The Economic and Financial Crimes Commission (EFCC) has reiterated its warnings to Nigerians about the dangers of Ponzi schemes, following the collapse of digital investment platform CryptoBank Exchange (CBEX), which has reportedly defrauded investors of over N1.3 trillion.
Speaking on Channels Television’s breakfast show – ‘The Morning Brief’ – on Wednesday, EFCC spokesperson, Dele Oyewale, said the commission had taken proactive steps to educate the public about illegal and unrealistic investment schemes.
“You’ll recall that on March 11 this year, the Executive Chairman of the EFCC, Mr. Ola Olukoyede, instructed us to alert Nigerians about 58 Ponzi scheme companies,” Oyewale said.
“We came out with a list—that shows that we’re proactive and we have our hands on what is happening.”
LEADERSHIP reports that CBEX, a digital trading company of Chinese origin, allegedly crashed on Monday, leaving thousands of Nigerian investors unable to access their funds. Videos circulating online have shown victims lamenting their losses.
Oyewale, however, maintained that the commission was not caught off guard.
“Concerning this CBEX thing, we’re on it. It’s not that we didn’t know. We’ve been alerting Nigerians about ways and means to separate themselves from this type of shenanigans. So, before the calls came, we were working; while the calls were coming, we were working; and even after the calls, we’re still working,” he emphasized.
He further clarified that CBEX had no legitimate operational presence in Nigeria.
“That business venture is a Chinese digital trading company with no jurisdictional link with Nigeria. All the area offices people are saying exist in Ibadan and other locations are not functional. The entire thing is online,” he said.
On the unrealistic promises made by CBEX, Oyewale urged Nigerians to apply common sense when assessing investment opportunities.
“If somebody says, ‘Bring your money and I’ll give you 100% return on investment in 30 days,’ you know that is not realistic,” he noted.
“Even we know that the prevailing interest rate in Nigeria is 27.5%. So how will somebody give you a 100% return?”
He also called attention to the Investment and Securities Act 2025, which criminalizes any form of digital trading activity not licensed or compliant with Nigerian law.
He emphasised the importance of verifying businesses’ compliance with relevant regulations, including the Money Laundering Prevention and Prohibition Act 2022, Proceeds of Crime Act, and Terrorism Financing Act.
Despite the losses suffered by many investors, the EFCC assured that efforts were underway to trace and recover the stolen funds. The commission is working closely with international partners, including Interpol.
“It would be very irresponsible and unprofessional of the EFCC to say you have lost your money and there is nothing the commission can do about it,” Oyewale said.
“We’re already working with Interpol and international development agencies to ensure that these people are brought to book. Investors are going to get their money back.”
While he cautioned that recovery may not happen immediately, he insisted the commission would not abandon victims of the scam.
“Escapism is not a solution to any problem. The EFCC, as Nigeria’s leading anti-corruption agency, will not allow investors to just lose their money like that. We are more responsible and professional than that,” Oyewale concluded.
