A Federal High Court in Abuja has issued a warrant for the arrest and detention of six promoters of Crypto Bridge Exchange (CBEX), following allegations of their involvement in a $1 billion cryptocurrency investment fraud.
Justice Emeka Nwite granted the warrant after an ex parte application presented by Economic and Financial Crimes Commission (EFCC) counsel, Fadila Yusuf. The suspects named in the proceedings include Adefowora Olanipekun, Adefowora Oluwanisola, Emmanuel Uko, Seyi Oloyede, Avwerosuo Otorudo, and Chukwuebuka Ehirim.
The EFCC requested the arrest and remand orders to facilitate their investigations and ensure the suspects are available for prosecution. “The suspects are currently at large, and the arrest warrant is necessary to facilitate their apprehension and ensure proper investigation and prosecution,” Yusuf stated before the court.
In an affidavit supporting the application, the EFCC detailed that preliminary investigations revealed the defendants allegedly operated under a company named ST Technologies International Limited to promote Crypto Bridge Exchange (CBEX). Through aggressive marketing and enticing advertisements, they reportedly lured unsuspecting members of the public to invest in cryptocurrencies via the CBEX platform.
The EFCC’s investigation showed that the promoters promised unrealistic returns of up to 100%, drawing significant investment from the public. Investors were allegedly instructed to convert their digital assets into USDT, a stablecoin, which was then deposited into the suspects’ cryptocurrency wallets.
Initially, investors were given access to the platform to monitor their funds. However, according to the EFCC, once deposits exceeded $1 billion, the CBEX platform abruptly became inaccessible. Victims were locked out and unable to retrieve their investments.
Further investigation revealed that although ST Technologies International Limited was duly registered with Nigeria’s Corporate Affairs Commission (CAC), it was not licensed by the Securities and Exchange Commission (SEC) to offer investment services.
The EFCC also noted that efforts to track the suspects have been complicated as they had vacated their last known addresses in Lagos and Ogun States.
“The arrest warrant is critical for placing the suspects on a watch list and aiding law enforcement agencies in securing their apprehension,” the EFCC emphasised.
Granting the application, Justice Nwite said, “I have considered the submissions of counsel for the applicant. Having reviewed the affidavit, supporting exhibits, and written address, I find the application to be meritorious and hereby grant the reliefs sought.”
The court’s decision marks a crucial step in the EFCC’s bid to complete its investigation and seek justice for the defrauded investors.
