Court orders interim forfeiture of $222,729 in alleged cybercrime case
The Federal High Court in Lagos has ordered the interim forfeiture of digital assets worth $222,729.86, linked to the illicit activities of 193 foreign nationals and 599 Nigerians arrested by the Economic and Financial Crimes Commission (EFCC) last December.
In total, 792 individuals were apprehended for their involvement in cryptocurrency investment fraud and romance scams.
Justice Alexander Owoeye granted the interim forfeiture order following an ex parte application filed by the EFCC, represented by counsel Zeenat Atiku. The application was made under Section 44 (2) (b) of the 1999 Constitution and Section 17 of the Advance Fee Fraud Act 2006.
The court’s ruling directs the EFCC to publish the order in a national newspaper, allowing anyone with a stake in the assets to appear within 14 days to challenge the forfeiture. The order specifies that the digital assets, which are believed to be proceeds of unlawful activities, are to be temporarily forfeited to the Nigerian government.
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In an affidavit, EFCC investigating officer Owolabi Taiwo explained that the Commission received intelligence about a large-scale fraud operation involving foreign nationals in Lagos. A subsequent sting operation led to the arrest of 792 suspects and the seizure of around 1,000 routers, SIM cards, computers, and mobile phones.
Further investigation revealed that the suspects were part of a syndicate engaged in cryptocurrency fraud and dating scams, operating through a Nigerian-registered company, Genting International Co. Limited (GICL). The company’s Union Bank account had received over N2.26 billion between April and December 2024, primarily from cryptocurrency vendors Chukwuemeka Okeke and Alhassan Aminu Garba. These vendors reported receiving $2.39 million in USDT from the syndicate through peer-to-peer trading. Blockchain analysis traced these funds to wallet addresses associated with fraudulent schemes, including Conti.vip.
The investigation also uncovered that GICL, established by foreign nationals without valid work permits, was being used to launder the proceeds of crime, violating Nigerian laws.
The case has been adjourned to March 7, 2025, for a compliance report.
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