitted a certified true copy of the Nigerian court ruling and sentence in respect of Odiawa’s case to Mr. Blick’s family to show that one of the principal suspects had been arrested and prosecuted in Nigeria. This greatly mitigated the sentence received by Mr. Blick who took $655, 000 belonging to a company he jointly owns with two other directors. The duo had voted him out and reported a case to the FBI against him.
The suspect was arraigned on 14th February 2005 at the Lagos State High Court Ikeja on a 58 count charge for the offences of conspiracy, obtaining money under false pretences, forgery and uttering. The prosecution called 8 witnesses including the Victim and tendered 120 exhibits. The defence called 3 witnesses and tendered 25 exhibits (copy of the judgement is attached).
Judgment was delivered on 13 January 2006 after a full blown trial.
Conspiracy to obtain money under false pretence
Obtaining money under false pretences
Possession of a documents containing false pretences
Forgery
Uttering forged documents
- Swift sharing of open source non-confidential information between international law enforcement
- Lack of lawful electronic interception law and tracking technology encumbers the acquisition of real time intelligence in Nigeria where almost all citizens rely on wireless communication. Law enforcement is currently unable to monitor, track or record crime related communication being conducted within the national wireless network of over 90 million CDMA & GSM phones
- Lack of national criminal database and credible identity system
- Inability to trace beneficiaries of funds sent to offshore accounts. Nigeria later established a Financial Intelligence Unit to assist in tracing proceeds of crime. The NFIU was admitted to the Egmont Group in 2007
The victim was unable to initiate any criminal investigation in other jurisdiction where he wired substantial amount of money and met physically with principal members of the transnational organised criminal group. Law enforcement in these jurisdictions are not keen to give any attention to the victim’s complaint.