A Federal High Court in Ikoyi, Lagos, has ordered the permanent forfeiture of 52 terrace and maisonette units located at Mercyville Estate, Covenant Way, off New Road, Ilasan, Lekki, to the Federal Government.

Justice Alexandra Owoeye delivered the ruling on Wednesday after granting an application filed by the Lagos Zonal Directorate 2 of the Economic and Financial Crimes Commission (EFCC).

The affected properties were recovered from Fielddreams Limited, Ifeanyi Nweke and Amex Savings and Loans Limited. The EFCC argued that the assets were reasonably suspected to have been acquired through proceeds of unlawful activities.

The commission had earlier obtained an interim forfeiture order on August 14, 2024, from Justice Akintayo Aluko following an ex parte application. As part of the court’s directive, the EFCC published the interim forfeiture order in a national newspaper, inviting anyone with an interest in the properties to show cause why they should not be permanently forfeited.

Following the publication, the respondents challenged the application, filing an affidavit to oppose the final forfeiture.

During the proceedings, however, the court noted inconsistencies in the respondents’ explanations regarding the source of funds used to develop the estate.

They initially claimed that construction of the 52 housing units was financed with proceeds from the sale of 29 completed terrace and maisonette units worth about ₦1.9 billion. They also stated that the development had been completed in 2020 and that the proceeds were used for furnishing and interior finishing.

The court observed that the respondents later changed their position by alleging that several of the housing units had not been completed by some of the applicants, a claim that contradicted their earlier sworn statements.

While arguing the application, EFCC counsel Franklin Ofoma told the court that the commission had complied with all legal requirements, including the publication of the interim forfeiture order, and maintained that the properties were linked to suspected illicit activities.

He also informed the court that one of the respondents, Ifeanyi Nweke, had allegedly failed to appear for arraignment in two pending criminal cases despite existing warrants for his arrest. According to the EFCC, Nweke also violated the conditions of an administrative bail previously granted to him.

In her ruling, Justice Owoeye held that the contradictions in the respondents’ affidavit made their evidence unreliable. She consequently rejected their counter-affidavit and granted the EFCC’s application for the final forfeiture of the 52 properties to the Federal Government.