CBEX: We Warned Nigerians Against Investing In Ponzi Schemes – EFCC
The Economic and Financial Crimes Commission has said it has taken time to enlighten and warned Nigerians about the dangers of investing in criminal Ponzi schemes.
The spokesperson of the EFCC, Mr. Dele Oyewale, made this known while featuring as a guest on Channels Television’s The Morning Brief on Wednesday .
OSUN DEFENDER on Monday reported that CBEX a digital investment platform, CryptoBank Exchange (CBEX), reportedly crashed, leaving many Nigerians unable to access their funds. The crash led to the loss of N1.3tn belonging to Nigerians investors.
Several videos online showed some Nigerians lamenting the loss of their funds to the scheme.
But Oyewale said, “You’ll recall that in March 11 this year, the Executive Chairman of the EFCC, Mr. Ola Olukoyede, had cause to instruct us to alert Nigerians about 58 Ponzi scheme companies; we came out with a list. So, that shows that we’re proactive and we have our hands on what is happening.
“So, concerning this CBEX thing, we’re on it; it’s not that we didn’t know, and you know we’ve been alerting Nigerians about ways and means, how 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.”
Speaking further, he said, “We cannot lay any blame on the EFCC concerning this CBEX thing. I’m sure we know that that business venture is a Chinese digital trading company with no jurisdictional link with Nigeria; all the areas offices that people saying are in Ibadan and in some other locations are not functionals offices. The entire thing is online.
“And we have been warning Nigerians against criminal engagements online. So, what would you expect the EFCC to do? We have given empowerment, we have given enlightenment, we have given public awareness, we have raised intelligence. It is to the credit of the EFCC chairman that he came forward to say that there are 58 companies that Nigerians are patronising, that they should no longer patronise.
“So, if the commission is as proactive as that, then the rest is for the people concerned to be more vigilant and to ensure that they guard their investment in line with the information that is available.”
He further explained that the Investment and Security Act 2025 is a very important, well-conceived and responsive Act of the government to check illegal investment schemes.
According to him, with the Act, it is a criminal thing to engage in any digital trading activity without being licensed, without complying with all the extant laws as any form of exchange or business engagement must conform with the Act.
Oyewale said, “We know that every business concern, you declare your profit either quarterly, annually or bi-annually, but if somebody says that bring your money, I’m going to give you a return in 30 days, you know that is not realistic, it’s just not pragmatic.
“Or if somebody says if you bring your money, we’re going to give you 100% return on investment, that is not possible; even we know that the prevailing interest rate in Nigeria is 27.5. So, how will somebody give you 100% return on investment in 30 days?
“So if you want to go into any investment, you must look at: These fellows that are parading this, how compliant are they with the Money Laundering Prevention and Prohibition Act 2022? How compliant are they with the Proceeds of Crime Act? How compliant are they with the Terrorism Financing Act? It is very important.
“Now, if they’re operating at variance all of these laws, you know that it’s just a matter of time before a problem will come.”
Hafsoh Isiaq is a graduate of Linguistics. An avid writer committed to creative, high-quality research and news reportage. She has considerable experience in writing and reporting across a variety of platforms including print and online.
