Court Orders Final Forfeiture Of 431 Phones Linked To Chinese Cyber-Fraud Syndicate

Justice Deinde Dipeolu of the Federal High Court in Lagos has ordered the final forfeiture of 431 mobile phones linked to a Chinese-led cyber-fraud syndicate, whose members were arrested during a major Economic and Financial Crimes Commission (EFCC) raid in Lagos in December 2024.

Justice Dipeolu granted the order forfeiting the phones to the Federal Government of Nigeria after entertaining an application by the EFCC, filed by its counsel, Hanatu Kofarnaisa.

The application, marked FHC/LAG/MISC/990/2026, sought the final forfeiture of devices allegedly recovered in connection with the syndicate’s operations.

The EFCC brought the proceedings under Section 17 of the Advance Fee Fraud and Other Related Offences Act, 2006, and Section 44(2)(b) of the 1999 Constitution.

In an affidavit filed in support of the application, EFCC investigator Christopher Augustine said the phones were linked to an elaborate cyber-fraud operation run from a facility known as “HK” in Victoria Island, Lagos.
Augustine also said Chinese and other foreign nationals used the facility to recruit and train Nigerian youths for romance, cryptocurrency and investment scams targeting victims abroad.

He claimed that the operation came to public attention in December 2024, when the Commission raided a seven-storey building identified in contemporaneous reports as the Big Leaf Building on Oyin Jolayemi Street, Victoria Island, Lagos.

The EFCC operative also told the court that the operation, tagged “Eagle Flush”, led to the arrest of 792 suspects, including 148 Chinese nationals, 40 Filipinos and other foreign nationals, as well as their Nigerian collaborators.

Augustine further maintained that the syndicate equipped Nigerian recruits with computers, mobile devices and foreign telephone lines to impersonate foreigners and target victims through WhatsApp, Instagram and Telegram.

He also alleged that victims were predominantly from the United States, Canada, Mexico and European countries, the EFCC said.

The anti-corruption agency also alleged that the suspects used a purported online investment platform, “yooto.com”, to lure victims into making payments after establishing romantic or business relationships with them.

Reports at the time of the arrests said activation fees on the platform allegedly started at $35.

Genting International Company Limited (GICL) was at the centre of the investigation. The EFCC alleged the company was used to recruit and supervise Nigerian youths involved in the operation.

The Commission alleged that Chinese national Huang Haoyu, also known as Ken, was among those linked to the company, and that more than N3.4 billion passed through an account associated with him in connection with the alleged activities.

Huang and other syndicate members were subsequently prosecuted in Lagos on charges of cyber-terrorism, internet fraud, and money laundering. Proceedings arising from the wider operation also involved other Chinese nationals and Genting International.

The EFCC told Justice Dipeolu that further investigation led to the discovery of 431 mobile phones allegedly linked to the convicted operators and suspected of being used to commit the offences.

The anti-corruption agency first obtained an interim forfeiture order covering the phones on 8 July 2026.

Justice Dipeolu later directed the EFCC to publish the order in a national newspaper, inviting anyone with an interest in the devices to appear before the court and show cause why the interim order should not be made final.

The EFCC said it complied with the order by publishing it in The Guardian on 11 August 2026.

After the publication period expired without a successful challenge to the interim order, the Commission returned to court to seek final forfeiture.

In its written address, the EFCC argued that Section 17 of the Advance Fee Fraud and Other Related Offences Act empowers the court to forfeit property reasonably suspected of being proceeds of unlawful activity.

The Commission maintained that the proceedings were non-conviction-based and therefore did not require a fresh criminal conviction before it could forfeit the property.

It relied on decisions including Dame Patience Jonathan v. FRN and La-Wari Furniture & Baths Ltd v. FRN & Anor in support of its application.

After hearing the application, Justice Dipeolu granted the EFCC’s request and ordered the final forfeiture of the 431 mobile phones to the Federal Government.

The proceedings were brought against the devices themselves under an in rem action and were separate from any fresh criminal prosecution of their alleged users.