by Jude Ayua
Nigeria’s Economic and Financial Crimes Commission (EFCC) announced on 12 December 2024 that a Federal Capital Territory (FCT) High Court has convicted one Praise Humphrey Igbo (alias Jessica Allen) for Internet fraud. Justice H.L Abba-Aliyu of the FCT High Court sitting in Jabi, Abuja on Wednesday 11 December 2024 convicted and sentenced Praise to one year imprisonment for the crime.
EFCC prosecuted Praise on a one-count charge of “internet crime, criminal impersonation, obtaining money under false pretence and money laundering.” Details of the crime as contained in the charge are that:
Sometime in 2022, Praise, pretending to be “Jessica Allen,” a supposed successful crypto trader in the United State of America, cheated and fraudulently obtained 5.26 Bitcoins (BTC) worth $115,000 belonging to Aaron Baker who goes by the alias “East Baton Rouge Parish,” an American citizen. Aaron petitioned Praise alleging that he defrauded him of the funds via the platform Blockchain.com after presenting a fake investment opportunity to him.
In court, Praise pleaded “guilty” to the allegations, leading to his subsequent conviction and sentence accordingly. In place of the one year imprisonment sentence Justice Abba-Aliyu gave him the option to pay a fine of ₦1,000,000.
The judge ordered that the sum of $16,110 and $67,487.79 worth of BTC recovered from Praise and the money in his bank account be used to refund his victim through the American Embassy in Nigeria.
Read also: Crypto Fraud: Nigeria’s EFCC and Toronto Police recover $225k from fraudster.
In related development, EFCC operatives arrested a suspected Internet fraudster, Osang Usie Otukpa, for allegedly duping 139 Australians of the sum of $AUD8,000,000 (Eight Million Australian Dollars). EFCC announced on 13 December via its official X page that they nabbed him in a stake out at the Murtala Muhammed International Airport, Ikeja, Lagos upon arrival from the US on Friday, December 6, 2024.
The suspect goes by five aliases: “Ford Thompson, Oscar Donald Tyler, Michael Haye, Jose Vitto, and Kristin Davidson,” EFCC narrated. He scammed his victims by cajoling them on social media to invest in his fraudulent cryptocurrency investment platform, Liquid Asset Group, LAG.
“The proceeds of the alleged crimes were routed to his bank accounts through a global cryptocurrency exchange platform,” the announcement noted. EFCC plans to charge the suspect to court upon conclusion of investigations.
Read also: Nigeria to set Binance Executive Tigran Gambaryan free; drops all charges against him.
EFCC’s crypto enforcement efforts
EFCC has proved its commitment to addressing crypto-related fraud in Nigeria by always swiftly responding to petitions, investigating, and prosecuting suspected fraudsters accordingly. The agency has both taken independent initiatives and collaborated with other local and international anti crime agencies in this regard. Earlier in December, Toronto Police Service, in partnership with EFCC, successfully recovered and returned $225,000 to a Toronto victim of a cryptocurrency investment fraud after a 3-year investigation.
In addition to financial crimes enforcement, the EFCC also enforces regulations on anti-money laundering/combating the financing of terrorism (AML/CFT). Its Special Control Unit Against Money Laundering (SCUML) is responsible for registering and certifying cryptocurrency operators in Nigeria. SCUML was established as a specialised unit of the Federal Ministry of Commerce and Industry in 2005. However, the EFCC drives the operational activities of the Unit in line with Nigeria’s efforts to implement the Financial Action Task Force Recommendations.
EFCC’s efforts do not only address fraud but also help to maintain public trust in the Nigerian crypto industry which is already facing regulatory challenges including government’s clampdowns. The agency’s restitution of defrauded funds to their victims is also highly commendable. In addition to enforcement efforts, EFCC is also proactive in fraud prevention by educating the public about how to avoid falling victim to it. Through its Scam & Safety Information page, it provides tips that could save people from falling to scams.
Read also: Shitcoins and Scam Coins: Understanding their similarities and differences
Jude Ayua is a policy analyst at CAB. A lawyer, Jude is an associate at Infusion Lawyers where he is a member of the Blockchain & Virtual Assets Group. He is also a member of the Policy & Regulations Committee of the Stakeholders in Blockchain Technology Association of Nigeria (SiBAN). Jude reports and writes on crypto policy and regulations. jude@infusionlawyers.com
