EFCC Moves Against Providus Bank Over Alleged N270m ‘Midnight Withdrawal’
… Lender Rushes to Court for Relief
A high-stakes financial drama is unfolding as the Economic and Financial Crimes Commission (EFCC) launches a sweeping probe into Providus Bank Limited over the alleged disappearance of N270 million from a customer-linked account—an incident now sparking claims of forgery, internal collusion, and a fierce legal showdown.
At the centre of the controversy is a petition by Cornerblock Services Limited, which accuses the bank and one of its officials of facilitating what it describes as an unauthorised and suspicious withdrawal from the account of Boon Sales & Marketing Limited.
Court documents reveal that the disputed funds were part of a N300 million blocked facility granted to Boon Sales in December 2023, under a credit agreement formalised in January 2024.
Of that amount, N270 million was lodged in an account with Providus Bank—funds Cornerblock insists were tightly secured under an irrevocable lien and a joint signatory mandate.
But in a twist that has raised eyebrows, the company alleges the funds were moved without its consent, using documents it claims were forged to lift the lien and authorise the transactions.
Even more troubling, according to the petition, is the sudden disappearance of a bank staff member allegedly linked to the account—now said to be unreachable—fueling suspicions of insider involvement in the controversial transaction.
After repeated demands for a refund reportedly hit a brick wall, Cornerblock escalated the matter to the EFCC, prompting the anti-graft agency to demand documents and kickstart a formal investigation.
Cornerblock argues that allegations of forgery and unauthorised withdrawals squarely fall within the EFCC’s mandate to tackle financial crimes, dismissing any attempt to downplay the issue as merely contractual.
But Providus Bank is pushing back hard.
In a dramatic counter-move, the lender has approached the Federal High Court in Lagos, seeking an order to halt the EFCC’s investigation. The bank insists the dispute is purely civil—rooted in account mandates and corporate instructions—not criminal wrongdoing.
Through an originating motion for judicial review, Providus is asking the court to restrain the EFCC from “harassing” it with investigations, summons, or further inquiries, and to nullify a December 19, 2025 letter requesting transaction records.
The bank also leans on a prior review by the Bankers’ Committee, which reportedly cleared it of any misconduct—though Cornerblock counters that the body lacks authority over criminal matters.
Describing the EFCC’s involvement as an overreach, Providus warns that criminalising what it calls a commercial dispute could damage its reputation and disrupt operations. It has also urged the court to stop Cornerblock from using the anti-graft agency as leverage in what it terms a contractual disagreement.
In a significant interim ruling, the Federal High Court on February 25, 2026 granted the bank permission to pursue judicial review and ordered a temporary halt to further EFCC action pending the outcome of the case.
Now before Justice Daniel Osiagor, the case sets the stage for a legal battle that could redefine the thin line between civil banking disputes and criminal financial conduct.
All eyes are on July 3, 2026, when proceedings resume in what is shaping up to be a landmark showdown between a commercial bank, its customer, and Nigeria’s top anti-corruption agency.
