Kildare resident jailed for 'breathtaking' money laundering

Two men, one a Kildare resident, were described as a “colonel and a major” in a “worldwide highly sophisticated money laundering syndicate on a breathtaking scale” and were jailed for nine years and seven-and-a-half years respectively.

Ejike Francis Ogubefi (42) of Clonard Road, Crumlin, Dublin 12 and Steven Silvester (32) of The Paddocks, Morristown, Newbridge, were both convicted of directing the activities of a criminal organisation following a trial at Dublin Circuit Criminal Court in February.

Mr Ogubefi was also convicted of 32 counts of money laundering and seven of conspiracy to money launder.

The jury also convicted Mr Silvester of five counts of money laundering, two of attempted money laundering, four of conspiracy to money launder and one of using a false instrument.

Both defendants have no previous convictions here or in another jurisdiction.

The court heard that both men are assessed to be above mule herders and money mules in the operation, with Mr Ogubefi having a more active role.

During the sentence hearing, Judge Martin Nolan suggested to the investigating garda that the men were a “colonel and a major”, which Detective Garda Steven Kelly agreed with.

Imposing sentence on Friday Judge Nolan said both men were involved in the offending and played certain roles.

He noted that the scheme’s ambition was to “get accounts to launder illicit monies” which were “undoubtedly the product of criminal behaviour” and that third parties unknown to the court suffered as a result.

“Both men were reasonably experienced in how the banking system works” and aware of its weaknesses which they tested, sometimes successfully, the judge said.

The judge said he had considered the mitigation and there was a “good chance” the men would not re-offend in future, but that the court could not be certain.

Judge Nolan noted that money laundering is a “serious problem” and the court often dealt with cases of people who provided their bank details to be used in these schemes.

“These bank accounts are absolutely necessary for all fraud, because monies have to come to earth somewhere,” the judge said, noting that the defendants’ main role was to procure bank accounts so that money could be sent to others who profited.

He handed Mr Ogubefi a sentence of nine years and imposed a seven-and-half year sentence on Mr Silvester, whom he considered to be at a lower level.

The judge said this type of money laundering is prevalent and hard to detect and that deterrence had to be a factor in sentencing. He also directed the men to get credit for any time served on this matter alone.

Det Gda Kelly of the National Economic Crime Bureau told Seoirse Ó Dúnlaing SC, prosecuting, that the garda investigation looked at various bank accounts, transactions, and online communications.

Evidence suggested both men were receiving requests, often from phone numbers in Nigeria, to launder money from different types of frauds.

A nine-minute voice message received by Mr Ogubefi and forwarded to Mr Silvester contained a series of instructions from another person. Both defendants were overseeing the movement of money, with the court hearing that if a person in Nigeria or outside Ireland accessed accounts, this may have raised a red flag in the financial institutions.

Part of the prosecution case was that Mr Ogubefi was controlling money which was the proceeds of crime going into a particular account, which was in the name of another person.

A transfer of over €19,000 from an account in Dubai was immediately transferred to an Italian account. The court was told that the account holder was not working and their income did not correspond with this amount of money.

Part of a second transfer of over €36,400 was used in a spending spree by Mr Ogubefi and others. High-end purchases were made in shops including Brown Thomas, Arnotts and DID.

Around €15,300 was used in the shopping spree by Mr Ogubefi and others using card transactions linked to the account.

CCTV from the shops showed a man wearing a multiple coloured striped top, and similar clothing was found when Mr Ogubefi’s home was searched in February 2021.

A Freenow taxi account in his name and the purchase of a 55-inch TV and a sandwich maker in late December 2020 were also used to link him to the shopping spree.

The court was told that Ogubefi’s income for 2020 was around €11,250 including the pandemic unemployment payment and a small amount of social welfare.

Gardaí also found high-end goods in his home.

Documents were also recovered and these led gardaí to bank accounts which were controlled and operated by Mr Silvester, whose home in Naas was searched in March 2021.

Gardai found two safes under his bed, one of which was open and contained the key to the second safe. Bank statements, identification cards and bank cards were found in the second safe.

Transactions made on several bank accounts were outlined to the court.

Approximately €19,000 was laundered through an AIB account opened in January 2019. A French identification card, found in Mr Silvester’s safe, was also used to open it.

Mr Silvester’s financial situation and the use of a false identity to open the account suggested the inference that the money was the proceeds of crime, the court heard.

The same French identification card was used to open a Bank of Ireland account through which over €11,000 was laundered.

Two attempts at money laundering were made using a PTSB account.

Both transactions - €71,300 from a company in Hong Kong and over €66,800 from a business in Texas – were recalled by the relevant banks.

Over €15,000 was laundered through a Revolut account which was opened using the same identification, and the selfie provided was of Mr Silvester.

Mr Silvester’s selfie was also used to open an account with the online bank N26, through which over €24,200 was sent.

Gardai managed to access a phone found during the searches of March 2021, which contained saved details for accessing accounts and details linked to Mr Silvester, including his email.

Data from Mr Ogubefi’s phone indicated that he was acting as a middleman in a “worldwide highly sophisticated money laundering syndicate on a breathtaking scale,” Mr O’Dunlaing said.

There were discussions of taking millions of euros from various accounts.

Evidence was also heard of Mr Silvester engaging in similar online conversations.

Det Gda Kelly agreed with defence counsel that both men have abided by bail conditions and have some work history.

Det Gda Kelly agreed with Conor Devally SC, defending Ogubefi, that his client is from Nigeria and his family are law-abiding.

Det Gda Kelly agreed with Maurice Coffey SC, defending Mr Silvester, that his client became involved in this criminality some time after his arrival in Ireland in 2015 and had no record of shopping in high-end stores or trappings of wealth.

It was also accepted that Mr Ogubefi appeared to have a more active role than Mr Silvester.

Mr Coffey said Mr Silvester was under pressure and desperate at the time. He asked the court to consider that his client did not come to Ireland to get involved in this offending, but fell into temptation at a time of vulnerability.