CIG Motors Co. Ltd has terminated the appointment of its Executive Director, Jubril Arogundade, following allegations of financial misappropriation and abuse of authority, and has referred the matter to the Economic and Financial Crimes Commission for investigation.
The automobile company confirmed the development in a statement issued on Sunday, announcing Arogundade’s immediate dismissal after an internal probe into his conduct while in office.
According to the statement, the decision followed a period of suspension and a comprehensive internal review, which uncovered actions that allegedly fell short of the company’s governance, compliance, and ethical standards.
“The findings of the investigation revealed conduct that fell significantly below the company’s governance, compliance, and ethical standards,” the company said. “In view of the seriousness of the issues uncovered, management approved the immediate termination of his appointment.”
CIG Motors further disclosed that aspects of the probe involving alleged financial impropriety had been escalated to law enforcement authorities.
“Matters connected to financial misconduct arising from the investigation have been formally referred to the Economic and Financial Crimes Commission,” the statement added, noting that the company was cooperating fully with the authorities as the matter progresses through the appropriate legal and regulatory channels.
The firm stressed that the action taken against the former executive reflects its zero tolerance for unethical behaviour, particularly at the senior management level.
“CIG Motors maintains a zero tolerance stance on financial misconduct and abuse of authority. Safeguarding institutional integrity and protecting stakeholder interests remain central to our operations,” it said.
Sources within the company said the internal investigation reviewed several transactions and management decisions that allegedly breached established internal controls. While the company declined to provide specific details, it described the process as thorough and guided by its internal governance framework.
CIG Motors also sought to reassure customers, partners, and investors that the development would not disrupt its operations.
“Operational continuity across the business remains unaffected, and day to day activities are proceeding normally,” the company stated.
However, Arogundade disputed claims that he was dismissed, insisting that he voluntarily resigned from his position on December 2, 2025.
Speaking when contacted, he described reports of his dismissal as misleading and said his exit followed prolonged disagreements with the company’s leadership over financial management and governance issues.
“My resignation followed serious concerns about the company’s growing debt profile, weak corporate governance practices, and persistent compliance failures, despite internal safeguards and repeated warnings,” he said.
Arogundade further alleged that unresolved tax compliance issues under the chairmanship of Ms Diana Chen had led to enforcement actions by tax authorities, including a reported warrant of distraint involving sums running into several billions of naira.
He maintained that these issues generated deep internal concern and said he chose to step aside after his warnings were repeatedly ignored.
The former executive said he was not afraid of any investigation, stressing that although he had not been invited by the EFCC, he was fully willing to cooperate with any lawful inquiry.
The company, however, said it would not engage in further public commentary on the matter, noting that it is now before the relevant authorities.
