The Federal High Court in Abuja has authorized the Economic and Financial Crimes Commission (EFCC) to arrest and detain six individuals alleged to be behind a massive cryptocurrency investment scam worth over $1 billion.
Justice Emeka Nwite granted the order on Thursday following an ex parte motion filed by EFCC counsel, Fadila Yusuf. The judge ruled that the application was “meritorious” and approved the agency’s request to detain the suspects pending the conclusion of investigations and possible prosecution.
The suspects—Adefowora Abiodun Olanipekun, Adefowora Oluwanisola, Emmanuel Uko, Seyi Oloyede, Avwerosuo Otorudo, and Chukwuebuka Ehirim—are alleged to have used ST Technologies International Limited to promote another firm, Crypto Bridge Exchange (CBEX), in a fraudulent scheme targeting unsuspecting investors.
According to the EFCC, the suspects promised unrealistic returns of up to 100% to investors who were lured through online advertisements to invest in digital assets. Victims were instructed to convert their cryptocurrencies into USDT (a stablecoin) and deposit them into the suspects’ wallets via the CBEX platform.
“After deposits estimated at over one billion dollars were made, investors lost access to the CBEX platform and were unable to withdraw their funds,” the EFCC stated in its affidavit.
The anti-graft agency said its preliminary investigation revealed that although ST Technologies International Limited was registered with the Corporate Affairs Commission (CAC), it was not licensed by the Securities and Exchange Commission (SEC) to operate as an investment firm.
The suspects reportedly vacated their last known addresses in Lagos and Ogun States, prompting the EFCC to seek a warrant for their arrest and inclusion on the red watch list.
EFCC lawyer Yusuf argued that the commission has a constitutional duty to investigate and prosecute financial crimes, stressing that “it is in the interest of justice” for the court to grant the application to enable proper investigation and enforcement.
Justice Nwite, in his ruling, agreed and granted both the arrest and remand requests.
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