The Economic and Financial Crimes Commission (EFCC) has raided the office of financial technology (fintech) start-up, Palmpay Ltd in Ikeja, Lagos.
Our correspondent learnt that the raid was in connection with the involvement of Transsnet Ltd (Chinese shareholders of Palmpay) in International Network for Small and Medium Sized Enterprises (INSME) ponzi scheme.
The International Network for Small and Medium Sized Enterprises-INSME is a legally-recognised not-for-profit Association open to international membership.
It was further gathered that there is an ongoing investigation by the Force Intelligence Bureau (FIB) of the Nigerian Police into the financial activities of the company following its use of its ‘Cash Mama Application’ that was never sanctioned by its Board of Directors.
One of our sources said one Steven Sun, who was being investigated by the Police FIB, abruptly eloped from Nigeria to China despite the fact that his international passport was deposited with the Police.
The Law enforcement agency sources suspects that Mr Sun may have obtained travel documents from the Chinese Embassy on the pretext that his international passport was missing.
It was also confirmed that officials of the Central Bank of Nigeria (CBN) Payment Systems Department are currently conducting an onsite inspection and investigation of the company, a very unusual exercise.
It was further gathered that the EFCC investigation will extend to the United Kingdom, Ghana and other African Countries where necessary.
There have also been several allegations of mismanagement of the finances of the company by the Majority shareholders and diversion of funds to other businesses.
Our source said the firm’s Nigerian directors are aggrieved and have vowed to give their support to the relevant regulatory and investigative authorities including the EFCC, FIB and CBN whenever the need arises.
Comments