Appeal Court Sets Aside Conviction of Businesswoman, Remi Phillips, Jailed Over N57.6m Fraud, Declares Dispute Civil Transaction

ILESANMI OLUKEMI MOTUNRAYO

The Court of Appeal, Lagos Division, has overturned the conviction and 17-year jail sentence imposed on businesswoman, Oluremi Ebun-Phillips, holding that the allegations against her arose from a purely civil transaction and did not disclose any criminal offence.

In a lead judgment delivered virtually via Zoom by Justice Yargata Nimpar, the appellate court allowed Phillips’ appeal and set aside the judgment of the Lagos State High Court in Ikeja, which had earlier convicted her on several counts of stealing and issuance of dud cheques.

The appellate court judgment was delivered after Phillips had already served the jail term imposed by the lower court.

Justice Nimpar held that after reviewing the submissions of counsel and the issues formulated for determination, the court found that the dispute between the parties stemmed from a commercial transaction that lacked any criminal element.

“This was essentially a civil transaction without any criminal element whatsoever,” the court held, adding that the respondent wrongly transformed the matter into a criminal prosecution.

The appeal arose from the judgment of the High Court of Lagos State, Ikeja Judicial Division, delivered on December 4, 2024, which found Phillips guilty on multiple counts.

Dissatisfied with the judgment, Phillips filed a Notice of Appeal challenging the decision on several grounds.

In compliance with the Rules of Court, both parties exchanged briefs of argument, with the appellant formulating five issues for determination, while the respondent raised a sole issue.

After considering the arguments of both parties, the appellate court resolved all the issues in favour of the appellant.

On the allegation relating to the issuance of a dud cheque, the court held that the prosecution failed to establish the essential ingredients required by law.

Justice Nimpar ruled that there was no evidence before the court showing that Phillips was notified of the dishonour of the cheque allegedly issued to the complainant, as required under the law governing dud cheque offences.

“The law is clear that the issuer must be informed or notified of the dishonour, and no such notification was placed before the court,” the appellate court held.

Consequently, the court allowed the appeal and quashed the conviction entered against Phillips.
The judgment was unanimously supported by Justice Senta and Justice Kwaha, who both concurred with the lead judgment.

Phillips had earlier been convicted by Justice Rahman Oshodi Ijelu of the Lagos State High Court, Ikeja, over allegations that she and her company, Omritas Energy Limited, fraudulently converted N57,690,000 belonging to AYM Shafa Limited in a transaction involving the supply of Automotive Gas Oil.

The Economic and Financial Crimes Commission (EFCC) had alleged that the money was paid for diesel supply which was never delivered.

The anti-graft agency also accused Omritas Energy Limited of issuing a Diamond Bank cheque valued at N14,298,075 to AYM Shafa Limited in April 2017, which was allegedly dishonoured due to insufficient funds.

Phillips was initially arraigned before Justice Sherifat Solebo on January 27, 2022. However, following Justice Solebo’s retirement in November 2022, the case was reassigned to Justice Ijelu.

She was subsequently re-arraigned alongside her company on May 22, 2023, on five counts bordering on stealing and issuance of dud cheque involving the sum of N57.6 million.

Phillips pleaded not guilty to the charges, while the prosecution and defence each called three witnesses during the trial.

In his judgment, Justice Ijelu sentenced Phillips to nine years imprisonment or an option of N2 million fine on count one, while imposing two years imprisonment each on counts two to five, to run concurrently.

The court also fined Omritas Energy Limited N250,000 on count one and N100,000 on each of the remaining counts.

In addition, the trial court ordered restitution of N57,690,000 to AYM Shafa Limited within 90 days and directed that the company be wound up if the restitution was not made within the stipulated period.

The Appeal Court judgment on Thursday effectively clears Mrs. Oluremi Ebun-Phillips of all criminal liabilities arising from the case.