The Federal High Court in Ikoyi, Lagos, has ordered the final forfeiture of $222,729.86 worth of digital assets (USDT) recovered from a group of Chinese nationals arrested for alleged cyberterrorism and internet fraud.
The judge, Alexander Owoeye, who delivered the ruling on Monday, said the assets were part of the proceeds traced to a syndicate of 792 suspected cryptocurrency investment and romance scammers uncovered by the Economic and Financial Crimes Commission (EFCC).
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The final forfeiture order followed an application filed by the EFCC on 18 July, through their lawyer, Zeenat Atiku.
Moving the application on Monday, Ms Atiku informed referenced an affidavit sworn to by EFCC investigator Muazu Abdulrahman, detailing how the syndicate operated through a Nigerian-registered company, Genting International Co. Limited with a Union Bank account.
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The account with number 0225100403 allegedly received over N2.26 billion between April and December 2024.
“Analysis of the account showed major inflows from two cryptocurrency vendors: Chukwuemeka Okeke and Alhassan Aminu Garba,” Mr Abdulrahman stated in the affidavit.
“They confessed to receiving a total of USDT valued at $2,386,642 from the syndicate via peer-to-peer trading and identified wallet addresses used in the transactions.”
Mr Owoeye, in granting the EFCC’s request, ruled: “I have read the motion and attachments and found sufficient merit in the application.”
The forfeiture comes in the wake of the arrest and conviction of several members of the syndicate. Most were sentenced to one year in prison for cyberterrorism and internet fraud related to the elaborate crypto-based scam.
Background
Dubbed the largest cybercrime syndicate, EFCC on 10 December 2024, arrested a group of 792 suspects including Nigerians, Chinese, Arab and Filipino nationals involved in alleged cryptocurrency investment fraud and romance scams.
They were arrested at a seven-storey building known as Big Leaf Building on No. 7, Oyin Jolayemi Street, Victoria Island, Lagos.
EFCC”s Director of Public Affairs, Wilson Uwujaren, disclosed the development during a media briefing on 16 December 2024.
Mr Olukoyede revealed that the syndicate had transformed the building—designed to appear as a legitimate corporate facility—into a hub for training Nigerians in romance and investment scams.
“The foreign nationals trained their Nigerian recruits to target victims online using fake identities across WhatsApp, Instagram, and Telegram,” he said.
According to the EFCC, one floor alone housed 500 SIM cards from local telecom providers, while each Nigerian recruit was equipped with a desktop computer and mobile device.
They were provided with scripts, foreign phone numbers, and fake personas, primarily impersonating women to lure victims—mostly from the United States, Canada, Mexico, and Europe—into romance scams or into investing through a fraudulent platform.
Modus operandi
The EFCC explained that the Nigerian accomplices were selected based on their computer literacy, especially typing speed. Those who passed an initial test were subjected to a two-week induction on impersonation tactics.
“Once they established contact and built trust with victims, the foreign syndicate leaders would take over the scam and block their Nigerian collaborators from further access to the chats, keeping them in the dark about ongoing transactions,” he said.
The Nigerian accomplices were neither given employment letters nor paid through official corporate channels.
“They were paid in cash or via third-party accounts, and many never met the actual ringleaders,” Mr Olukoyede added.
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EFCC said it was collaborating with international partners to trace other accomplices and determine the full scope of the fraud, including links to foreign criminal networks.
He also stressed that contrary to popular belief, many large-scale scams traced to Nigeria are masterminded by foreign nationals exploiting the country’s global reputation.
“Foreigners are taking advantage of our unfortunate image to conceal their operations. But this operation proves that Nigeria will not remain a haven for international fraudsters,” he said.
Also speaking at the briefing, acting Zonal Director of the Lagos Directorate, Michael Wetkas, called for greater media support in the fight against economic and financial crimes.
Items recovered during the operation include desktop computers, laptops, mobile phones, and vehicles.
