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Air Peace Responds to U.S. Fraud Charged Against CEO Allen Onyema

Air Peace Responds to U.S. Fraud Charged Against CEO Allen Onyema

The management of Air Peace Limited, Nigeria’s largest airline, issued a statement on Sunday addressing the ongoing legal proceedings by the US government, against its founder and CEO, Allen Onyema, as well as the Chief of Finance and Administration, Ejiro Eghagha.

The airline explained that these legal challenges will not compromise its operations or the safety of its flights, assuring stakeholders and customers of its commitment to reliability and service quality.

Recent developments surrounding Onyema have drawn significant media attention, particularly after the United States government expanded its case against him. Originally filed in 2019, the allegations involve a $20 million bank fraud scheme. Since then, the charges against Onyema have multiplied, leading to serious implications for both him and Air Peace.

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On October 8, 2024, a superseding indictment was filed, which added an additional count of obstruction of justice to the existing allegations. The U.S. Attorney’s Office for the Northern District of Georgia stated that Onyema and Eghagha were accused of attempting to thwart a government investigation by submitting false documents.

According to the indictment, Onyema is charged with obstruction of justice for submitting false documents to the government in an effort to end an investigation of him that resulted in earlier charges of bank fraud and money laundering. Prosecutors allege that he and Eghagha have used their positions to manipulate financial documents to mislead U.S. authorities, effectively stalling an investigation into their activities.

The U.S. Attorney’s Office provided further details about the nature of the alleged fraud. Prosecutors claim that Onyema and Eghagha orchestrated a scheme that involved using Air Peace as a cover to execute fraudulent transactions through the U.S. banking system.

The indictment outlines that between 2016 and 2017, the duo applied for export letters of credit to transfer substantial sums from a Nigerian bank to accounts associated with Springfield Aviation LLC, a company founded by Onyema in the United States.

Key accusations include moving suspicious funds. Onyema allegedly moved approximately $15 million from Springfield Aviation’s account at a Wells Fargo Bank branch in Atlanta to his personal savings account through 27 separate transactions. Each of these transactions constitutes a distinct charge of money laundering.

The indictment states that Eghagha submitted forged purchase agreements, bills of sale, and inflated valuation documents to support their fraudulent activities, aiming to mislead American banks regarding the legitimacy of the funds. Both Onyema and Eghagha are implicated in a conspiracy to obstruct justice by presenting false documents in a failed attempt to disrupt the ongoing investigation into their financial dealings.

In its response, Air Peace noted its understanding of the concerns raised by the ongoing legal proceedings. The airline’s management released a statement on its official X (formerly Twitter) page, acknowledging the legal proceedings.

The airline clarified that the charges against Onyema and Eghagha are part of a prolonged legal process that has its roots in previous accusations of financial misconduct. Air Peace affirmed that both Onyema and Eghagha are innocent of the allegations, stating, “These are mere allegations, and the case is still in court.”

The airline reassured its customers and the general public that the legal matters at hand would not affect the safety, reliability, or daily operations of Air Peace.

“We want to reassure the public that these legal proceedings will not impact the safety, reliability, or day-to-day operations of Air Peace. The dedication and focus of our staff remain steadfast as we continue to provide you with the best aviation experience in Nigeria and beyond,” the airline said.

Furthermore, Air Peace noted that its legal team is actively working on the case, ensuring cooperation with authorities to bring about a fair resolution.

“Our legal team is fully engaged with the matter and is working tirelessly to ensure that justice prevails. We remain confident that, through due process, the truth will be revealed, and our CEO and co-defendant will be exonerated,” the statement said.

While Air Peace reassured its stakeholders, the situation for Onyema has worsened. He has been a fugitive from U.S. justice since the allegations first emerged. The U.S. government has been relentless in its pursuit, having issued multiple arrest warrants for Onyema and Eghagha in both the United States and Canada, where they are suspected of transferring funds related to the alleged fraud.

The recent superseding indictment brings the total number of charges against Onyema and Eghagha to 38, encompassing a range of serious allegations, including conspiracy, obstruction of justice, bank fraud, money laundering, and identity theft. The most recent charges add to a history of attempts to mislead authorities and derail investigations.

The case has also seen developments involving Ebony Mayfield, an American woman who was implicated in the alleged fraud scheme. Mayfield was sentenced to three years’ probation in September 2022 after cooperating with U.S. authorities. Her involvement was pivotal, as she helped facilitate the fraudulent activities but ultimately pleaded guilty, which significantly reduced her sentence. The court considered her remorse and cooperation as mitigating factors during her trial.

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