Justice Abimbola Awogboro of the Federal High Court in Lagos has remanded three alleged Ponzi scheme operators in prison over their alleged involvement in an N59 million fraud. The defendants, namely Chimaobi Ifechukwu, Tochukwu Abazu, and Lucas Ojukwu, were arraigned before the court by the men of the Police Special Fraud Unit on a four-count conspiracy charge, obtaining money under false pretence and operating a Financial Institution without a license.
According to Sylvester Azubuike, the police prosecutor, the defendants committed the offences in June 2021. They conspired among themselves and fraudulently obtained N59 million from two businessmen, Mathew Ibeneme and Osita Micheal, to save the money in an unregistered bank, which would yield a high return on their investments.
The prosecutor also insisted that the offences contravened Section 8(a) and are punishable under Section 1(3) of the Advance Fee Fraud and Other Fraud Related Offences Act, 2006. He also maintained that the offences violated section 58 (1) and are punishable under section 59(6) (a & b) of the Banks and Other Financial Institutions Act, Cap B3 Laws of the Federation of Nigeria, 2004.
The defendants have pleaded not guilty to the charge, and the court has remanded them in prison custody. This case highlights the prevalence of fraudulent schemes in the financial sector and the need for the public to be cautious and vigilant when investing their money.
If you have been a victim of financial fraud or suspect any fraudulent activity, it is crucial to report to the appropriate authorities. Remember to always verify the legitimacy of any investment opportunity and be wary of promises of high returns with little or no risk. Stay safe and protect your finances.