CBEX Scam: EFCC Arraigns 2 For Alleged Investment Fraud

The Economic and Financial Crimes Commission (EFCC), on Monday, arraigned two suspects on a three-count amended charge bordering on obtaining by false pretense, inducement and misleading the public into a fraudulent investment scam in cases related to the CBEX scam.

The suspects, Awerusuo Otorudo and Chukwuebuka Ehirim were arraigned before Justice Muhammed Umar of the Federal High Court sitting in Abuja.

EFCC, in one of the charges said the suspects, sometimes between January 2024 and May 2025, invited the public to deposit money for a fixed period or payable on call with Crypto Bridge Exchange (CBEX) with a promise of up to 88 per cent return on investment.

This, the anti-graft agency alleged, without obtaining the written consent of the Securities and Exchange Commission, an offense contrary to Section 96(1) of the investment and security act 2025 and punishable under Section 96(5) of the same act.

In another charge, EFCC said the defendants, between January 2024 and May 2025, while not being a bank or person authorised to take deposit, invited the public through advertisement to deposit funds with CBEX, thereby committing an offence contrary to Section 44(1) of the Banks and other Financial Institution Act, 2020 and punishable under Section 44(2) of the same Act.

They both pleaded not guilty when the charges were read to them, prompting the prosecution counsel, Fadila Yusuf to plead with the court to remand the defendants in a correctional facility and adjourned the matter for hearing.

Responding, defense counsel, J.A. Otorudo informed the court that the defence has an application for bail for the defendants.

In her reaction, the EFCC’s counsel objected to the application and restated her earlier plea that the defendants be remanded in a correctional centre.

“The learned counsel is very elaborate before this honourable court, he had complained of the EFCC holding them in our facility and we are saying if they are not comfortable with us, they are before the court now, my Lord can move them to more comfortable accommodation”, she said

In his ruling, Justice Umar adjourned the matter to July 18, 2025 for ruling on the bail application, and remanded the defendants at Kuje Correctional Centre.