By Ayomide Otitoju
The Managing Director of Palmpay Limited, Mr. Chika Nwosu, may face imprisonment as the Federal High Court in Lagos prepares to hear a committal application accusing him of contempt in a ₦95 million cyber fraud case.
The legal action, brought by PRO INTERNATIONAL CONCEPT through its counsel, Bayo Omotubora & Co., seeks Mr. Nwosu’s committal for allegedly disobeying a court order issued on November 21, 2024. The court has been asked to compel him to show cause why he should not be jailed for contempt.
According to a sworn affidavit by litigation officer Omotayo Adebayo, the fraud originated from an email error during the opening of the company’s corporate account. The company submitted the email charlie.falahah@gmail.com, but the bank incorrectly registered it as charlie.falahan@gmail.com, altering the final letter.
This typo reportedly allowed fraudsters to gain unauthorized access to the account, resulting in the illegal withdrawal of ₦95 million on September 5, 2024. The stolen funds were dispersed across multiple accounts, including those held with Palmpay.
Following the discovery, PRO INTERNATIONAL CONCEPT alerted the fraud desks of 28 financial institutions, including Palmpay, which temporarily froze the implicated accounts for 72 hours. A court in Nasarawa State later extended the freeze via an order on September 9, 2024.
On November 21, 2024, the Federal High Court ordered the reversal of all recovered funds and placed liens on affected accounts for further investigation. The order was reportedly served on Mr. Nwosu and Palmpay Limited, but the company alleges that the Palmpay MD refused to comply with the directive.
Despite issuing a FORM 48 notice—warning of the consequences of ignoring a court order—Mr. Nwosu allegedly failed to act. PRO INTERNATIONAL CONCEPT has now filed for his immediate imprisonment for contempt of court.
The matter is expected to come before the court in the coming days, as the company insists on accountability and the enforcement of judicial authority.
