By Isaac Aregbesola
The Economic and Financial Crimes Commission (EFCC) has implicated a new
generation bank, six Fintechs and microfinance banks in major financial scams by
allowing fraudsters to launder huge sums of money.
Director of public Affairs of the Commission, Mr Wilson Uwujaren, made this
known at a press briefing at the commission’s headquarters in Abuja on Thursday.
According to him, the compromised institutions allegedly allowed cryptocurrency
transactions worth N162 billion to pass through without proper due diligence
within the 2024/2025 financial year.
He said that the financial institutions clearly compromised banking procedures and
allowed the fraudsters to safely change their ill-gotten gains into digital assets and
move them to safe destinations.
“A total sum of N18.1 billion was moved through the financial system without due
diligence of customers by the banks. It is worrisome that investigations by the
commission showed that cryptocurrency transactions to the tune of N162 billion
passed through a new generation bank without any due diligence.
“Investigations showed that a single customer maintained 960 accounts in another
new bank and all the accounts were used for fraudulent purposes. That is bad news
but the good news is that following our intervention the commission has been able
to recover N33.62 million, which has been returned to some of the victims.”
He explained that the scams were in two categories, adding that the first was a
syndicate of fraudsters that employed an airline discount scheme to lure their
victims.
He said that they advertised a discount system for the purchase of flight tickets of a
particular foreign carrier.
“The payment module is designed in such a way that the victims’ payment is
actually made into the account of the airline.
“After payment is made the passenger’s entire funds in his bank account are
emptied.
“Investigations showed that more than 700 victims have been scammed so far, with
a loss of N651 million,” he said.
According to him, investigations show that the scheme is being masterminded by a
foreign national; the commission has so far recovered and released N33 million to
victims of the fraud.
He said that another scheme involved a company named Fred and Farid Investment
Limited, simply called FF investment, which lured Nigerians into a bogus
investment arrangement.
“More than 200, 000 victims have been defrauded in this regard. A total sum of
N18 billion was raked in through nine companies offering diverse investment
packages.
“The companies are: Credio Banco Limited; Deliberty Rock Limited; Liam
Chumeks Global Service; Ngwuoke Daniels Technology; and Icons Autos and
Import Merchant.
“Others are : Newpace Technology Services Limited, Primepath Ways Ventures
Limited, Kaka Synergy Network Limited and Sunlight Tech Hub Services
Limited.”
He said that foreign nationals were behind the schemes, while there are three
Nigerian accomplices who have been arrested and charged to court.
He said that the masterminds were on the run and efforts are being made to bring
them to book.
“The Commission is calling on regulatory bodies to bring financial institutions to
compulsory compliance with regulations in the areas of Know Your Customers
(KYC), Customer Due Diligence (CDD), Suspicious Transaction Reports (STRs)
and others.
“Deposit Money Banks, Fintechs, Micro Finance Banks found to be aiding and
abetting fraudsters should be suspended and referred to the EFCC for thorough
investigation and possible prosecution.
“Negligence and failure to monitor suspicious and structured transactions by banks
should no longer be allowed,” he said.
While cautioning members of the public to be wary of these actors, he said that the
EFCC would continue its works against money laundering by fraudulent actors.
Uwujaren urged financial institutions to firm up their operational dynamics and
save the nation leakages and compromises bleeding the economy.
