by Chi Ibe
Bank of America, M&T Bank and Wells Fargo received directive from the US government to close the accounts of the Nigerian embassy in Washington and its consulate in New York on suspicion of money laundering after traffic on the various accounts raised a red flag.
Report from the Leadership claim the decision was sequel to intelligence report generated by a panel comprising representatives of the US Department of Justice, the Federal Bureau of Investigations (FBI) and the Department of Treasury, unknown to Nigerian embassy officials, to monitor wires and traffic in all the accounts operated by the embassy.
The move, according to sources, is setting the stage for a potential showdown between the two countries with Nigeria also threatening to reciprocate by freezing the US embassy’s accounts in the country.
According to shocking revelations, $3.6 million dollars was said to have entered and left the accounts in under a month, the latest transaction being the withdrawal of $50,000 in hard cash by a top embassy staff.
In rejecting the federal government’s request, a source in the State Department was quoted as saying, “The Nigerian embassy was unable to respond to requests for clarification about payments and transactions into the account and there are reasonable grounds to believe that the accounts are being used as channels for money laundering and other financial crimes.”
Since the freezing of the bank accounts, the Nigerian embassy has been grounded as it can no longer conduct regular embassy business, such as paying bills and the salaries of diplomats. As part of efforts to resolve the issue, the auditor-general of the federation and a team of auditors left for the US to begin auditing the accounts of the embassy.