Nigerian authorities pursue Kenyan nationals linked to Sh103 billion crypto fraud case
The online platform, which recently collapsed, lured thousands of investors with unrealistic promises of 100 per cent monthly returns.
Nigerian anti-corruption authorities have launched an international manhunt for four Kenyan nationals suspected of playing key roles in a massive cryptocurrency investment scam that defrauded users of over $800 million(Sh103 billion).
The Economic and Financial Crimes Commission (EFCC) issued arrest warrants for Johnson Okiroh Otieno, Israel Mbaluka, Joseph Michiro Kabera, and Serah Michiro, accusing them of conspiring in a fraudulent scheme under the banner of Crypto Bridge Exchange (CBEX).
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The online platform, which recently collapsed, lured thousands of investors with unrealistic promises of 100 per cent monthly returns.
In a public statement released last week, the EFCC appealed for cooperation from the public and international authorities, warning that the suspects are “wanted for their roles in orchestrating an elaborate online fraud via the CBEX platform.”
Photographs and identifying details of the four Kenyans were included in the commission’s wanted bulletin.
CBEX gained popularity in Nigeria, Egypt and Kenya through aggressive social media marketing and promotional campaigns that claimed to use artificial intelligence to deliver superior trading outcomes.
Users locked out
However, concerns mounted earlier this month when users reported being locked out of their accounts and unable to withdraw funds.
Following the shutdown of CBEX’s official Telegram support channel, users were instructed to make additional deposits, a red flag commonly associated with exit scams and pyramid schemes.
The EFCC estimates that the total amount lost by investors stands at approximately Sh103 billion.
In response to growing outrage, the EFCC has also named six Nigerian nationals believed to be local promoters of the scheme.
Among them is Adefowora Abiodun, who surrendered to authorities earlier this week.
Also listed are three Nigerians, Seyi Oloyede, Emmanuel Uko and Adefowora Oluwanisola, who were linked to the scam.
The agency confirmed it is coordinating efforts with INTERPOL and the U.S. Federal Bureau of Investigation (FBI) to track the platform’s masterminds and trace stolen funds.
The CBEX scandal is the latest in a series of high-profile online frauds to hit West and East Africa’s growing crypto trading communities, raising fresh concerns about the lack of regulatory oversight in the digital investment space.
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