The Economic and Financial Crimes Commission is investigating Babajide Sanwo-Olu over funds traced to Aisha Achimugu, how the money moved, and why it is connected to contractors working with the Lagos State Government. This follows a ruling on Wednesday by a Federal High Court in Abuja which ordered the permanent forfeiture of $13 million linked to a company owned by Achimugu.
The probe began after investigators found that part of the money came from contractors handling projects for the Lagos State Government. Authorities are now trying to understand how the funds were sourced and whether any public officials were involved. So far, details about the contractors and any direct link to the governor have not been made public as the investigation is still ongoing.
Court documents showed that the money was raised between March and April 2025 and used as part payment for oil block licences. The funds were linked to Oceangate Engineering Limited, a company connected to Achimugu, which had earlier secured rights to two oil blocks.
To complete the deal, the company was required to pay over $37 million to the federal government and had already paid $20 million before the case drew attention.
Investigators said part of the $13 million came through cash transactions handled by agents and was later converted and transferred through bank accounts. Some of the money was traced to payments made by contractors working for Lagos State. According to findings, over N855 million from these contractors was moved through company accounts, converted to dollars, and then transferred for the oil block payments.
Authorities also said the transactions involved middlemen and financial channels that raised suspicion, especially since there was no clear business relationship between the contractors and the company that received the funds. The anti-graft agency believes the money may not have come from lawful business activities.
However, Oceangate Engineering denied any wrongdoing. The company stated that it followed legal procedures in sourcing foreign currency and insisted that it had no connection with some of the individuals and firms named in the investigation. It also maintained that the funds used were legitimate and that any agents involved acted independently.
The court, presided over by a Federal High Court judge, ruled that the explanations provided by the company were not convincing and ordered that the $13 million be forfeited to the federal government on the grounds that it was linked to unlawful activity.
Efforts to get official responses from Lagos State authorities were unsuccessful, as key officials did not respond to calls or messages. It also remains unclear whether the governor had any direct knowledge of the transactions or if the investigation is focused on activities that occurred under his administration.
The case has also drawn attention to the past relationship between Sanwo-Olu and Achimugu, which had earlier been reported in connection with social events outside Nigeria. Meanwhile, Achimugu has faced previous scrutiny, including being declared wanted in 2025 over alleged financial crimes before later submitting herself to authorities.
The investigation is still ongoing, with more details expected as authorities continue to examine financial records, contractor payments, and possible links to public funds.