Fraudulent investment scam exposed as EFCC charges two men over fake crypto scheme with 88% return promises; court remands suspects till July 18 hearing

[dropcap]A[/dropcap] fraudulent investment scam exposed by the Economic and Financial Crimes Commission has led to the arraignment of two individuals in Abuja.

Also read: EFCC recovers funds, arrests suspects in N1.3 trillion CBEX ponzi scheme, Chairman Olukoyede reveals

On Monday, July 7, 2025, the EFCC brought Awerusuo Otorudo and Chukwuebuka Ehirim before Justice Muhammed Umar of the Federal High Court.

According to Dele Oyewale, the Commission’s Head of Media and Publicity, the pair were arraigned on a three-count amended charge.

The allegations relate to obtaining by false pretence, inducement, and misleading the public into a fraudulent investment scam exposed through a detailed investigation by the EFCC.

The charges focus on a fake digital investment scheme operated under the name Crypto Bridge Exchange, or CBEX.

Prosecutors claim that from January 2024 to May 2025, the defendants offered the public up to 88 percent returns on deposits made with the platform.

One count states: “That you, Awerusuo Otorudo and Chukwuebuka Ehirim, sometimes between January 2024 and May 2025, within the jurisdiction of this honourable court, did invite the public to deposit money for a fixed period or payable on call with CRYPTO BRIDGE EXCHANGE (CBEX) with a promise of up to 88% return on investment without obtaining the written consent of the Securities and Exchange Commission and thereby committed an offence contrary to Section 96(1) of the Investment and Security Act 2025 and punishable under Section 96(5) of the same Act.”

Another charge accused the defendants of advertising deposit services despite being unauthorised to operate as a bank or financial institution. This offence contravenes Section 44(1) of the Banks and Other Financial Institution Act, 2020.

When the charges were read aloud in court, both accused men entered a plea of not guilty. Prosecution counsel Fadila Yusuf urged the court to remand them, arguing that the allegations warranted custodial detention while the matter progressed.

Defence counsel J.A. Otorudo, however, informed the court of an existing bail application for both defendants. Nonetheless, Yusuf maintained her objection, reinforcing her request for their remand in a correctional facility pending a formal ruling on bail.

“The learned counsel is very elaborate before this honourable court,” Oyewale quoted the EFCC’s counsel as saying.

“He had complained of the EFCC holding them in our facility and we are saying if they are not comfortable with us, they are before the court now, my Lord can move them to more comfortable accommodation.”

Justice Umar accepted the request for remand and adjourned the matter until July 18, 2025, for a ruling on the bail application.

He ordered that the defendants be taken to the Kuje Correctional Centre where they will remain in custody until the next hearing.

The fraudulent investment scam exposed by the EFCC serves as another warning to Nigerians to remain cautious when approached with high-yield investment opportunities. These schemes often appear convincing but lack legal backing or financial regulation.

The Commission reiterated that it remains committed to pursuing financial crime cases involving digital platforms, especially those that prey on unsuspecting investors.

Also read: EFCC secures court order to arrest CBEX promoters for billion-dollar fraud

As the case proceeds, the spotlight will remain on how the court handles the matter, which touches on larger concerns surrounding public trust in financial systems and the increasing misuse of cryptocurrency platforms for illegal gain.