The Economic and Financial Crimes Commission (EFCC) has issued a strong warning to the public following the collapse of the cryptocurrency investment platform, CBEX, emphasizing that possession of a SCUML (Special Control Unit Against Money Laundering) certificate does not grant any company clearance to operate in Nigeria.
This clarification comes in the wake of a massive alleged fraud, with CBEX reportedly sweeping over ₦1.3 trillion from investors’ accounts before shutting down operations abruptly. The platform, which promised investors 100% returns in just 30 days, left thousands stranded and unable to access their funds after it went dark earlier this week.
Many victims say they were lured into investing with CBEX after seeing the company’s registration documents, including a Corporate Affairs Commission (CAC) certificate and a SCUML certificate. Some believed these documents were proof of legitimacy, especially as CBEX claimed that its Securities and Exchange Commission (SEC) certificate would be ready by May 2025.
However, the EFCC has clarified that while ST Technologies (a company linked to CBEX) was registered with SCUML, CBEX itself was not. More importantly, the EFCC stressed that a SCUML certificate is not a license or regulatory approval to operate any business, particularly in the financial or crypto sector.
“SCUML Certificate Is Not CLEARANCE BY EFCC. The EFCC is not a clearing house or regulatory authority of online businesses,” the Commission said in a statement on Monday.
The SCUML certificate is a statutory requirement for certain businesses—known as Designated Non-Financial Businesses and Professions (DNFBPs)—to help combat money laundering and terrorist financing. It is not, however, a substitute for sector-specific licenses or regulatory approvals, such as those issued by the SEC for investment platforms.
The EFCC, already investigating CBEX before its collapse, has now partnered with INTERPOL to track down both local and foreign operators behind the scheme. The Commission has assured the public that it is committed to bringing the perpetrators to justice and recovering lost funds for victims.
EFCC spokesperson Dele Oyewale noted, “We had our intelligence before the incident. We were already working on it, but now that the scheme has collapsed, the major actors and their collaborators will be brought in. We will ensure that we save Nigerians from all these troubles associated with Ponzi schemes”.
The Securities and Exchange Commission had previously warned Nigerians against investing in unregistered online trading platforms, highlighting that CBEX was operating illegally and without proper registration.
The CBEX saga is a stark reminder that official-looking documents are not enough to guarantee the legitimacy of an investment platform. The EFCC advises Nigerians to always verify that any financial or investment service is properly licensed by the relevant regulatory bodies before committing funds.
The SCUML certificate is for anti-money laundering compliance, not a business license.
CBEX was not registered with the SEC and had no clearance to operate as an investment platform.
The EFCC and Interpol are actively investigating the fraud and pursuing justice for victims.
Nigerians are urged to exercise caution and verify all regulatory approvals before investing.
The EFCC’s investigation continues, as authorities work to unravel the full extent of the CBEX collapse and bring those responsible to book.
