EFCC: We can’t guarantee full recovery of over N1.3trn CBEX fund

The Economic and Financial Crimes Commission (EFCC) has disclosed that full recovery of funds lost to the collapsed crypto investment platform, CBEX, may not be possible.

According to the EFCC chairman, Ola Olukoyede, the commission has traced some of the stolen funds to at least four countries, but the transnational nature of the transactions poses significant recovery challenges.

Speaking during an interview on Politics Today, a Channels Television programme, Olukoyede revealed that while efforts are ongoing, many of the funds were moved through cryptocurrency wallets outside Nigeria’s jurisdiction.

“We have been able to block some accounts. We have been able to freeze some funds, which I will not be able to give you a figure, but some reasonable amount of funds, we have been able to freeze,” the EFCC boss said.

He added, “I will not sit down and tell you that we are going to restitute every victim. It will become practically impossible because quite a certain number of money has been dissipated and not within our system.”

Olukoyede further explained that many of the scheme’s principal operators are foreign nationals beyond Nigeria’s reach, complicating extradition and asset recovery efforts.

“We have traced to three, four countries now. In fact, the principal parties behind the entire scheme… most of them are foreigners, they are not within our jurisdiction, and you know what that entails,” he said.

“In fact, it took our impunity, our proficiency, to be able to even freeze some assets that we have done now. So, yes, we’ve embarked on that journey. Whatever we can get back, we will get it back and let Nigerians know. But we will not be able to confirm that we will restitute every victim. That may be practically impossible.”

The EFCC has also confirmed the arrest of three suspects linked to the CBEX fraud. These individuals are currently in custody and have reportedly provided valuable information.

“We have made arrests. Right now, we have about three people in our custody who have made very useful statements,” Olukoyede noted.

“We have been so committed to this investigation because we have promised Nigerians. We have gone deep, we have gone far. We have established contact with our foreign counterparts and we have been able to make some inroads.”

CBEX made headlines in April when users were suddenly unable to withdraw their funds, prompting panic and widespread reports of lost investments. The Securities and Exchange Commission (SEC) confirmed that the CBEX platform was unregistered and operating illegally.

In response, the Federal High Court in Abuja recently granted the EFCC permission to arrest and detain six CBEX promoters in connection with a $1 billion investment fraud. The order was issued by Justice Emeka Nwite following an ex parte application by EFCC counsel Fadila Yusuf.