The Federal High Court sitting in Lafia, Nasarawa State, has convicted 21 companies for operating investment businesses without valid licences from the Securities and Exchange Commission (SEC).
Justice Anyalewa Onoja-Alapa handed down the convictions after the Economic and Financial Crimes Commission (EFCC) prosecuted the companies over alleged illegal investment operations.
The court fined each company N30 million, bringing the base fines to N630 million.
Justice Onoja-Alapa also ordered each company to pay an additional N200,000 for every day it committed the offence.
EFCC Arraigns 21 Companies
The EFCC Abuja Zonal Directorate arraigned the companies on September 15 and 16, 2026.
The charges centred on the operation of specialised financial businesses without valid licences.
The commission relied on Section 57(1) of the Banks and Other Financial Institutions Act, 2020.
The provision prohibits entities from carrying out certain financial institution activities without the required authorisation.
The EFCC said the companies allegedly advertised and operated financial investment management businesses without valid SEC licences.
Companies Convicted
The companies named in the case include:
- Ngwuoke Daniels Technologies
- Credio Banco Ltd
- Digital Company Ltd
- Co Request Capital Nigeria Ltd
- Mega Drop Quality Stores Ltd
- Norland Global Ltd
- Oxford International
- Creative Agriculture Cooperative
- Qnet Nigeria Ltd
- Qnet Professional Skill Academy Ltd
- Mastermind Energy & Agro Nigeria Ltd
- Atus West Africa Investment Company
- Eatrich360 Farms
- Matag Agro General Services
- Viables X Agribusiness Ltd
- Kwakol Markets Ltd
- Light Shade International Ltd
- Value Growth Ltd
- B12 Synergy Nigeria Ltd
- Phresh Farm Ltd
- Omega Pro Global Resources
Companies Were Absent in Court
Representatives of the companies did not appear when the court read the charges.
EFCC counsel, Nasir Umar, therefore asked the court to enter not-guilty pleas on behalf of the companies.
The court granted the application and proceeded with the trial.
Umar presented witnesses and documents contained in the prosecution’s proof of evidence.
He also tendered intelligence reports, statements from investigating officers, letters connected to the investigation and responses from the Corporate Affairs Commission (CAC) and SEC.
The evidence formed the basis of the prosecution’s case against the companies.
EFCC Links Companies to Investment Fraud Investigation
The EFCC said actionable intelligence triggered the investigation.
According to the commission, the intelligence linked the companies to investment fraud and the operation of investment businesses without the required licences.
The commission also said it invited the promoters for interrogation on December 22, 2022, and again on January 12, 2023.
The promoters allegedly failed to honour the invitations.
The EFCC said the promoters continued to evade interrogation for several years, which eventually led to the prosecution of the companies.
Court Imposes N30m Fine on Each Company
After hearing the prosecution’s case, Justice Onoja-Alapa convicted the 21 companies.
The judge imposed a N30 million fine on each company.
That amounts to N630 million in base fines across the 21 companies.
The court also imposed an additional N200,000 daily penalty for each day that each company committed the offence.
The additional penalty means the final financial liability for the companies could exceed the N630 million base fines, depending on the number of days attached to each offence.
What the Case Means for Investors
The case highlights the importance of checking the regulatory status of investment companies before committing money.
The SEC regulates Nigeria’s capital market and licenses operators that provide regulated investment services.
Investors should therefore verify whether a company holds the appropriate licence before transferring funds or joining an investment scheme.
The EFCC has previously warned Nigerians about investment schemes that promise unusually high returns, including schemes linked to forex, cryptocurrency and agricultural ventures.
A company’s registration with the Corporate Affairs Commission does not, by itself, mean that the company holds every licence required to provide regulated financial or investment services.
EFCC Steps Up Investment Fraud Enforcement
The latest convictions add to the EFCC’s ongoing efforts to tackle financial crimes and investment-related fraud.
The commission continues to investigate schemes that allegedly collect money from members of the public without the required regulatory approvals.
For prospective investors, the message remains straightforward: verify the operator, verify the licence and understand the investment before putting money into any scheme.
