- EFCC traces CBEX funds to four countries as part of ongoing investigations into the $1 billion crypto investment scam
- The EFCC Chairman, Ola Olukoyede, disclosed that the full restitution of funds to victims may be impossible
- Meanwhile, Elie Bitar has been declared wanted, joining eight Nigerians earlier declared wanted in connection with the scheme
The Economic and Financial Crimes Commission (EFCC) has traced proceeds from the collapsed CBEX crypto bridge exchange scheme to at least four countries, signalling the complexity of the ongoing investigation and recovery process.
Speaking on Politics Today, a Channels Television programme, EFCC Chairman Ola Olukoyede disclosed that while the commission has made significant progress, full restitution for victims may not be possible.
He noted that several bank accounts linked to the fraudulent scheme have been frozen, and assets blocked, though the exact sums remain undisclosed.
“We have been able to block some accounts. We have been able to freeze some funds, which I will not be able to give you a figure for, but some reasonable amount of funds have been frozen,” Olukoyede stated.
According to him, the bulk of the transactions were carried out in cryptocurrency and routed through digital wallets beyond Nigeria’s jurisdiction. This, he explained, has complicated efforts to track and recover the stolen assets.
“I will not sit down and tell you that we are going to restore every victim. It will become practically impossible because quite a certain amount of money has been dissipated and not within our system.
“We have traced the funds to three, four countries now. In fact, most of the principal parties behind the entire scheme are foreigners, and you know what that entails,” he said.
The EFCC chairman confirmed that three suspects are currently in custody and have provided valuable information aiding the ongoing investigation.
He also said the commission is working closely with foreign counterparts to recover funds and arrest those involved.
“We have made arrests. Right now, we have about three people in our custody who have made very useful statements. We have gone deep, we have gone far. We’ve established contact with our foreign counterparts and made some inroads,” Olukoyede added.
The scandal came to public attention in April when users of the CBEX platform reported being unable to access or withdraw their funds, leading to widespread complaints and panic.
The Securities and Exchange Commission later confirmed that the digital trading platform was unregistered, further fueling concerns.
In a major development, a federal high court in Abuja granted the EFCC permission to arrest and detain six CBEX promoters over their alleged involvement in a $1 billion investment scam.
Justice Emeka Nwite issued the order following an ex parte application by EFCC counsel Fadila Yusuf.
Additionally, on April 30, the EFCC declared Elie Bitar, a foreign national, wanted in connection with the fraudulent scheme.
Bitar joins a list of eight Nigerians already declared wanted for allegedly promoting and running the CBEX operation.
The EFCC reiterated its commitment to securing justice for victims and pursuing all avenues to recover the stolen assets, despite the considerable challenges posed by cross-border financial crimes and unregulated cryptocurrency transactions.
CBEX allegedly resumes operations amid SEC ban, N1.3 trillion EFCC probe
Meanwhile, TheRadar earlier reported that the embattled cryptocurrency trading platform, Crypto Bridge Exchange (CBEX), reportedly resumed operations despite being under investigation by Nigeria's Economic and Financial Crimes Commission (EFCC) and facing a ban by the Securities and Exchange Commission (SEC).
CBEX, at the centre of an alleged N1.3 trillion digital fraud scandal affecting over 600,000 Nigerians, has reopened registration, allowing new users to fund their accounts, trade, and withdraw profits without restrictions.