The Economic and Financial Crimes Commission (EFCC) has disclosed that proceeds from the failed Crypto Bridge Exchange (CBEX) cryptocurrency scheme have been traced to at least four different countries, creating significant concerns regarding the potential for a full refund to the defrauded investors. This revelation has prompted heightened scrutiny into the scale of the operation and the difficulty of recovering the stolen funds.
In an interview on Politics Today on Channels Television, EFCC Chairman Ola Olukoyede revealed the Commission's efforts in tackling the issue, stating that while several accounts have been frozen and some funds have been seized, the global reach of the transactions has made it much harder to fully recover the funds. "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," Olukoyede mentioned during the discussion.
Despite these efforts, Olukoyede explained that the decentralized nature of cryptocurrency and the use of wallets outside Nigeria have complicated the recovery process, especially since these wallets fall outside the EFCC’s jurisdiction. He further clarified, "I will not sit down and tell you that we are going to restore every victim. It will become practically impossible because quite a certain amount of money has been dissipated and not within our system." This statement underscores the challenges the EFCC faces in bringing closure to the investors who have lost money in the scheme.
The EFCC Chairman also confirmed that the key perpetrators behind the CBEX fraud are largely foreign nationals, and the Commission is actively collaborating with international law enforcement agencies to recover the stolen assets and apprehend those responsible for orchestrating the fraudulent scheme. He emphasized the complexity of the situation, noting the involvement of cross-border transactions that further complicate efforts to track and seize the illicit funds.
As part of the ongoing investigation, three suspects have been apprehended and are currently in custody. These individuals are reportedly cooperating with investigators, and their statements are believed to have provided critical leads, aiding in the expansion of the probe. Despite these developments, the EFCC has warned that recovering the full extent of the funds remains an uphill battle, given the international scope of the crime and the sophisticated nature of the cryptocurrency transactions involved.