Connect with us

Broadcasting

Multichoice Nigeria Reportedly Defrauded of N7.9Bn

Published

on

Kindly share this post

Multichoice Nigeria Limited, owners of DStv and GOtv, popular cable television services was allegedly defrauded of the total sum of N7.9 billion.

Multichoice Nigeria Reportedly Defrauded of N7.9Bn

Premium Times citing court documents reported that the botched foreign currency exchange transaction involved Akintunde Giwa, a currency exchange broker; JNFX Limited, a currency exchange firm; Ashay Mervyn, a representative of JNFX, and Frontier Financial Technologies Limited.

Mr Giwa is a currency exchange broker who earns a commission by assisting those looking to buy US dollars with Nigerian Naira. JNFX is a private limited company incorporated in England and engaged in foreign exchange and international money transfer business.

Frontier Financial Technologies Limited is a Nigerian company where Mr Mervyn is a director, court documents showed.

The case was brought before Stuart Isaacs, who sat as a Deputy Judge of the High Court, in the Business and Property Courts of England and Wales.

The judgment was delivered remotely to the parties’ representatives by e-mail and released to the National Archives on 2 April.

While the claimant, Mr Giwa, was represented by Matthew Bradley and Rumen Cholakov as instructed by Peters & Peters Solicitors LLP, Joseph Wigley (instructed by Cooke, Young & Keidan LLP) appeared on behalf of the first defendant, JNFX Limited.

Mr Mervyn and Frontier Financial Technologies Limited – listed as second and fourth defendants, respectively – had no representatives in the case.

The claim against the third defendant, JNFX Nigeria Limited, was discontinued and the company was excluded from the judgment.

Botched Contract

Premium Times review of court documents showed that MultiChoice Nigeria had engaged Mr Giwa and his companies for many years to arrange the exchange of Naira for dollars in connection with MultiChoice Nigeria’s business.

According to Mr Giwa, he acted on Multichoice Nigeria’s behalf in arranging with JNFX, under 10 Multichoice contracts, for the exchange of Naira into dollars.

In the proceedings at the UK court, MultiChoice Nigeria assigned its claims to Mr Giwa, whose primary dealings with JNFX were conducted with Mr Mervyn, a representative of JNFX “who had ostensible if not actual authority from JNFX to enter into the MultiChoice Contracts.”

Court documents showed that Multichoice Nigeria Limited paid N7.9 billion (N7,914,209.196.50) to Mr Giwa, the currency exchange broker, who in turn made payments to JNFX Limited, a currency exchange firm, under the MultiChoice contracts.

Details showed that the satellite service company paid the Naira into the bank accounts of companies controlled by Mr Giwa and were then sent to bank accounts nominated by JNFX through Mr Mervyn in return for dollars to be paid into an account held at Standard Chartered Bank in London in the name of MultiChoice Africa, another company within the MultiChoice group of companies.

However, no dollar payments (amounting to $16.2 million) were received by the company in return, according to Mr Giwa.

Backend Details

From early 2021, court documents show, Mr Mervyn increasingly instructed Mr Giwa to send the Naira to a bank account held at First City Monument Bank in Nigeria in the name of Frontier Limited.

Mr Giwa alleged that JNFX and Mr Mervyn failed to pay into the MultiChoice Account the full equivalent dollar sums or to reimburse MultiChoice Nigeria its Naira. A total of N7.9 billion (N7,914,209.196.50) was paid to JNFX under the MultiChoice contracts for which no dollar payments (amounting to $16,230,369) were received in return.

The tenth and last contract, concluded on 8 September 2021, provided for the conversion of N4.9 billion into $10 million but no dollar sum was paid in return for the Naira amount paid.

Meanwhile, the court documents showed that Mr Mervyn and Frontier, a Nigerian company where Mr Mervyn is a director, have not responded to the claims against them and have taken no part in the proceedings.

Interestingly, Mr Mervyn had been declared wanted by the Economic and Financial Crimes Commission (EFCC) in an alleged case of obtaining money under false pretence and fraudulent conversion of funds. The UK court said that his whereabouts are unknown and a worldwide freezing order (WFO) had earlier been granted against him and Frontier in 2022 but was discontinued in June 2023.

JNFX in its argument stated, among others, that Mr Mervyn lacked actual authority to enter into the Multichoice contract and act as its agent.

Arguments

In his arguments, Mr Giwa, on whom the burden of proof lies, submitted that JNFX has no realistic prospect of showing that Mr Mervyn is not guilty of deceit and lacked ostensible authority to act as its agent in entering into the MultiChoice contracts and that it is not therefore liable for Mr Mervyn’s deceit. He also argued against the claim that JNFX would not in any event have been obliged to fulfil any of its obligations under the MultiChoice contracts due to the requirement in its standard terms of business which would have governed them that all payments to it must be made to a bank account in the name of JNFX.

JNFX on its part argued that the quantum of Mr Giwa’s claim should be reduced to $8.4 million ($8,429,369) in light of dollar payments made by it for which no credit has been given, adding that his application raises complex issues of fact which need to be the subject of disclosure and evidence at a trial.

Mr Giwa submitted that the defendants have no real prospect of defending the claim and that there is no other compelling reason for a trial. He argued that he is entitled to summary judgment; and that the amended defence discloses no reasonable grounds for defending the claim. JNFX, on its part, submitted that its defence has a real prospect of success, and that summary judgment should therefore be refused.

JNFX argued that the failure of Mr Mervyn to fulfil his intention and execute the exchange contract is not evidence of the falsity of those intentions when made. Based in particular on the evidence of JNFX’s solicitors, the company claimed that it was “perfectly possible” that Mr Mervyn only subsequently got into difficulties related to the depreciation of the Naira against the dollar which resulted in his original intentions not being able to be fulfilled.

Verdict

The court agreed that the matters presented by Mr Giwa are not themselves evidence of the falsity of Mr Mervyn’s intentions on which the contractual agreements are founded. But when taken together with all the other matters relied on, the court rejected JNFX’s solicitors’ alternative explanation as the more plausible explanation.

Commenting on JNFX’s claim that Mr Mervyn had no actual authority to represent the company, the court dismissed the claim and agreed with Mr Giwa based on the facts that Mr Mervyn corresponded from a JNFX email address, was described in the emails’ signature block as JNFX’s “Head of Global Markets” with the contact and website details of JNFX given, and also described himself as “Head of Emerging Markets”.

“Importantly, it is also clear that Mr Green (JNFX’s managing director) and Mr Eisenberg (of JNFX) were aware from having been copied into or forwarded communications from Mr Mervyn to Mr Giwa and third parties such as MultiChoice and Dubai Islamic Bank of the role being claimed by Mr Mervyn and at no time disclaimed that role or indicated that he lacked the authority to transact the business which he was transacting,” the court ruled.

After reviewing the various arguments and evidence presented by the parties, the court held that Mr Giwa is entitled to summary judgment in respect of his claim of deceit against JNFX and Mr Mervyn in the sum of N7.9 billion (N7,914,209.196.50) together with interest.

It also held that JNFX’s defence be struck out to the extent that it pleads a defence to the claim of deceit, and refused permission to amend JNFX’s defence in so far as the amendments relate to a defence to the claim of deceit.

“The application for summary judgment or to strike out JNFX’s Defence so far as concerns the contractual claim against JNFX is dismissed and that claim shall proceed to trial,” the court held.

 

Credit: Premium Times

 


Kindly share this post

Nigeria CommunicationsWeek believes that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. So since 2007, we have devoted our energy to independent reportage of technology and how they affect lives.

Broadcasting

SLTV to Create Jobs, Shore Nigeria’s Forex- Nwafor

Published

on

Kindly share this post

Metrodigital Ltd., homegrown satellite pay television and owners of Silver Lake Television (SLTV), has promised to impact positively on the lives of Nigerians and shore up foreign exchange for the country.

SLTV to Create Jobs, Shore Nigeria’s Forex- Nwafor

Dr Ifeanyi Nwafor, the company’s managing director who stated this in an interview in Abuja, said that the plan is to create thousands of jobs for the teeming Nigerian youths, adding that dealers were already springing up across the country.

“Each dealer will have his own installer and offices would be opened in this regard. So, SLTV is going to help in creating a lot of jobs and will also create another platform for innovations,” he said.

The businessman said Nigeria’s focus was on leading the world’s industry. He noted that the Nigerian music industry was already making waves worldwide and expressed hope that Nigeria’s indigenous pay-TV industry would also experience the same quickly.

‘’The success will bring in foreign exchange earnings for the country,’’ he said.


Kindly share this post
Continue Reading

Broadcasting

How Virtual Accounts Can Help Businesses Manage Finances Efficiently

Published

on

Kindly share this post

Efficiently managing your business finances isn’t just a task, it’s the key to scaling your business for sustainable growth.

SB-Banner

Several tools exist today to help businesses achieve their financial management goals and establish themselves in a very competitive market.

One such tool is the virtual account, offering several benefits for multinational corporations, startups and SMEs, helping these businesses achieve their financial management goals while scaling sustainably.

In our article, “What is a virtual account and why you need it for your business,” we explained the basic concept of virtual accounts, including the types of virtual accounts, and benefits. Taking it forward with this SeerBit article, we explain the various roles that virtual accounts can play in ensuring businesses achieve efficient financial management.

  • Cash Flow Management

Virtual accounts offer a level of precision and agility that the traditional bank account does not offer businesses in today’s world. Virtual accounts give businesses more control over their funds, as they can easily segregate or compartmentalise funds for various expenses, regulate their cash flow in real-time and ensure safety for the business’ cash reserve. The ability to segregate funds for different short-term needs, such as supplier payments, tax payments, staff payments, and other long-term investments allows the company to make wiser financial decisions and ensures there will always be capital when it is needed.

  • Streamlined Reconciliation

Virtual accounts help to streamline reconciliation for your business, making the process seamless and fast by matching transactions with corresponding records for each unique virtual account. Every virtual account has a unique identifier, making it easy to match both outgoing and incoming transactions on the account with the business’ accounting records. This process is automated, consequently saving valuable time and reducing the possibility of human errors. Hence, you get accurate financial reporting in real time to make informed business decisions, thereby resolving disputes quickly and improving customer satisfaction.

  • Risk Mitigation

Virtual accounts play a crucial role in risk mitigation for businesses by providing an extra layer of security and control over financial transactions. The ability to segregate funds for specific purposes minimises the risk of mixing funds and potential misuse. Additionally, virtual accounts offer customisable access controls and permissions, allowing businesses to restrict access to authorised personnel only, thus reducing the risk of fraud and unauthorised transactions. This heightened level of security not only safeguards financial assets but also enhances trust and confidence among stakeholders, ultimately contributing to more efficient financial management practices.

  • Cost Optimisation

Virtual accounts contribute significantly to cost savings for businesses by streamlining banking operations and reducing associated fees. Through the consolidation of funds into virtual accounts, businesses can negotiate better terms with banks and optimise their banking relationships, potentially leading to reduced transaction costs and account maintenance fees. Furthermore, virtual accounts eliminate the need for maintaining multiple physical accounts, thereby reducing administrative overhead and freeing up resources for other strategic initiatives. By leveraging virtual accounts, businesses can achieve greater efficiency in their financial management processes while simultaneously lowering operational expenses, ultimately boosting their bottom line.

  • Adaptable and Scalable

Adaptability and scalability are other features of virtual accounts that make them effective for managing your business finances. They are customisable and flexible, and this allows them to adapt to whatever preferences or needs that your business has. It also means that you can configure your virtual accounts to meet specific objectives and requirements of your business. So whether you are just starting your business or already growing, virtual accounts can meet every business need at different points, even when you start to scale. This adaptability is good for your business, especially if you’re experiencing fluctuating sales volume.

Conclusion

Virtual accounts are an effective and versatile tool for your business to optimise the financial management process and enhance control and efficiency in the cash management system.

Switch to virtual accounts today!

 

 

 


Kindly share this post
Continue Reading

Broadcasting

Instagram Celebrates African Women in ‘Made by Africa, Loved by the World’ 2024 Campaign

Published

on

Kindly share this post

In celebration of Africa Day on May 25, Instagram has launched its international and pan-African campaign ‘Made By Africa, Loved by the World’. In a first, this year’s Instagram campaign celebrates women of impact, spotlighting four trailblazing women from the continent and diaspora – all of whom have built a global presence through their exceptional talents and passions across sports, entertainment and music.

Now in its fourth year, the women featured in this year’s 2024 campaign hail from Nigeria, South Africa, Kenya and for the first time Egypt. Eniola Aluko, Bontle Modiselle, Victoria Kimani and Tasneem Elaidy tell their inspiring stories in four beautiful short films highlighting their successes, challenges and passions. Shot in collaboration with five rising filmmakers, Haya Khairat from Egypt, Michael Rodriques from South Africa, Nyasha Kadandara from Kenya and London based Nigerian Aaliyah Mckay alongside co-director Shehroze Khan, these films amplify the unique voices and stories of women who are changing the way Africa is viewed on the international stage.

As part of the campaign, Instagram is also partnering with local African content creators to host the third edition of its community challenge, ‘#ShareYourAfrica,’ bringing together emerging and established content creators to create a movement and celebrate what it means to be African.

Speaking about the campaign, Kezia Anim-Addo, Communications Director, Africa, Middle East & Turkey (AMET) at Meta, said, “For the fourth year running, we’re incredibly excited to shine a spotlight and celebrate just some of the amazing women from across the continent and beyond, who are having a remarkable impact globally. These are women who are contributing to positively shaping the female African narrative and inspiring change across football, music, entertainment and culture. At Instagram, we’re deeply rooted in culture and connection, and we know our platform provides the perfect space to showcase passions and creativity, whilst inspiring a worldwide audience.”

Meet the stars of ‘Made by Africa and Loved by the World’ 2024:

●      Bontle Modiselle (South Africa): An award-winning dancer and influential figure in the South African entertainment industry, Bontle has won numerous awards, including a ‘Africa Movie Academy Award’ and has travelled the world showcasing her impressive dance skills

●      Eniola Aluko (Nigeria): A trailblazer in women’s football whose contributions to the women’s game has made her a significant figure in the world of sports. Eniola has played for some of the world’s leading football clubs, and recently made history by becoming the first African female to make the board of Italy’s female top-flight football club FC Como Women.

●      Victoria Kimani (Kenya): A singer, songwriter and entertainer known for her distinctive blend of R&B, Afropop and Hip-Hop. Victoria has carved a successful path in the African music scene and beyond, collaborating with well-known local and global artists, and was once referred to by the Grammy Awards as ‘Kenya’s Best Kept Secret’.

●      Tasneem Elaidy (Egypt): A singer and songwriter with strong vocals whose songs have earned her international recognition, Tasneem started out on social media, releasing cover songs and original music. She went viral after releasing her version of a popular song and today, she has a growing audience of nearly 2 million followers on Instagram, 3 million on TikTok and over 100 million combined views for her music!

To view each short film, follow the four women featured on Instagram or via the Meta Africa Facebook Page.


Kindly share this post
Continue Reading

Trending