The Federal High Court in Abuja has issued a freezing order on five bank accounts linked to the alleged fraudulent diversion of N48 million ($28,726) intended for the purchase of a crypto mining rig package in 2023.
According to a local report, the interim order was issued on November 28 2024 following a motion filed by the Economic and Financial Crimes Commission (EFCC) on behalf of complainants.
The case originates from a petition filed by Usman Abbas Esq, accusing Dimeji Christopher, the Director of Meta Consultants Limited, and others of defrauding investors. The suspects allegedly promoted a crypto mining investment with promises of substantial returns leading complainants to invest ₦48 million(~$28,000) across multiple accounts.
“[The suspects] presented a crypto mining investment opportunity to the complainants with promises of mouthwatering returns, which prompted the complainants to invest a total of N48,000,000 through several payments to various bank accounts provided by the suspects.”
According to the EFCC, which has recently stepped up legal efforts against unregulated crypto operators, the suspects failed to provide the promised returns on investment or refund the initial capital, leading to a petition and the ongoing investigation. Instead, they were allegedly disbursed for personal use and to accomplices.
🇳🇬REGULATION | #Nigeria Continues Crackdown Against Unlicensed Crypto Firms With Latest ~$15,000 Conviction
The ruling is the latest demonstration of the EFCC’s continued legal efforts to clamp down on unlicensed USDT-to-Naira transactionshttps://t.co/46P2ZarMK3 @officialEFCC pic.twitter.com/VH9ib7X2Pv
— BitKE (@BitcoinKE) November 19, 2024
The affidavit accompanying the motion stated that no evidence of actual investment in crypto mining or related businesses was uncovered.
“[The] investigation so far has revealed that the suspect did not use the funds for the intended purpose, but instead, disbursed the funds to accomplices and for personal use,” said the EFCC
EFCC urged the court to direct the identified banks to stop all outward payments, operations, or transactions (including any bills of exchange) concerning the bank accounts, pending the conclusion of the ongoing investigation and prosecution.
The accused Dimeji Christopher, who had been evading authorities during the investigation, was recently captured by the EFCC’s Kano State Zonal Directorate, local reports said. The EFCC has requested that the freezing order remain in place for 60 days to allow for the completion of the investigation and subsequent prosecution.
The court deemed the application valid and scheduled January 29 2025, for a follow-up report.
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