As with the first case, the current seizure was conducted because it is suspected that the funds are the “proceeds of illegal transactions,” according to Sahara Reporters.
The $5.7 million transaction is said to have been between Cerberus Risk Solutions, an arms broker in Cape Town, and Societe D’Equipments Internationaux, a Nigerian company based in Abuja.
The deal reportedly caved in after Cerberus encountered some issues with registration formalities with South African authorities.
Sources revealed that:“Cerberus was previously registered as a broker with the National Conventional Arms Control Committee (NCACC), but the registration expired in May this year.
The marketing and contracting permits also expired at the same time. The company has since applied for re-registration, but the application lay in the NCACC’s mailbox for more than two months.
Cerberus apparently tried to pay the money back to the Nigerian company, after which the bank became suspicious.”
Both cases are currently under criminal investigation.