EFCC Says N162Bn Crypto Transactions Passed Through Nigerian Bank Without Due Diligence

● Uncovers 960 accounts allegedly operated by a single customer for fraud

Pat Stevens/

The Economic and Financial Crimes Commission (EFCC) has raised serious concerns over the complicity and negligence of banks and Fintechs in facilitating large-scale financial fraud, including cryptocurrency transactions worth N162 billion flowing through a new generation Nigerian bank without any due diligence.

At a press briefing in Abuja on Thursday, the Commission revealed that one customer maintained 960 separate accounts in the same bank, all allegedly used for fraudulent purposes.

EFCC officials said such proliferation should have triggered enhanced due diligence and immediate regulatory alerts, underscoring systemic failures within the banking sector.

The Commission confirmed that two major schemes were responsible for the bulk of the fraud losses, which total N18,739,999,027.35.

Commander Wilson Uwujaren, Director of Public Affairs at the EFCC, warned that the magnitude of the fraud highlights both foreign and local actors exploiting weaknesses in Nigeria’s financial system.

“A total sum of N18.7 billion moved through our financial system without due diligence by the banks,” Uwujaren said. “It is deeply worrying that cryptocurrency transactions to the tune of N162 billion passed through a new generation bank with no verification or monitoring of the customer.”

The first scheme involved airline discount fraud, targeting unsuspecting travellers.

Uwujaren explained:
“Fraudsters advertise discounted tickets for foreign carriers. Payments are made into accounts that appear to belong to the airline. Once the payment is made, victims’ funds are drained from their bank accounts.”

Over 700 victims reportedly lost a total of N651,097,755, although the EFCC has recovered and returned N33,628,000.

Officials warned that foreign actors are now converting stolen funds into cryptocurrency and moving them offshore via platforms such as Bybit.

The second scheme centred on Fred and Farid Investment Limited (FF Investment), which lured Nigerians into bogus investment arrangements.

More than 200,000 individuals were defrauded, generating N18,088,901,272.35 through nine companies offering fraudulent investment packages.

While foreign nationals orchestrated the schemes, three Nigerian accomplices have been arrested and charged to court.

EFCC Directors Abdulkarim Chukkol and Michael Wetcas also spoke on the role of financial institutions.

According to them, “a new generation bank and six Fintechs and microfinance banks are involved. These institutions clearly compromised banking procedures and allowed fraudsters to convert proceeds into digital assets and move them to safer destinations. This points to systemic failure, not isolated lapses.”

The EFCC has called on regulatory bodies to enforce mandatory compliance with anti-money laundering safeguards, including Know Your Customer (KYC), Customer Due Diligence (CDD), and Suspicious Transaction Reports (STRs).

“Negligence and failure to monitor suspicious or structured transactions by banks will no longer be tolerated,” Uwujaren said. “Financial institutions found to have aided or enabled such transactions risk regulatory sanctions, criminal investigation, and possible prosecution.”

The Commission reaffirmed its commitment to protecting the integrity of Nigeria’s financial system, urging banks and Fintechs to strengthen internal controls and safeguard the economy from further leakages and compromise.