The Federal High Court in Abuja has authorized the Economic and Financial Crimes Commission (EFCC) to arrest and detain six individuals linked to Crypto Bridge Exchange (CBEX) over an alleged cryptocurrency investment scam exceeding $1 billion.
Justice Emeka Nwite granted the order on Thursday following an ex parte motion presented by EFCC counsel Fadila Yusuf. The court ruled that the suspects should be held in custody pending the conclusion of the commission’s investigation and potential prosecution.
“I find the application to be meritorious and grant it as prayed,” Justice Nwite stated, after reviewing the supporting affidavit and legal arguments.
The six individuals identified are Adefowora Abiodun Olanipekun, Adefowora Oluwanisola, Emmanuel Uko, Seyi Oloyede, Avwerosuo Otorudo, and Chukwuebuka Ehirim.
The EFCC alleged that the suspects, through ST Technologies International Limited, promoted CBEX by running deceptive advertisements and convincing the public to invest in a cryptocurrency platform with promises of up to 100% returns. Investors were directed to convert their digital assets into the stablecoin USDT and transfer them to CBEX wallets. However, after deposits totaling over $1 billion, users lost access to the platform and their funds.
The commission further disclosed that ST Technologies was registered with the Corporate Affairs Commission but lacked the required investment licensing from the Securities and Exchange Commission. Additionally, the suspects had allegedly vacated their last known addresses in Lagos and Ogun States, prompting the need for arrest warrants and their placement on a red watch list.
The EFCC stated that the preliminary investigation reveals a prima facie case of investment fraud and that the suspects must be apprehended to face justice.
