A Federal High Court sitting in Abuja has ordered the permanent takeover of a large expanse of land earlier approved for the Goodluck Jonathan Legacy Model Housing Estate by the Federal Government.

The court ruled that the disputed property, valued in several billions of naira, should be finally forfeited to the Federal Government.

The order effectively hands over the stalled housing estate project to government control after years of inactivity and allegations of financial misconduct...TAP TO CONTINUE FULL READING.

Justice Mohammed Umar gave the ruling after granting a motion filed by the Independent Corrupt Practices and Other Related Offences Commission (ICPC).

The application was not opposed by the Federal Mortgage Bank of Nigeria (FMBN), which is the only respondent in the case.

In his decision, the judge directed the ICPC to supervise the completion of the housing estate on behalf of the Federal Government.

He said the supervision must be carried out jointly with the Federal Mortgage Bank of Nigeria to ensure the project is completed as originally planned.

Justice Umar stressed that the 962 housing units proposed for the estate must eventually be allocated to Nigerians who genuinely need them.

He added that the goal of the forfeiture was to protect public interest and recover value from a project that had consumed huge public funds.

The court ordered the final forfeiture of two major plots of land located in Kaba District, Abuja. One of the plots measures over 122,000 square metres and was valued at nearly ₦2 billion, while the second covers about 157,000 square metres with an estimated value of over ₦3.3 billion. The judge held that both plots were suspected to be proceeds of unlawful activity.

Justice Umar further directed that the forfeited properties be formally handed over to the Federal Mortgage Bank of Nigeria, which the court recognised as the victim of the alleged illegal transactions tied to the project.

The ruling, which was delivered on December 11, also instructed the ICPC and FMBN to jointly set up a committee. The committee is expected to oversee the completion of the housing project and ensure proper use of the estate when completed.

Earlier in the case, the court had granted an interim forfeiture of the same plots in July after the ICPC approached the court through an ex parte application. At the time, the judge ruled that the land should be secured pending the final determination of the case.

Investigations by the ICPC revealed that the land was allocated free of charge by the Federal Capital Territory Administration for the construction of 962 housing units under the National Housing Fund Scheme. The project was designed to provide affordable housing for low-income Nigerians.

According to court filings, the Federal Mortgage Bank of Nigeria engaged Good Earth Power Nigeria Limited as the private developer for the project. The estate was approved in 2012 and named in honour of former President Goodluck Jonathan.

Findings presented before the court showed that FMBN secured a loan facility of 65 million dollars for the project and paid the full amount to the developer.

However, investigations revealed that no single housing unit was constructed on the site despite the release of the funds.

The ICPC also told the court that the developer allegedly attempted to sell off the land to members of the public, raising concerns that the property could be lost permanently if urgent action was not taken.

The anti-corruption agency argued that the forfeiture was necessary to prevent further losses and to protect public assets. It also raised questions about why the full project sum was released without visible progress on the ground.

Justice Umar agreed with the ICPC’s position and queried the payment structure that allowed the entire project cost to be disbursed upfront without safeguards.