The Chairman of the Economic and Financial Crimes Commission (EFCC), Mr. Ola Olukoyede, has revealed that some corrupt politicians in Nigeria now hide stolen public funds in cryptocurrency wallets to escape detection by anti-corruption agencies.
Mr. Olukoyede made the disclosure during a public lecture organised to mark the 2024 Africa Anti-Corruption Day, held in Ibadan, the Oyo State capital. He was represented by the Acting Zonal Director of the EFCC in Ibadan, Mrs. Hauwa Garba Ringim.
According to him, virtual asset fraud is becoming a growing threat in the country’s anti-corruption war, especially as it offers anonymity for criminal activities.
“Virtual assets fraud is on the rise. Our findings show that fraudulent politicians are already perfecting schemes and hiding their loot in cryptocurrencies to beat the investigative dragnets of anti-corruption agencies,” he said.
He added that “stolen funds and unexplained wealth are being stored in crypto wallets, and payments for services are now being done through this channel.”
While acknowledging that virtual assets are not inherently criminal, the EFCC boss stressed that they become tools for fraud when misused.
Olukoyede also described Ponzi schemes and investment fraud as widespread, blaming their spread partly on the negligence of the investing public.
“The lessons from the CBEX case are very clear. The public, in many cases, enables these frauds through lack of proper checks on investment schemes. Often, suspicious transactions are not reported to the EFCC until after victims are defrauded,” he noted.
Speaking on the agency’s efforts to tackle the menace, Olukoyede said the commission is well equipped and proactive in its response to virtual asset fraud and investment scams.
“For us at the EFCC, virtual assets fraud and investment scams are not hard nuts to crack. Through intensive training and intelligence gathering, we’ve recorded several breakthroughs, including the successful prosecution of the infamous CBEX scam,” he stated.
He assured Nigerians that the EFCC is constantly working with relevant stakeholders to prevent and investigate such crimes. He added that public enlightenment and awareness remain key to curbing the growing trend of virtual fraud.
The event, themed “Understanding Virtual Asset and Investment Fraud,” featured lectures from a criminology professor at the University of Ibadan, Oludayo Tade, and Assistant Superintendent of EFCC II, Farouk Muhammed Bello.
Both speakers warned Nigerians against the “get-rich-quick” mentality and explained how fraudsters use Ponzi schemes to deceive unsuspecting investors.
In attendance at the event were academics, youth corps members, students, government officials, police officers, and representatives of other sister anti-corruption agencies.
