By Yinka Giwa
The Economic and Financial Crimes Commission (EFCC) has fingered a new generation commercial bank, six Fintech companies and some microfinance banks in massive financial scams that enabled fraudsters to launder huge sums of money through the Nigerian financial system.
The Commission said the compromised institutions allowed suspicious transactions, including cryptocurrency deals valued at ₦162 billion, to pass through without proper customer due diligence during the 2024/2025 financial year.
EFCC Director of Public Affairs, Mr Wilson Uwujaren, disclosed this at a press briefing at the Commission’s headquarters in Abuja on Thursday.
According to Uwujaren, investigations revealed that the affected financial institutions blatantly breached banking procedures, allowing fraudsters to convert illicit proceeds into digital assets and transfer them to safe destinations.
“A total sum of ₦18.1 billion was moved through the financial system without due diligence on customers by the banks,” he said.
“It is worrisome that investigations by the Commission showed that cryptocurrency transactions to the tune of ₦162 billion passed through a new generation bank without any due diligence.
“Investigations also showed that a single customer maintained 960 accounts in another new generation bank, and all the accounts were used for fraudulent purposes.”
Uwujaren said the EFCC’s intervention had, however, led to the recovery of ₦33.62 million, which has been returned to some of the victims.
He explained that the scams uncovered by the Commission fell into two major categories. The first involved a syndicate of fraudsters who deployed an airline ticket discount scheme to lure unsuspecting victims.
According to him, the syndicate advertised discounted tickets for a foreign airline, with a payment module designed to make it appear that payments were going directly to the airline.
“After payment is made, the passenger’s entire funds in his bank account are emptied,” Uwujaren said.
He disclosed that more than 700 victims had been defrauded through the scheme, with losses estimated at ₦651 million, adding that investigations showed the operation was masterminded by a foreign national. The Commission has so far recovered and refunded about ₦33 million to victims.
The second scheme, he said, involved a company known as Fred and Farid Investment Limited, also called FF Investment, which lured Nigerians into a fake investment arrangement.
“More than 200,000 victims have been defrauded in this regard. A total sum of ₦18 billion was raked in through nine companies offering diverse investment packages,” Uwujaren said.
He listed the companies as Credio Banco Limited; Deliberty Rock Limited; Liam Chumeks Global Service; Ngwuoke Daniels Technology; Icons Autos and Import Merchant; Newpace Technology Services Limited; Primepath Ways Ventures Limited; Kaka Synergy Network Limited; and Sunlight Tech Hub Services Limited.
Uwujaren said foreign nationals were behind the schemes, while three Nigerian accomplices had been arrested and charged to court. He added that the masterminds were currently on the run and efforts were ongoing to apprehend them.
The EFCC spokesperson called on regulatory authorities to enforce strict compliance by financial institutions with Know Your Customer (KYC), Customer Due Diligence (CDD) and Suspicious Transaction Reporting (STR) requirements.
“Deposit Money Banks, Fintechs and Microfinance Banks found to be aiding and abetting fraudsters should be suspended and referred to the EFCC for thorough investigation and possible prosecution,” he said.
He warned that negligence and failure by banks to monitor suspicious and structured transactions would no longer be tolerated.
Uwujaren also cautioned members of the public to be vigilant, assuring that the EFCC would intensify its fight against money laundering and financial crimes.
He urged financial institutions to strengthen their operational controls and help plug leakages that, he said, continue to bleed the Nigerian economy.