Court Approves Arrest of Six CBEX Promoters Over $1B Fraud
The Federal High Court in Abuja has ruled in favor of the Economic and Financial Crimes Commission (EFCC), as the court approves arrest of six CBEX promoters over an alleged cryptocurrency investment scam that defrauded victims of more than $1 billion.
Justice Emeka Nwite granted the order following submissions by EFCC legal representative Fadila Yusuf, who filed the ex parte motion on April 23, 2025.
EFCC Alleges Massive Crypto Scam
The EFCC is investigating six individuals:
- Adefowora Olanipekun
- Adefowora Oluwanisola
- Emmanuel Uko
- Seyi Oloyede
- Avwerosuo Otorudo
- Chukwuebuka Ehirim
These suspects are accused of operating a fraudulent investment scheme through ST Technologies International Ltd in partnership with Crypto Bridge Exchange (CBEX).
The EFCC stated that the suspects convinced investors to convert their digital assets into USDT (a stablecoin) and deposit them into wallets linked to CBEX. In return, investors were promised returns as high as 100%—a hallmark of Ponzi-style schemes.
Platform Shutdown and Suspect Evasion
Initially, investors could track their funds via the CBEX platform. But once deposits surpassed $1 billion, the platform abruptly went offline. Victims suddenly lost access to their investments, sparking panic and complaints across digital forums.
According to an affidavit submitted by the EFCC, ST Technologies was registered with the Corporate Affairs Commission (CAC) but was never licensed by the Securities and Exchange Commission (SEC) to operate as an investment business.
Investigators also discovered that the suspects had abandoned their registered addresses in Lagos and Ogun states, prompting the need for a warrant of arrest and inclusion on the red watch list to aid in nationwide tracking.
Court Grants EFCC’s Motion
Justice Emeka Nwite ruled in favor of the EFCC, stating:
“I am of the view, and I so hold, that the application is meritorious. Consequently, the application is granted as prayed.”
The order allows the EFCC to arrest and detain the six CBEX promoters while further investigations and potential charges are prepared.
Yusuf told the court, “This is a case of public interest, financial exploitation, and large-scale fraud. Detaining the suspects is essential to stop them from fleeing or tampering with evidence.”
A Cautionary Tale for Nigerian Crypto Investors
The court approves arrest of six CBEX promoters case highlights growing concern over unregulated crypto schemes in Nigeria. While digital currencies remain popular, the lack of oversight has led to increasing cases of fraudulent platforms preying on unsuspecting investors.
The EFCC has reiterated its commitment to tracking down crypto-related scams, warning the public to verify investment platforms with SEC certifications and to remain cautious of unrealistic returns.
