close
Friday, April 30, 2021

EFCC warns Nigerians against crypto, forex investments

The EFCC spokesman warned the public against taking an unmitigated risk in desperation to earn a windfall on fraudulent schemes.

• April 29, 2021
EFCC spokesperson, Wilson Uwajaren
EFCC spokesperson, Wilson Uwajaren

The Economic and Financial Crimes Commission (EFCC) has warned Nigerians against investing their money in fraudulent investment schemes that promise high returns to investors.

The EFCC spokesman Wilson Uwajaren said in a statement that the anti-graft agency was worried over the development that had seen thousands lose their life savings to scammers.

One of such popular schemes, MBA Forex – which promised its investors 15 per cent Return on Investment (RoI) monthly, crashed in November leaving over 100, 000 investors stranded, NAN reports.

The Central Bank of Nigeria (CBN), which later froze MBA’s bank accounts, said that the company, owned by Maxwell Odum, had collected over N171 billion from its investors before crashing.

Also, another popular scheme, Baraza Multipurpose Cooperative, headquartered in Yenagoa, Bayelsa, had in March announced its inability to meet its obligations to its over 25, 000 investors.

The company owned by one Miebi Bribena, a pastor, had promised to refund investors their capital running into billions but didn’t provide any reasonable timeline to refund their monies.

Mr Uwajaren said that the commission had received several petitions from victims of Ponzi, forex and bitcoin investment schemes.

“This trend indicates that investment scams have continued to thrive despite the enforcement and public enlightenment interventions by the commission and other stakeholders.

“The direct implication is that citizens are losing their hard-earned money to fraudsters, who by their activities compound the nation’s economic woes.

“Many have lost, and are still losing money to Ponzi schemes, forex trading and most recently, bitcoin trading,” he said.

The EFCC spokesman warned members of the public against taking an unmitigated risk in desperation to earn a windfall on fraudulent schemes.

According to him, investments in bitcoin and other cryptocurrencies were a high-risk activity especially as the terrain was largely unregulated and prone to fraud.

“The EFCC states that while it will continue to investigate and prosecute persons complicit in fraudulent investments schemes, it is incumbent on the investing public to be circumspect in their investment decisions.

“Any investment that promises returns that look too good to be true should be considered a red flag.

“Nigerians are by this notice, warned to be wary of fraudulent schemes and are hereby, enjoined to resist the temptation of quick gain that could end in misery,” he warned.

(NAN)

More from Peoples Gazette

Faith

PFN tells bandits, Boko Haram ‘not too late to repent’

“God abhors bloodshed, and as such, we should stop the senseless and mindless killings going on in the country.”

States

Zamfara governor urges judges to show no mercy to bandits

Mr Matawalle disclosed that his government had procured new vehicles for magistrates and Shariah Court judges to enhance their services.

Anti-Corruption

Corruption is killing us in Nigeria: Ganduje

“The truth of the matter is that we will never develop or progress with this level of corruption in this country.”

Ebelechukwu Obiano

States

Obiano advocates mandatory genotype test before marriage

The governor’s wife recalled the pain of losing one of her daughters to sickle cell disease some years ago.

basketmouth

Showbiz

Basketmouth’s “The Confession of a Bandit” to premiere May 3

The cast list also stars in Basketmouth’s TV series “My Flatmates” and the web series “Papa Benji.”

World

Israel expands Gaza fishing zone

The expansion is conditional on the continuation of calm and security stability in Gaza.