A Federal High Court in Abuja has granted the Economic and Financial Crimes Commission (EFCC) authorization to arrest and detain six promoters of the Crypto Bridge Exchange (CBEX) in connection with a massive $1 billion cryptocurrency investment fraud. The ruling, issued on Thursday by Justice Emeka Nwite, came after an ex parte application by EFCC counsel, Fadila Yusuf.
The individuals implicated in the alleged fraud are Adefowora Abiodun Olanipekun, Adefowora Oluwanisola, Emmanuel Uko, Seyi Oloyede, Avwerosuo Otorudo, and Chukwuebuka Ehirim. These suspects are accused of operating CBEX through ST Technologies International Limited, a cryptocurrency platform that enticed investors with the promise of unrealistic returns of up to 100%.
According to EFCC investigators, the platform attracted significant deposits by encouraging victims to convert their digital assets into stablecoin (USDT), which were then transferred into the suspects' wallets. Over time, CBEX amassed more than $1 billion in deposits. However, the platform soon became inaccessible, and victims found themselves unable to withdraw their funds.
Further investigations revealed that CBEX was not registered with the Securities and Exchange Commission (SEC), affirming the fraudulent nature of the platform’s operations. The court’s ruling ensures that the suspects will remain in custody while the EFCC continues its investigation and prepares for possible prosecution.
The case highlights growing concerns over the rise of fraudulent cryptocurrency schemes in Nigeria, and the EFCC has vowed to continue cracking down on such illegal activities. The agency is calling on the public to remain vigilant and report any similar fraudulent schemes to the appropriate authorities.