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By Lizzy Chirkpi
The latest development has emerged in the ongoing investigation into an alleged $1 billion cryptocurrency fraud as the Federal High Court in Abuja on Monday refused to grant bail to three detained promoters of Crypto Bridge Exchange (CBEX).
Justice Emeka Nwite, in his ruling, submitted that the affidavit evidence presented by both the prosecution and defense indicated a strong case against the defendants.
The ruling follows an April 24 order by Justice Nwite, which granted the Economic and Financial Crimes Commission (EFCC) permission to arrest and detain six CBEX operators in connection with the massive fraud.
The initial detention order stemmed from an ex-parte motion filed by EFCC’s counsel, Yusuf, seeking to hold the suspects while investigations concluded and potential prosecution commenced. The six individuals named in the motion are Adefowora Abiodun, Adefowora Oluwanisola, Emmanuel Uko, Seyi Oloyede, Avwerosuo Otorudo, and Chukwuebuka Ehirim.
The EFCC’s ex-parte motion, filed on 23 April 2025, cited the agency’s statutory duty to prevent and detect financial crimes. Yusuf further argued that some defendants remained at large, necessitating warrants for their arrest to facilitate a thorough investigation and prosecution.
According to the EFCC, the defendants, operating under the company ST Technologies International Limited, promoted CBEX by advertising lucrative investment opportunities. They allegedly enticed the public to invest cryptocurrencies on the CBEX platform, promising “unrealistic returns of up to 100%, and requiring victims to convert their digital assets into stablecoin (USDT) for deposit into the suspects’ crypto wallets. Initially, victims had full access to monitor their investments.”
However, the EFCC alleges that once deposits surpassed $1 billion, the CBEX platform became inaccessible, and withdrawals were blocked. “Investigations also revealed the scheme to be fraudulent; while ST Technologies International Limited was registered with the Corporate Affairs Commission, it was not authorized by the Securities and Exchange Commission to offer investment services.”
The EFCC further disclosed that the defendants had vacated their last known addresses in Lagos and Ogun States, necessitating arrest warrants to locate and apprehend them.
During a hearing on June 11, defense counsels Babatunde Busari and Justice Otorudo argued for bail, citing constitutional provisions and sections of the Administration of Criminal Justice Act, 2015. They sought to modify the court’s earlier detention order, requesting bail for their clients pending the conclusion of investigations, arraignment, and trial.
However, the EFCC opposed the bail application, asserting that the defendants were implicated in a fraud exceeding the combined budgets of several Nigerian states. The commission also noted that new petitions from victims continued to emerge.
In delivering his ruling, Justice Nwite acknowledged that a formal charge had already been filed against the defendants and was awaiting assignment to a specific court. He dismissed claims that the 1st defendant, Abiodun, required urgent medical attention, stating that the EFCC could provide necessary healthcare.
The trial judge declared, “In view of the foregoing, and considering the nature of the case, as well as the fact that a formal charge has been filed, I hold that the interest of justice will be best served by transferring this application to the court where the charge is pending for simultaneous arraignment and hearing of the bail application.”
The bail application was subsequently refused.