Olasijibomi Ogundele, the Group Managing Director, Sujimoto Holdings has reacted to allegations of fraud leveled against him.

Reacting, Olasijibomi Ogundele refuted claims of defrauding a client in a real estate deal.

We had earlier reported how the Force Criminal Investigations Department (FCID) of the Nigerian police in Abuja detained Mr Ogundele between 30 and 31 October over an alleged fraud involving $325,000 he received from a client.

The FCID launched an investigation into how Mr Ogundele’s real estate firm, Sujimoto Construction Limited, received $325,000 from a client for a real estate deal in November 2020 and failed to deliver on the project or refund the money.

The probe followed a petition to the Deputy Inspector-General of Police in charge of criminal investigations by a lawyer, Pelumi Olajengbesi of Law Corridor.

The petition explained the real estate mogul obtained the sum of $325,000 from one Kabiru Garba Ibrahim on 5 November 2020.

It accused Mr Ogundele of “obtaining money under false pretense, fraudulent misrepresentation, and criminal breach of trust.”

However, in a statement sent to PREMIUM TIMES on Tuesday, Mr Ogundele denied alleged offences, adding that he made clarifications and provided evidence absolving him to the police at the FCID.

While vowing to not “take a longer lane to pursue legal action,” the business mogul noted that he “chose to thread the path rooted in dialogue and understanding,” and has “met with the client involved to reach an amicable resolution.”

The real estate mogul blamed the falling naira and economic downturn in the country for the delay in delivering on the deal.

“Rising material costs, a plummeting currency, a cascading effect of inflation, and a shifting economic landscape have all conspired to slow down our ambitious endeavour to design and build a landmark property that not only surpasses the iconic 1979 Necom Tower as the tallest and most luxurious project in Nigeria, but also sets a benchmark standard for luxury living across Africa,” he wrote.

In July, Mr Ogundele revealed that his company’s $225 million ambitious real estate project LeonardoBySujimoto situated in Ikoyi, Lagos State, would surpass the 45-year-old iconic NECOM House built in 1979, marking a new era of architectural excellence and redefining luxury living in Sub-Saharan Africa.

The planned 165 meters marvel project, if built, will eclipse the 106 meters dominant NECOM House which currently stands tall as West Africa’s most elevated building. It boasts numerous firsts, including over 48 electric vehicle charging stations, a virtual indoor golf bar, a standard IMAX cinema, and eight private swimming pools.

In September, the real estate mogul’s firm and construction company – Sujimoto, partnered with the Enugu State Government in a project to aid the revolution of education in the state.

Enugu State Governor Peter Mbah’s N420 billion initiative aims to build 260 state-of-the-art smart schools in all wards in the state.

Initially focused on expanding their agro-industrial projects into Enugu, Sujimoto’s involvement took a transformative turn when Governor Mbah invited the company to join the education project.

The smart schools, designed to foster experiential learning and innovation, will be built across Enugu State’s 17 local government areas, with each school costing about N1.6 billion.

November 5, 2024: I arrived at the Force CID office in the capital city of Abuja with a trove of evidence: the title documents of the Leonardo project in Banana Island, approvals from Lagos State, and all pertinent papers proving our utmost commitment to transparency with the audacious LeonardoBySujimoto project.

We clarified that there was nothing regarding the offences of obtaining money under false pretense, fraudulent misrepresentation, and criminal breach of trust, and the only “offence” we encountered was a delay, which was a result of external economic forces affecting our nation.

Rising material costs, a plummeting currency, a cascading effect of inflation, and a shifting economic landscape have all conspired to slow down our ambitious endeavour to design and build a landmark property that not only surpasses the iconic 1979 Necom Tower as the tallest and most luxurious project in Nigeria, but also sets a benchmark standard for luxury living across Africa.

The past few days have been uneasy for me and my business, stemming from a transaction we undertook a couple of years ago involving the sale of an off-plan apartment to one of our valued clients. Despite securing the land and obtaining all necessary approvals, we encountered significant obstacles that have delayed our project delivery.

After numerous conversations and negotiations, the client in reference demanded a refund for his payment, which was originally made in Naira. At the time of the transaction, the exchange rate was ₦420 to the dollar; today, it has skyrocketed to ₦1,750, creating a staggering deficit of ₦1,330. This poses a critical question: who will absorb this loss? Although the volatility of the exchange rate is neither the client’s fault nor ours, it is a reality that profoundly affects our operational expenses, and capital expenditures, which are largely dollar-denominated.

Given these circumstances, it was very important for us to clarify our position with the authorities at the FCID regarding allegations of obtaining money under false pretense, fraudulent misrepresentation, and criminal breach of trust. This was a false allegation; we provided comprehensive documentation to demonstrate that these claims are unfounded, as the evidence provided to the FCID authorities gave true insights into the transaction conducted. Our successful clarification with the FCID underscores our commitment to upholding our integrity. Addressing our clients’ concerns is not merely a business obligation to me; it remains a testament to our commitment to transparency and the capital of trust.

I received numerous advices to take a longer lane to pursue legal action against this whole situation, but THIS I WILL NEVER DO. However, I chose to thread path rooted in dialogue and understanding. I met with the client involved, acknowledging that while the economic downturn and our delays may not be his concern, we were able to reach an amicable resolution.

There is no gain in saying that the major pressing challenge for every business owner in Nigeria today is how to navigate the relentless rise in material costs. To put things into perspective, when we started this journey two years ago, the price of cement was around ₦2,000; today, it has skyrocketed to about ₦9,000. Steel prices have surged from ₦480,000 but today priced at to ₦1.3 million. Additionally, the costs associated with clearing containers—significant hurdles for entrepreneurs engaged in import and export—have skyrocketed, with the clearance of a 40-foot container now exceeding ₦22 million, up from ₦4 million.

No one prepared us for the staggering devaluation of the naira to the dollar, which has skyrocketed from ₦360 to ₦1,750. Given that 85 percent of our project costs are dollar-denominated; this forex surge has severely strained resources and diminished investor appetite, contributing to project delays. Each week brings with it fresh challenges, yet our unwavering dedication to bringing the iconic LeonardoBySujimoto project to life serves as a lesson for us as passionate and uncommon entrepreneurs, determined to overcome all obstacles while ensuring a successful completion of the project.

When we founded Sujimoto a decade ago, I began this journey with nothing but a visionary mindset and a drum of audacity, I didn’t even have the money to buy the first land from Mymentor and Father Alhaji Saro (May his Soul Rest in Peace). Without the support of wealthy relatives or influential neighbors, I carved my path with hard work and uncompromising honesty. I firmly believed that by marrying integrity with excellence, we could build a local brand with a global reputation that Nigerians would embrace and appreciate—and today I am grateful to the Almighty that we have succeeded in doing that.

While the vision for the 36-storey LeonardoBySujimoto Project is grand, it is not without challenges. Navigating the complexities of today’s economic landscape has presented us with numerous obstacles. Yet, our journey—from the successful Medici Residences in Ikoyi in 2014, and now the soon-to-be-completed LucreziaBySujimoto, a 15-storey building in Banana Island, set to launch by the end of Q4 2024—These 10 years of consistency demonstrates our resilience and commitment to excellence.

In every instance, we have faced skepticism and doubt, with many questionings our ability to deliver. Yet, we have consistently upheld our commitment to integrity and excellence, ensuring that our clients remain informed and supported throughout every process. The temerity to always say the truth and uphold integrity at all costs and making sure we remain very transparent where we had short comings, we made it an obligation to prioritize the well-being of our investors, not only exceeded expectations but also significantly enhanced their return on investment.

Despite the challenging economic conditions in Nigeria, which have made several businesses close their doors of operation, we remain resolute and determined to commence construction on the ambitious LeonardoBySujimoto project before the end of November 2024. Today, the land in question is valued at approximately N17 billion, with the entire project worth over N180 billion — no sum of money is enough for us to destroy a project of that magnitude or the value we have built over the years.

We remain unwavering in our determination to complete this ambitious project in less than 36 months, positioning it as one of the fastest and most robust civil engineering feats in Nigerian history, the tallest and most luxurious building in Sub-Saharan Africa, and the best investment anyone can make.

As we draw closer to the groundbreaking of this landmark project, I want to extend my deepest gratitude to our investors and supporters. Your patience, understanding, and resolute trust in us have been instrumental in our journey. I also extend my profound appreciation to the dedicated professionals at FCID who treated me with utmost respect, and professionalism, which have clarified our path forward. To all the uncommon entrepreneurs facing challenges, may the Almighty continue to grant you strength and perseverance to weather every storm.

For the naysayers and the cynics who doubted our vision, I personally assure them that in less than three years, they shall allbear witness to the unveiling of the tallest and most luxurious building in Nigeria and across Sub-Saharan Africa.