US impounds $458 Million stolen by Abacha

Abacha

The United States Justice Department is moving to seize more than half a billion dollars of allegedly corrupt proceeds from former Nigerian dictator Sani Abacha and his associates, in what officials called the largest such action in U.S. history.

In a court filing unsealed Wednesday in federal court in Washington, D.C., government lawyers said the U.S. has frozen more than $458 million in bank accounts around the world, and seeks to recover at least $100 million more.

The seizure, SHOWBIZPLUS gathered is part of a kleptocracy initiative, aimed at recovering money dictators allegedly looted from their countries.

"Gen. Abacha was one of the most notorious kleptocrats in memory, who embezzled billions from the people of Nigeria while millions lived in poverty," said Mythili Raman, head of the Justice Department's criminal division.

The U.S. government has moved to freeze $313 million in accounts in the Bailiwick of Jersey and $145 million in accounts in France. There are also investment portfolios and bank accounts of at least $100 million in the U.K. that the U.S. has targeted, the official said.

Gen. Abacha became president of Nigeria in a military coup in 1993 and ran the country until his death in 1998. U.S. authorities charge that Gen. Abacha, his son Mohammed Sani Abacha, their associate Abubakar Atiku Bagudu and others embezzled or misappropriated billions of dollars from the government of Nigeria and others, and laundered the money by buying bonds backed by the U.S. using U.S. financial institutions.

A message left at the Nigerian Embassy in Washington on Wednesday wasn't returned.

Under the Kleptocracy Asset Recovery Initiative, the Justice Department seeks to seize the proceeds of foreign officials' corruption and return the money to the harmed countries.

The announcement comes at an ironic moment for Nigeria. On Saturday, Nigeria's government gave Gen. Abacha a Centenary Award, recognizing the late leader as a contributor to Nigeria's progress in the 100 years since the British created Nigeria as a colony.

Gen. Abacha is widely considered the most brutal and corrupt of the eight military leaders who ruled Nigeria from 1966 to 1999. Under his five-year-rule, the government hung—among others—Ken Saro-Wiwa, an environmentalist nominated for a Nobel Peace Prize, an execution that defied pleas from then-Presidents Nelson Mandela and Bill Clinton. Transparency International accused Gen. Abacha of embezzling at least $3 billion before he died of a heart attack in 1998.

"It shows the ghost of Abacha still haunts us," said Tilewa Adebajo, chief executive of the CFG Advisory in Lagos. "This will be welcome news in Nigeria."