Fraudulent Politicians Hiding Loot In Cryptocurrencies To Beat Investigation – EFCC Chairman

*Says virtual assets fraud, investment fraud rising

By; BAYO AKAMO, Ibadan

The Economic and Financial Crimes Commission (EFCC) on Thursday, disclosed that fraudulent politicians are already perfecting schemes and hiding their loot in cryptocurrencies to beat the investigative dragnet of anti-corruption agencies

EFCC Executive Chairman, Mr Ola Olukoyede made this known at the African Union Anti-corruption Day with the theme, “Understanding Virtual Assets and Investment Scam”, held at Iyaganku, in Ibadan

Represented by the acting Zonal Director, Ibadan Zonal Directorate of the agency, Hauwa Garba Ringim, the EFCC Executive Chairman stressed that virtual assets fraud is now on the rise and that Investment fraud, like virtual assets fraud, is spreading like wildfire across Africa.

” Virtual assets fraud is on the rise. Our findings showed that fraudulent politicians are already perfecting schemes and hiding their loot cryptocurrencies to beat the investigative dragnet of anti-corruption agencies”, he said.

The EFCC Executive Chairman added, “Stolen funds and unexplained wealth are being warehoused in wallets and payments for services are being done through this window. Investment schemes are also being facilitated through it.

” For us at the EFCC, virtual assets fraud and investment scams are not hard nuts to crack. Proactive and broad- based training and intelligence are bringing fraudulent schemes to the fore. We are ahead in every material sense and there is enormous proof of operational successes in this regard,especially the breakthrough in investigation and prosecution of the infamous CBEX scam’.

Mr Olukoyede stressed, “Investment fraud, like virtual assets fraud, is spreading like wildfire across Africa.Fraudsters are exploiting vulnerabilities of desperate investors to defraud them through various dishonest schemes. Every exploitation of investors in any guise is considered a fraudulent act. Ponzi schemes rank as one of the most pervasive of such acts”.

He stated further, ” It is important to clearly state that virtual assets are not fundamentally criminal. It is when they are wrongfully or fraudulently used that they become criminals.

” Technology is moving at a supersonic speed around the world. The advent of virtual assets is a response to one of the qualities of money as a store of value. However, as with every progressive innovation,fraudsters usually evolve ways of perverting their genuine purposes.

” Understanding virtual assets and investment fraud will not be complete without drawing serious attention to the role of investing public in breaking
the opportunistic practices of fraudsters floating various schemes to defraud Nigerians’.

The EFCC Executive Chairman said, “We are all aware of the hues and cries of many investors in CBEX that lost their funds to the shenanigans of the operators. This unfortunate situation is preventable.”

A Professor of Criminology at the University of Ibadan, Professor Oludayo Tade in his lecture, said that both the fraudsters and the defrauded were equally guilty, adding that people become victims because they thought they should be the only ones to enjoy the benefits of the ponzi schemes.

Professor Tade charged the media as an important stakeholder in the ecosystem, tasking media not to use their reputation to promote ponzi schemes.