Miden Systems Limited has filed a lawsuit against Sterling Bank, its CEO, and others over alleged $200 million fraud, forgery, and criminal breach of trust
Miden Systems Drags Sterling Bank, CEO to Court Over Alleged $200m Fraud, Forgery
Miden Systems Limited has instituted legal action against Sterling Bank Limited, its Chief Executive Officer, Sterling Financial Holdings Company Plc, and four senior management staff, alleging conspiracy, fraud, forgery, criminal breach of trust, and misappropriation of funds.
The engineering, maritime, and consultancy firm, which operates a corporate account with Sterling Bank, filed the suit before Magistrate Njideka Duru of the Chief Magistrate’s Court, Wuse Zone II, Abuja.
The case, listed for mention on Monday, was stalled due to the ongoing Nigerian Bar Association (NBA) conference in Enugu and has been adjourned to September 10.
In a 29-page petition filed by its counsel, Louis Alozie (SAN), Miden accused the defendants of running a vast fraudulent scheme using its name to open spurious accounts, allegedly siphoning over $200 million. The company claimed that repeated requests for account statements were ignored while unilateral liens were placed on its accounts, cutting it off from its funds.
The petition further alleged that Sterling Bank withheld foreign currency remittances, speculated with them for months, and later liquidated them at heavily devalued rates.
“In one instance, our principal remitted dollar revenues when the official rate was about N150/$1 and the market rate about N198/$1. Sterling Bank stockpiled over N2 billion in our account after taking its spread. By the time they released it, the naira had collapsed to about N500/$1, rendering the original dollar value almost worthless,” the complaint read.
Miden also alleged that Sterling Bank deliberately refused to issue cheque books or grant internet banking access in order to conceal fraudulent debits.
The company maintained that although it cleared all loan obligations to Sterling Bank by July 2017, the bank fabricated an unsolicited $30 million loan, supported by forged documents and signatures, and immediately disbursed the funds to third parties.
Another instance cited involved a $3 million loan booked to Chasewood Limited. When Chasewood denied applying for the facility, the bank allegedly reclassified it under Miden’s account, claiming the two firms were “sister companies.” Miden insists it has no connection to Chasewood.
The firm further alleged that Sterling Bank secured a loan from Afrexim Bank using forged signatures, while also opening additional accounts in Miden’s name with a fake office address at No. 10 Goba Close, Wuse II, Abuja.
Frustrated by failed resolutions, Miden petitioned the House of Representatives Committee on Public Petitions, which referred the matter to the Inspector General of Police. A police investigation report issued in February 2025 reportedly indicted Sterling Bank and the named defendants.
With the case now before the Chief Magistrate’s Court in Abuja, hearing is scheduled to continue on September 10. Read More
