February 25, 2026 l By Dalena Reporters
Lagos, Nigeria — A key prosecution witness in the Economic and Financial Crimes Commission’s (EFCC) ongoing fraud trial has accused former Asset Management Corporation of Nigeria (AMCON) Managing Director Ahmed Lawan Kuru of diverting funds belonging to Arik Air Limited to pay insurance liabilities for Umza Airline, dramatically intensifying corruption allegations against one of Nigeria’s most senior aviation-sector officials.
The testimony emerged on Wednesday before Justice Mojisola Dada of the Special Offences Court in Ikeja, Lagos, where Kuru is standing trial alongside multiple co-defendants in a case involving alleged abuse of office, conspiracy, and the fraudulent conversion of assets valued at approximately N76 billion and $31.5 million belonging to the now-defunct airline.
Alleged Misuse of Arik Air Funds
The prosecution’s fourth witness, Bawa Usman Kaltungo, an Assistant Director with the EFCC, told the court that forensic investigations revealed the diversion of Arik Air’s funds to cover insurance obligations owed by Umza Airline a separate aviation service provider while the airline was under receivership. The witness said records and testimony from Umza Airline officials confirmed that Arik Air’s money was used to pay the carrier’s insurance premiums, and that partial repayments had begun but not been concluded by the time of the probe.
“In the course of investigation, we discovered that Arik Air’s money was used to pay the insurance of Umza Airline,” the EFCC official said under oath, adding that the anti-graft agency had invited representatives from Umza for confirmation.
Court Evidence and Examination
Kaltungo explained how AMCON had opened multiple bank accounts for Arik Air and assigned an account officer to manage the airline’s loan. The investigator said the account officer provided a statement of the loan account, which was submitted to the EFCC as part of the evidence. The aim of this review, he said, was to determine whether the Receiver Manager appointed to oversee the airline’s assets was fulfilling his duties, but the findings suggested otherwise.
During the testimony, it was also revealed that one of the co-defendants, Kamilu Alaba Omokide a Receiver Manager of Arik Air had petitioned the Attorney-General of the Federation, alleging harassment and seeking to halt the EFCC investigation. The petition, accompanied by 39 documents, included a legal opinion from the Solicitor-General, which was received by the Federal Ministry of Justice and later submitted to the court as part of the investigative record.
Defence and Court Proceedings
Defence lawyers indicated they would raise objections to some aspects of the prosecution’s evidence during the address stage rather than in the moment, suggesting strategic legal manoeuvring as the trial continues. Justice Dada adjourned the matter for further hearing to February 26, 2026, allowing the prosecution to present additional evidence.
The allegations form part of a larger case that has unfolded over months, revealing a complex web of financial misconduct linked to the receivership of Arik Air — once one of Nigeria’s major commercial carriers. The airline was placed under AMCON’s receivership after accruing significant debt, and what was publicly framed as a rescue effort has since become an international fraud investigation involving senior banking and aviation officials.
In December 2025, another EFCC witness testified that funds belonging to Arik Air were diverted to help establish NG Eagle Airlines, further underscoring the prosecution’s claim that company assets were misused to benefit other entities.
Observers say the case reflects the broader challenges Nigeria faces in combatting financial abuse within major institutions and highlights the role of powerful corporate and governmental actors in high-value economic sectors.