The Economic and Financial Crimes Commission (EFCC), Lagos Zonal Directorate 1, has on Tuesday arraigned an associate of social media celebrity, Ismail Mustapha, popularly known as Mompha, alongside three companies, over an alleged N206 million fraud before the Special Offences Court sitting in Ikeja, Lagos.
The defendant, Sarumi Samusudeen Babafemi, was docked before Justice Rahman Oshodi alongside his companies, 606 Autos Limited, 606 Music Limited and Splash Off Entertainment Limited on a five-count charge bordering on conspiracy, concealment and transfer of proceeds of crime.
According to the EFCC, the alleged offences contravene Section 332(1) of the Criminal Law of Lagos State, 2011, and are punishable under Section 332(3) of the same law.
In one of the counts, the prosecution alleged that Babafemi, while serving as Managing Director and Chief Executive Officer of the companies, conspired with Ismail Mustapha (Mompha), Ridwan Momodu Allison (also known as Osama), both said to be at large, and one Richard Ugbah, between 2013 and 2018.
The EFCC alleged that the defendants used the companies to conceal the origin of illicit funds and transferred the sum of N37.6 million to Omojadesola Shittu Allison, knowing or reasonably suspecting that the funds were proceeds of unlawful activity.
Another count accused Babafemi of using the companies’ accounts between 2015 and 2018 to conceal the origin of funds and subsequently transfer N93 million to one Olanrewaju Ibrahim Oriyomi, with knowledge or reasonable suspicion that the funds were proceeds of crime.
Babafemi pleaded not guilty to all the charges when they were read to him.
Following the plea, prosecution counsel, Ayanfe Ogunsina, requested a trial date and urged the court to remand the defendant in a correctional centre pending the commencement of trial.
However, defence counsel, Kunle Adegoke, SAN, told the court that he had only received the charge a day earlier and had worked overnight to prepare a bail application, which was already in process. He appealed to the court to release the defendant to him, assuring that he would present him in court on the next adjourned date.
Justice Oshodi granted the application and ordered that Babafemi be released to his counsel upon the filing of an affidavit of undertaking to produce him in court as required.
The case was adjourned till March 24, 2026, for the commencement of trial.